Did You Know That…

…At least 3,000 people died and many remained missing in the strongest earthquake to hit Myanmar in over a country. The earthquake was also felt in Bangkok, causing a skyscraper under construction to collapse and many other buildings to sway. We are pleased that all our EAA friends from the partners in Myanmar and Thailand are safe.

…Trump’s ‘Liberation Day’ tariffs sent shockwaves through stock markets and the global trading community on Thursday. The fallout will hit container shipping first, and could eventually spread to dry bulk and tankers, particularly if other nations retaliate against US exports.

…President Donald Trump on Wednesday unveiled expansive new tariffs in a major escalation of his trade war, referring to the historic move as a “declaration of economic independence.” Trump’s risky bet to address unfair trade practices could send prices higher for American consumers and weaken economic growth, according to most economists. Using national emergency powers, Trump announced 10% tariffs on all imports into the United States, and even higher tariffs on goods from about 60 countries or trading blocs that have a high trade deficit with the US. That includes China and the European Union, which will be levied new duties of 34% and 20%, respectively. About 60 countries will see tariffs higher than 10%. The baseline 10% tariff goes into effect on Saturday, one minute after midnight, then any higher tariffs will go into effect on April 9.

…‘Thermonuclear’ port fee-tariff combo: Shipping ‘disaster’ or will rates go ‘ballistic’?

·         Tariffs seen as a long-term negative for shipping rates due to demand destruction, although there could be positives from trade rerouting

·         USTR port fee plan expected to cause disruptions but opinions diverge on whether this is a short-term positive or negative for shipping rates

·         Disincentive for Chinese yard orders widely seen as a long-term positive for rates, but upside would take years to materialise

Shipping forecasts are having a ‘chaos theory’ moment. Trump tariffs and US port fees imply a volatile mix of positives and negatives, and no one really knows how this will play out for rates — although shipowners predict they will ultimately profit, just as they did in past disruptions.

…Tariffs threaten further upheaval for embattled container shipping sector.

·         Upcoming US tariffs and their blow to global trade growth threaten to push 2025 container volume growth into negative territory

·         Freight rates have rebounded slightly, but oversupply and uneven capacity cuts between carriers put that at risk

·         Red Sea volatility and new US port fees add greater uncertainty to market outlook

…Container shipping braced for a turbulent 2025 as tariffs, tepid demand and geopolitical risks threaten to derail trade volumes and freight rate stability

…Shipping braces for impact after Trump drops tariff ‘bomb’ on world trade

·         Exceptionally high tariff levels and expectations they will be negotiated down could convince some US importers to pause orders, reducing shipping demand

·         New tariff policy expected to increase inflation in the US, another negative for container shipping demand

·         Pressure on the global economy and retaliatory tariffs targeting US exports would spread negative impact to tanker and bulker trades

…Why China thinks it might win a trade war with Trump. The country’s officials vow to “fight to the end”. The trade war is escalating, and fast. On April 8th Chinese officials vowed to “fight to the end” in the face of new threats from Donald Trump, made just hours earlier, having already promised to match American tariffs of 34%. With such an increase, China’s tariff rate on American imports will reach 70%. Later the same day, the White House confirmed that it would return fire, with tariffs of 104% applying to Chinese goods from April 9th.

…US importers scrap Asian orders as tariffs derail transpacific contracts.

·         New US tariffs have already led to booking cancellations and container recalls, stalling contract talks and threatening freight rate stability

·         Heavy reliance on China and rising duties on other Asian countries heighten stagflation concerns, with lower-tariff countries such as Türkiye emerging as a potential rerouting option

·         While some expect a rebound during peak season, escalating US-China tensions continue to cloud global shipping demand and rate forecasts

A deepening US-China tariff standoff is upending transpacific trade, triggering booking cancellations, stalling freight contracts, and raising stagflation risks as shippers scramble for alternative routes and supply chain clarity.

…The EU’s response to Donald Trump’s tariffs could be stinging. The world’s biggest trade bloc has plenty of cards, if it plays them right. What the EU will say in response to Donald Trump’s tariff rampage is still being  negotiated. It is far from the hardest-hit victim of the tariffs that America has implemented as of April 9th: the EU’s rate is now set at 20%, far below China’s 104% or Vietnam’s 46%. The instinct of many in Europe is to hit back in kind. But crashing global stockmarkets (see chart), and China’s own swingeing counter-tariffs (on April 9th it announced another increase, to 84%), may have given Mr Trump enough pushback already. The EU, as America’s biggest trading partner, has chosen to take a few weeks to craft a more measured and targeted response.

…Trump tariffs see hundreds of cancelled container bookings a day from Asia. Donald Trump’s tariff war has seen several Asian exporters cancelling container bookings, as US cargo receivers are now wary of having to pay higher prices for the goods. Taiwanese cardboard manufacturers with factories in Vietnam have reported having to cancel as many as 300 container-loads of goods, after the US president slapped a 46% tariff on goods from the country.

…Japanese people are starting to quit their jobs. After decades of inertia, workers are now on the move. Why? In Japan the ideal worker was once employed fresh from graduation and expected to stick with one company for life—reaping the benefits of a seniority-based promotion system as he (usually not she) aged. But this rigid “salaryman” model is eroding. While job-hoppers remain less common in Japan compared with Western countries, they are on the rise. The number of regular workers shifting to another full-time job reached 990,000 in 2024, an increase of more than 60% from a decade ago.

…According to  latest freight report highlights how new US tariffs on imports from China, Mexico and Canada are reshaping global trade flows. Many shippers are seeking alternative sourcing options, particularly in Southeast Asia. Ocean carriers are deploying new vessels to ease pressure, yet inconsistent demand and blank sailings continue to affect reliability.

…TecPlata, ICTSI’s terminal near Buenos Aires, is enhancing its connectivity to Asia through Ocean Network Express’ new East Coast South America Express 2 (SX2) and River Plate Express (RPX) services. The SX2 links East Asia with South America, including a direct call at Pusan..

…Tesla’s sales in Europe fell sharply in February, down by 40% year on year, and by 76% in Germany, where Elon Musk has expressed support for the hard right. The company’s stock fell by 36% in the first three months of the year.

…Windcoop orders world’s first sail-powered containership. The French shipping company Windcoop has placed a firm order for the world’s first sail-powered containership. Measuring 91.3 m and equipped with three rigid wingsails designed by CWS, the ship will be built by Turkish yard RMK Marine and is set for launch in May 2027.

…Turkish Cargo has resumed operations at Maastricht Aachen airport (MST) with a twice-weekly Quito–Miami–Maastricht–Istanbul service. The route transports flowers, perishables and general cargo, supported by MST’s fast customs clearance as an AEO-certified hub.

,,,Safe the date! The EAA Network annual conference will be organized from 24-27 March, 2026; the intended venue of same is Istanbul, Türkiye. More information will follow shortly.

…On average a person spends two weeks of their life waiting at red lights.

Have a good rest of the week !