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Writer's pictureBianca Flint

OSCL November Highlights: Growth, Recognition, and Expansion


 

Good Morning and welcome to the blog!


It's been a few months since we released a blog.


It’s been a busy few months, in fact, our busiest months to date. We’ve got plenty to share with you. From current market position, all things supply chain, celebrating our recognition as a finalist in the 2024 Altitude Awards to prepping for the big move to Perth, there’s a lot happening behind the scenes.


If you are new here, welcome! This is my space on the internet where I get to have some fun and provide some insights into OSCL and all things logistics.


Grab a bevy and get comfy, as we have a lot to catch up on.

 

Market Updates & Trends:


The global supply chain is poised for significant changes in 2025, driven by factors such as tariffs, fluctuating oil imports, shifting geopolitics, and the policies of the incoming U.S. administration.


China:


The Chinese New Year (CNY), also known as the Lunar New Year, is one of the most important holiday periods in global logistics. The official public holiday is between 29 January to 4 February 2025 and may be extended unofficially for a few weeks. In 2025, CNY is two weeks earlier than it traditionally is. This means that the before-CNY rush will start roughly around the 15th of December and end around the 20th of January. Now is a good time to book as the rates are dropping, however, we can expect an increase from the shipping lines in the first half of December to meet the CNY rush.


Data from the General Administration of Customs - indicates that in the first 10 months of 2024, the total value of China's goods trade reached 36.02 trillion yuan ($4.97 trillion), which reflects a 5.2 percent year-on-year increase. This trade lane has remained strong, however, it's hard to tell how we are tracking in the CN-AU trade lane as the shipping lines utilise tactics of canceling vessels, re-allocating vessels to alternate trade lanes and utilising blank sailings to ensure their vessels are full, and, as well as attempt to increase demand.


Strong growth in demand for affordable online goods from Chinese e-commerce groups such as Shein and Temu, coupled with the rising use of air freight amid disruption in the Red Sea are threatening to overwhelm the airfreight capacity before Christmas. We are seeing freight rates on the rise and space allocations with the airlines servicing this lane fully booked at least one week out. If you require urgent airfreight, best to give us a call so that we can assist in developing a strategic freight plan.


The 100,000th freight train departed from southwest China's Chongqing, marking a significant achievement in the China-Europe freight train supply chain network. The China-Europe freight train network connects 227 cities in 25 European countries and over 100 cities in 11 Asian countries.


A new US$3.5 billion mega-port, based in Chancay Peru, was officially opened on the 14th of November. The majority Chinese-owned mega port will save 10 to 12 days off current transit timeframes between Shanghai and Peru and is a clever strategic move by China to have a presence in the region with the looming trade issues in the USA. President Xi Jinping stated, "...We are witnessing... the birth of a new land-sea channel between Asia and Latin America in the new era...".


United States:


Businesses across the country are bracing for a range of possibilities, preparing to tackle challenges while seizing new opportunities. With President-elect Trump finalizing his cabinet appointments, the direction of U.S. supply chains and the partnerships underpinning them remain uncertain. Notably American companies are stockpiling products out of China to get a jump on what could potentially be the rollout of additional tariffs in the range of 60-100% for Chinese-origin products.


President-elect Trump has signaled a focus on “de-risking” U.S. supply chains from reliance on China and other foreign manufacturing hubs. Mary E. Lovely, a senior fellow at the Peterson Institute for International Economics, encapsulates the outlook for U.S. trade in 2025 as "uncertainty, uncertainty, and uncertainty, with added disruption." She warns these policies may bring significant challenges for shippers and supply chain professionals.


Meanwhile, the Environmental Protection Agency (EPA) is set to invest $3 billion in 55 ports through its Clean Ports Program. This funding will support the purchase of 1,500 units of zero-emission cargo handling equipment, 1,000 drayage trucks, 20 vessels, and 10 locomotives. Additional allocations will finance infrastructure for shore power, battery-electric and hydrogen fueling systems, as well as solar power generation. These initiatives are expected to modernize port operations while advancing sustainability goals.


In October, we saw one of the most prolific strikes shut down port operations at 14 major ports along the east and gulf coasts- it was the first shutdown in over 50 years. Thankfully the strike didn't last long (3 days), however, it was long enough that we are still seeing ramifications of the strikes with issues around de-hiring of empty containers. The outlook is very uncertain as we head into 2025, not to mention the looming 2nd strike by the International Longshoremen's Association expected from the 15th of January.


