Did You Know That…

…Satellite imagery reveals extent of damage to Hodeidah port as further strikes loom.

·         Nearly all of Hodeidah’s waterfront appears to be riddled with holes and craters, satellite imagery from Planet Labs shows

·         More Israeli strikes are likely after a Houthi drone struck Eilat on Wednesday, injuring over 20 people

·         Two vessels have called at the port since the July 16 strikes

·         Vessels calling at Houthi ports are ‘effectively operating in a de-facto warzone’, says Vanguard Tech’s head of intelligence Ellie Shafik.

The majority of Hodeidah port’s waterfront appears to be substantially damaged following many rounds of heavy Israeli air strikes in recent months. More Israeli strikes are likely in the coming days after a Houthi drone injured over 20 people in Eilat on Wednesday.

 

…The rise and fall of container spot rates — and what it means for 2026.

·         SCFI Shanghai-US west coast index has dropped to just $1,460 per feu, its lowest point since July 7, 2023

·         Spot-rate assessments for east-west lanes by multiple index providers have fallen back to price levels that pre-date the Red Sea crisis

·         Supply dynamics for carriers are worse now than they were prior to the Houthi attacks, underscoring the need for capacity management.

Two years is a lifetime in shipping markets. It’s worth looking back to the pre-Red Sea crisis situation in the autumn of 2023, because today’s container shipping market appears ominously similar.

 

…China takes advantage of Argentinian export tax break. The South American country’s soyabean exports have received a welcome boost in late September. Argentinian President Javier Milei’s government announced a suspension on export taxes for agricultural goods, and China has cashed in with grain imports from the struggling nation. 

…The perverse consequence of America’s $100,000 visa fees. Offshoring to India and other countries could accelerate. 

“You graduate from a college, I think you should get, automatically as part of your diploma, a green card [permanent residence in the United States],” promised Donald Trump on the campaign trail last year. As president, on September 19th, Mr Trump headed in the opposite direction. He proposed a charge of $100,000 on new applications for H-1B visas, a favourite of technology firms hiring foreign graduates. Each year 85,000 are issued by lottery (demand far outstrips that quota). Hitherto the cost of securing one has been about $2,500 in legal and filing fees.

 

…Chile–China cherry link. A new Cherry Express service by CMA CGM will operate from Chile to China during the 2025 export season, offering a 23-day transit time between San Antonio and Shanghai.

…A made-in-China plan for world domination. Donald Trump is failing to stop China’s rise as a manufacturing superpower. CHINA’S INDUSTRIAL might is hard to capture in numbers. The country accounts for more than 30% of global manufacturing, or more than America, Germany, Japan and South Korea combined. That figure understates the growing terror that Chinese-made stuff inspires in foreign competitors and governments alike.  Just before the covid-19 pandemic, a third of all containers carrying exports around the world contained stuff assembled, grown or processed in China. Today China’s share of global export containers is over 36%, though the country represents around a fifth of world GDP.

 

…China–Central Asia route opens. According to China’s state-owned news agency Xinhua, Shanxi province has launched its first rail-road intermodal freight service to Kyrgyzstan and Uzbekistan. The route runs from Zhongding logistics park to Kashgar North station in Xinjiang, with containers carried onward by road through Irkeshtam Port to Andijan in Uzbekistan. The inaugural train transported solar panels.  

The journey takes nine days, six days faster than the previous route via Horgos Port (China) and Kazakhstan, as Xinhua cites Gao Jianwen, operations department director at Shanxi Zhongding logistics group. The service aims to reduce costs by about 1,000 yuan (USD 140) per container.

…African forwarders have given a mixed response to the news from DP World that it has signed an MoU with PayPal to develop a programme to speed up cross-border payments, which have long hobbled Africa’s growth ambitions.

…Shippers and forwarders must be ready for ecommerce boom into Europe.  Ecommerce flows into Europe are expected to gain momentum, with stakeholders being advised to “plan well in advance” of peak season. “What is clearly a fact is that [Shein and Temu] are pivoting towards Europe, because of US markets becoming less accessible.

 

…The EU doesn’t just unite nations – it unites grapes: 65% of the world’s wine is produced here. A true single market for Merlot and more!

 

…This week our friends in China are celebrating the China National Day 2025 (Golden Week Holiday). China National Day, officially the National Day of the People's Republic of China, is annually celebrated on October 1st to commemorate the founding of the People's Republic of China in 1949. Usually Chinese people enjoy a 7-day public holiday from Oct. 1st to 7th, which is known as Golden Week. There are usually many activities held around the country, especially in Beijing. It is a peak time for Chinese people to travel at home and abroad. We wish our friends from FS in Hongkong and China a pleasant time with families during this Golden Week holiday.

…On Mount Everest, water boils at just about 70 °C – a result of the extremely low air pressure at 8,848 m above sea level.

…This DYKT news bulletin will be published on the website as well, go to www.eaanetwork.com.