Freight News: Week of July 10th, 2024

Singapore’s Tuas Mega-Port Set to Launch and Add New Berths

Singapore’s Tuas mega-port has launched one berth and intends to activate two additional ones this autumn as congestion and vessel waiting times ease at the world’s second-busiest container port.

PSA International, the terminal operator, began operations at Tuas’ first berth on July 1st. According to Singapore’s Transport Minister Chee Hong Tat, a second berth will open in October, followed by a third berth in December, as he informed local legislators on July 2nd.

Just last month the PSA reopened older berths and container yards to add more capacity. The port says they continue to see increases in vessel arrivals since the beginning of this year; handling 13,390,000 TEUS from January to April. 

FMC Ordered to Review Previous Demurrage Ruling

Last Friday, a U.S. appellate court rebuked maritime regulators for their narrow emphasis on the “incentive principle” in a recent ruling regarding detention and demurrage charges against Evergreen, the JOC reports. The court directed the U.S. federal Maritime Commission (FMC) to reassess its decision.

The decision by the court follows concerns that the FMC’s initial ruling did not adequately address complaints from U.S. shippers regarding Evergreen’s demurrage policies. This directive could prompt the FMC to revisit and potentially revise its previous decision, impacting how demurrage fees are applied in the future.

Per the JOC, the FMC’s ruling centered on Evergreen alleged failure to adhere to the incentive principle, despite charging motor carrier TCW for demurrage during a period when the Port of Savannah was closed, preventing TCW from accessing the container.


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