Australia:


There has been a recent uptick in sea freight rates out of mainland China, with speculation that this is due to an increasing number of blank sailings for November and strong consumer demands to get product in before Chinese New Year.


A new direct freight route headed up by MSC shipping line kicked off in November, between Shanghai and Fremantle port. The route, which will operate weekly, cuts shipping times nearly in half, reducing transit from 30 + days to an estimated 15 days. The first two vessels that departed in November where completely booked out by contracted agreements, showing the strong demand for this service. We will keep our WA clients updated on this service as we head into 2025.


The WA State Government has progressed its plans for a new container port in Kwinana, stating it will invest an initial $273 million to develop a detailed project plan. The new port, if approved for development, is expected to be operational sometime in the 2030s.


The Australia Maritime Safety Authority (AMSA) has issued its fourth ban this year on a cargo ship that docked in Port Alma. The vessel was detained for “improper stowage of dangerous goods,” during a port state inspection on November 14th.


As of the 26th of September, ABF will require cargo moving via a passenger aircraft from certain EU and CIS countries to be tendered only from shippers that already have a known relationship with their freight forwarder. If the relationship is unknown and the cargo weighs more than 500g, it must move via a Cargo Aircraft.


Review the list of countries here:

Albania

Czech Republic

Ireland

Monaco

Slovakia

Andorra

Denmark

Italy

Montenegro

Slovenia

Armenia

Estonia

Kazakhstan

Netherlands

Spain

Austria

Finland

Kosovo

North Macedonia

Sweden

Azerbaijan

France

Kyrgyzstan

Norway

Switzerland

Belarus

Georgia

Latvia

Poland

Tajikistan

Belgium

Germany

Liechtenstein

Portugal

Turkey

Bosnia and Herzegovina

Greece

Lithuania

Romania

Turkmenistan

Bulgaria

Holy See

Luxembourg

Russia

Ukraine

Croatia

Hungary

Malta

San Marino

United Kingdom

Republic of Cyprus

Iceland 

Moldova

Serbia

Uzbekistan


Global Highlights:


Freightos Weekly Freight Rates (USD) - 19/11/2024


Ocean Rates – Freightos Baltic Index

  • Asia-US West Coast prices (FBX01 Weekly) increased 3% to $5,345/FEU.    

  • Asia-US East Coast prices (FBX03 Weekly) fell 1% to $5,395/FEU.

  • Asia-N. Europe prices (FBX11 Weekly) increased 2% to $4,580/FEU.

  • Asia-Mediterranean prices (FBX13 Weekly) increased 2% to $4,387/FEU.


Air Rates – Freightos Air Index

  • China – N. America weekly prices increased 28% to $7.01/kg

  • China – N. Europe weekly prices increased 5% to $4.03/kg

  • N. Europe – N. America weekly prices increased 9% to $2.60/kg.


According to Portcast, overall transit times have increased by 20-30% in the last 12 months. Disruptions such as the ongoing Red Sea crisis, Panama Canal restrictions, labour strikes, adverse weather conditions, and port congestion, have driven these significant delays.


  • Canada - The ports reopened last week after the Canadian Labor Minister stepped in to end the port strikes on each coast - forcing the ports and unions to arbitration. Operations have fully resumed at Vancouver, Prince Rupert and Montreal. This has resulted in a current backlog (dwell) of 5.5 days for port operations.


  • Trans-Caspian International Transport Route (TITR), also known as the Middle Corridor - The Trans-Caspian International Transport Route starts from Southeast Asia and China, runs through Kazakhstan, the Caspian Sea, Azerbaijan, Georgia and further to European countries. Container transportation surged to 46,300 TEU (twenty-foot equivalent units), nearly tripling last year’s figures. Last week, Azerbaijan, China, and Kazakhstan signed an agreement to establish an intermodal cargo terminal at the Port of Alat in Baku. This initiative aims to enhance the port’s cargo-handling capabilities and boost container train traffic along the China-Europe-China route via the Middle Corridor.


  • The chart below was made exclusively for the Maritime CEO Forum by Arrow Shipping & Energy, highlighting key events helping shape the growing volatility shipping has faced in recent years, demonstrating just how volatile 2024 has been.


 

Regulatory Updates:


Australian Border Force:



Department of Agriculture, Fisheries and Forestry:



Department of Foreign Affairs and Trade:


 

News Highlights:



 

Import/Export Tips:


Bianca recently attended the Container Transport Alliance Australia (CTAA) Safe Container Loading Seminar in Wagga Wagga.


