Toronto, March 19, 2020
As the Coronavirus (COVID-19) outbreak continues to evolve, Universal Logistics is doing everything we can to support our clients and to keep you informed of the ever changing business environment and how it is impacting our industry.
The following message was issued by the Canadian International Freight Forwarders Association (CIFFA) on Thursday, March 19, 2020:
AIR UPDATES:
Air Canada Update on COVID-19 Response
Air Canada said yesterday that it will gradually suspend the majority of its international and U.S. transborder flights by March 31. Subject to further government restrictions, the airline intends to continue to serve a small number of international and U.S. trans-border destinations from select Canadian cities after April 1.
In order to support the essential movement of needed goods and cargo during the crisis, Air Canada intends to continue to operate a limited number of international "air bridges" between one or more of its Canadian hubs and the cities of London, Paris, Frankfurt, Delhi, Tokyo and Hong Kong from April 1 until at least April 30. This will reduce its international network from 101 airports to six.
As to U.S. transborder services, from April 1, Air Canada will reduce its transborder network from 53 airports to 13, subject to further reductions based on demand or government edicts. The cities with continued service will be: New York (LGA and EWR), Boston, Washington, D.C. (IAD and DCA), Chicago, Houston, Seattle, San Francisco, Los Angeles, Denver, Orlando and Fort Lauderdale.
Airports Urge Governments to Rethink Flight Bans
The Airport Council International (ACI) has voiced concerns over the effectiveness of imposing travel bans. “Besides ... worsening the economic fallout of COVID-19, the fact that these measures do not appear aligned with WHO recommendations raises serious doubts as to their effectiveness,” Olivier Jankovec, director general of ACI Europe has said.
The WHO continues to advise against travel restrictions to countries experiencing COVID-19 outbreaks, stating that “in general, evidence shows that restricting the (international) movement of people during public health emergencies is ineffective in most situations.”
Read more in an article from Air Cargo Week.
OCEAN UPDATES:
Shipping Federation of Canada Launches COVID-19 Information Compendium
The Shipping Federation of Canada is working to provide marine stakeholders with information specific to their sector in response to the rapidly evolving COVID-19 situation. It is liaising with key authorities to ensure the delivery of streamlined information and timely updates on protocols and practices.
The organization has developed a webpage, the COVID-19 Resource Center, which provides a compendium of information on measures implemented by Canadian authorities and other entities in response to the COVID-19 situation and its impacts on international shipping in Canadian waters.
The webpage includes information on COVID-19 measures, practices and guidance developed by Transport Canada, the Public Health Agency of Canada and other federal departments, as well as the ports, Seaway, pilotage authorities, terminal operators and others. The Federation will update this page on a regular basis as it gathers additional information.
Chinese Port Restricts Ships from Virus-Hit Nations for 14 Days
The port of Fuzhou in eastern China is restricting vessels arriving from nine countries in an effort to limit the spread of coronavirus by visiting ships and their crew.
Vessels arriving from Japan, South Korea, Iran, France, Germany, Spain, Italy, the U.S., and Singapore won’t be allowed entry into the port until they’ve completed a mandatory 14-day quarantine; the countdown begins when ships depart from those nations.
The mandatory quarantine will particularly hit cargoes from Asian countries that typically take a week or less to sail to China. It also raises fears of similar steps by much bigger ports in China, notably the major cargo hubs of Guangzhou, Shanghai and Tianjin.
Read more in an article from Transport Topics.
As the World's Borders Close, Crew Changes Become a Serious Challenge
Maersk has suspended all crew changes aboard its container ships through April 14, the company said on Tuesday. Chile, Argentina, Ecuador, El Salvador, Guatemala, Malaysia, Canada, Denmark and the 27 nations of the European Union have temporarily closed their external borders to most foreign nationals, and the list is growing rapidly.
"Given the current situation we can better protect our seafarers by suspending the exchange of crew, as this lessens the number of social interactions they need to have. Secondly, the rapid changes to global travel poses a risk of stranding seafarers in transit, in locations from where they are unable to leave or get sufficient assistance," Maersk said in a statement.
On Tuesday, dry bulk shipping association INTERCARGO called upon port states to continue to permit crew changes as an exception to the rising number of national travel bans.
Read more in an article from The Maritime Executive.
Port of Montreal COVID-19 Update
Freight transport operations at the Port of Montreal are running at full capacity. No cancellations have occurred, and rail transport continues as scheduled. Road transport and terminal operations are ongoing.
Since March 16, the vast majority of administrative staff are working from home, if and when appropriate, until further notice.
DP World Canada COVID-19 Update
In a notice to customers issued yesterday, DP World Canada informed that there has been no significant impact from COVID-19 to its operations in B.C.
The company is working closely with its supply chain partners to minimize potential operational impacts.
RAIL AND TRUCK UPDATES:
Trucking Demand Surges as Retailers Restock
Demand is spiking for inland trucking capacity, as grocers and retailers look to restock their shelves with critical goods amid the COVID-19 outbreak. DAT's load-to-truck ratio, a measure of demand, was up 31% for vans and 33% for reefers between March 9 and March 15.
The trucking spot market has seen an increase in demand that is "directly attributable" to the outbreak and the resulting consumer buying response, said Ken Adamo, chief of analytics at DAT.
Read more in an article from Supply Chain Dive.
CP COVID-19 Update
CP's service is not currently impacted by COVID-19; its trains continue to operate throughout North America.
The company's COVID-19 preparedness planning team has enacted pandemic planning actions to facilitate business continuity across its network.
For more information, please feel free to contact us directly.
COVID-19 Response Team
Mark Glionna, Vice President – Client Relations & Business Development
Tel. (905) 882-4880, ext. 1212 Email: markglionna@universallogistics.ca
John Leis, Director – Client Relations
Tel. (905) 882-4880, ext. 1215 Email: jleis@universallogistics.ca
Paul Glionna, Vice President – Systems Development & Operations
Tel. (905) 882-4880, ext. 1220 Email: pglionna@universallogistics.ca
Chris Cartan, Director – Operations
Tel. (905) 882-4880, ext. 1237 Email: ccartan@universallogistics.ca
David Lychek, Manager – Ocean & Air Services
Tel. (905) 882-4880, ext. 1207 Email: dlychek@universallogistics.ca
Debbie McGuire, Manager – Freight Solutions
Tel. (905) 882-4880, ext. 1308 Email: dmcguire@universallogistics.ca
William Sanchez, Manager – Truck Services
Tel. (905) 882-4880, ext. 1224 Email: wsanchez@universallogistics.ca
Vickey Ison, Office Manager – Cleveland
Tel. (440) 360-7850, ext. 100 Email: vison@universallogisticsusa.com