Cargoccino ☕ | March 25, 2025
☕ Your bi-monthly freight & logistics fix, brewed strong and served fresh. ☕
Bracket Busted 🏀 (March Madness meets unpredictable freight trends)
Asia-Mexico: Full Steam Ahead or Running on Empty? 🚢
A new express service is about to flood the North Asia–Mexico trade lane with 15,000 TEUs of fresh capacity, courtesy of a seven-carrier consortium. The Shanghai-Qingdao-Busan-Manzanillo route launches April 30, promising quicker transit times—but is it arriving at the right time?
The dilemma: Spot rates on this route are already under pressure, with vessel utilization dipping below 50% and short-term rates slipping toward $1,500 per FEU—a five-year low. Meanwhile, Hapag-Lloyd is trying to push rates back up with an April 1 GRI of $500 per TEU.
More ships, lower rates—where does this lead? Overcapacity headaches for carriers and budget-friendly freight rates for shippers (for now).
🔗 Full scoop: Journal of Commerce
Empty Containers Are Everyone’s Problem… Except the ... 🏗️
In SoCal, drayage yards are overflowing with empties—again. Matt Schrap, CEO at the HTA, took to LinkedIn to call out the age-old issue:
"Why are SSLs happy to let empties stack up in truck yards for free instead of paying for storage?"
Carriers dodge costs, truckers absorb the burden, and terminals stay stuck in a cycle. Meanwhile, motor carriers are left asking: “Why pay for the cow when you get the milk for free?”
🚛 Thoughts? Read Matt’s full post here.
Port of LA: February Boom? 📦
The Port of Los Angeles saw a strong February with container volumes surging. But with upcoming ILA labor disruptions, growing import uncertainty, and shifting trade routes, will the momentum hold?
⚓ Port trends: FreightWaves
Tariffs, AI & The Secondhand Boom 🛍️
Retailers are navigating new tariffs and AI-driven supply chain shifts, but one surprising winner is emerging: secondhand clothing markets. AI is reshaping inventory forecasting, and rising costs are pushing consumers toward resale platforms.
♻️ Retail’s next evolution? SupplyChain Brain
CMA CGM’s Next Move: Buying Air Belgium? ✈️
Ocean freight giant CMA CGM is making a rival bid for Air Belgium, doubling down on air cargo. With air freight playing an increasingly strategic role, is this the next major shake-up in multimodal logistics?
✈️ Full details: Maritime Executive
Purdue’s Global Supply Chain Case Competition: A Slam Dunk for Problem Solvers 🏀📊
March isn’t just about basketball in West Lafayette. While Purdue’s Boilermakers are dominating on the court, their supply chain students are proving they can win big, too!
The Spring 2025 Global Supply Chain Case Competition challenges students to tackle real-world logistics issues using SAS optimization tools and present solutions to industry pros. Think of it as March Madness for supply chain minds—only instead of brackets, it’s all about cracking complex freight puzzles.
🎓 Will Purdue’s supply chain team go as far as their basketball squad this year? Find out here.
Q&A Corner: Can You Crack These Spring Supply Chain Questions? 🌍
Think you know your importing & exporting? Try these three questions:
1️⃣ What is the most commonly misclassified import item in the U.S.?
2️⃣ Which global trade lane is expected to see the highest container imbalance in Q2 2025?
3️⃣ How many days does it take for a full container to move from Shanghai to Manzanillo in the new Asia-Mexico service?
(Scroll to the end for answers!)
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ICYMI: The New Tech Revolution in Logistics 🤖
Didn’t catch TPM25’s AI panel? No problem! You can now stream "The New Tech Revolution: Where AI is Yielding Practical Logistics and Compliance Solutions" on the S&P Events App.
🎥 Watch here: S&P Events - TPM25
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☕ What’s Brewing at BlueCargo? ☕
BlueCargo is now auditing export invoices—not just imports! If you're handling containerized freight invoices, our platform ensures you never overpay, whether inbound or outbound.
🔍 More insights: BlueCargo Resources
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Q&A Answers (Were You Right?) ✅
1️⃣ Sneakers! Footwear classifications often lead to tariff disputes.
2️⃣ Asia-Europe—shipping imbalances are expected to widen in Q2.
3️⃣ 25 days! Shanghai to Manzanillo transit time on the new express service.
⊹ ࣪ ﹏𓊝﹏𓂁﹏⊹ ࣪ ˖