It was a fantastic day, and we walked away with valuable resources and learnings. The main takeaway we would like to stress is that under the HVNL section 26C, each party has a primary duty: to ensure the safety of transport activities, so far as is reasonably practicable.


The main risks are unbalanced loading of containers, inadequate load restraints, and misdeclarations of weights. During the 12 months to the end of June 2024, 176 people died in crashes involving heavy trucks. Source - Road deaths in crashes involving heavy vehicles - quarterly bulletin, Apr-Jun 2024 - Department of Infrastructure, Transport, Regional Development, Communications and Arts.


Ports are now increasing their Pondus operations. What this means is that the terminals are increasing their sampling of containers for weighing at the terminal yard utilising the Pondus Stands. Incorrectly declared containers will incur penalties and additional fees at the port.


OSCL will now require parties that are stuffing containers to complete the below Container Pack List and provide photos of container stuffing and loading. This is to protect the parties in the Chain of Responsibility and ensure we are doing what is reasonably practicable.


I have many of you on LinkedIn and you would have seen that I had the pleasure of speaking at this seminar on Container Hygiene as part of my role with Freight and Trade Alliance. A big thank you to FTA and CTAA for the opportunity.

Photo Source: Neil Chambers - CTAA


Further Resources:




 

Partner Spotlights:


It's been an amazing year partnering with MOR Motorsport.


If you don't know the back story of how we ended up partnering with Jack & Amy - head on over to their website to read about how we assisted in getting the trophy trucks wheels to the team just in time for Finke 2023 - https://mormotorsport.au/blogs/news/we-ve-outsourced-this-responsibility-for-one-year-and-will-never-go-back-here-s-why-we-think-you-should-too


In August we headed up to Bowen QLD to watch the team race in the Don River Dash. Unfortunately race wise, it just wasn't the team's weekend, with a final DNF result due to gearbox issues. It was however an amazing opportunity for us to meet the other team sponsors and partners. There was a mammoth partner turnout to support the team, comprising of: CROC HINGE, DesignFab Industries, Balranald Motor Inn, Custom Lithium and Yokohama.


Next up we headed to Perth for the Australian 4WD & Adventure Show. A big shout out to Custom Lithium for the invite to tag along to the show and be a part of their booth. It was a family affair with my dad tagging along on the Friday and my brother putting in a solid Saturday. It was a great weekend to meet some amazing small businesses in Perth, discussing all things logistics and small business. I loved spending time with the legends that make up the teams at MOR, Custom Lithium, and Croc Hinge.

We wish the MOR Team the best as they head to the USA to continue racing with Bailey Cole. We look forward to continuing our partnership in 2025.

 

OneSource Highlights & News:


We're Altitude Awards Finalists!


We are thrilled to announce that OSCL has been named a finalist in not one, but two categories at the 2024 Altitude Awards:


  1. Customer Service – Recognizing our relentless commitment to delivering tailored, seamless solutions for our clients.

  2. Professional Services – Acknowledging our industry expertise and innovative approach to logistics and supply chain management.


Being recognised in these categories is an honor that reflects the heart of what we do: building long-lasting relationships, ensuring operational excellence, and exceeding expectations. Bianca heads to Sydney this week to attend the awards. Keep an eye out on the socials for pics of the night.


Expanding Horizons: Our Move to Perth


Big things are happening at OSCL as we set our sights on Western Australia! Our move to Perth marks a significant milestone in our growth both personally and for the business (we are finally heading back home). The search is officially on for our new Perth warehouse! This facility will enhance our services by providing storage and streamlined supply chain operations for our clients. We aim to open the doors to this exciting new venture in 2025, and we can’t wait to share more updates soon.


Saying Goodbye to Canberra Women in Business (CWB)


As we wrap up in Canberra, it has been a few weeks of saying goodbye to some amazing people who have been a large part of my business journey. I have loved my time being part of the CWB committee and will miss these ladies who make up the amazing force behind the scenes. I wish these ladies all the best as they continue advocating for women and small businesses in the Canberra region.

Photo Source - CWB - 2024 Gala Awards


Wrapping up, I just wanted to say a HUGE thank you to our clients.


I have been reflecting on the past year as we work on our 2025 strategic plan, and it has been an amazing 2024!


Wishing everyone a fantastic end to the year and good luck with Black Friday!


All the best,

Bianca x





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