Did You Know That…

 

…Middle East port update of Wednesday April 8 you can read in the attached document.

 

…China is breaking into one of the world’s weirdest car markets. An island of American motoring in Central Asia is changing fast.  TRAVELLERS once crossed Central Asia by camel. Nowadays visitors to Uzbekistan notice that American workhorses own the steppe. Cars bearing the badge of Chevrolet, an American brand, are so ubiquitous that locals jokingly call the country “Chevroletstan”. Outside the airport in Tashkent, the capital, a line of Chevy Cobalts assembles. Order a cab on MyTaxi, Uzbekistan’s answer to Uber, and it can be hard to tell which is yours. Of the 430,000 cars sold in Uzbekistan last year, 83% were Chevys. The Cobalt, a saloon car, made up nearly a third; on desert motorways it is unusual to spot anything else. Between small towns it is the Damas (pictured), a loaf-shaped minivan, that is everywhere. It accounts for a quarter of sales. It is a Chevy, too.

…Hormuz crisis spurs surge in Panama Canal tanker transits.

·Panama Canal handled 1,148 transits in March, the highest monthly total since December 2021, during the Covid cargo boom

·Increase was driven by tanker transits via panamax locks, which jumped 19% in March versus February

·Hormuz closure is yet to cause spike in VLGC transits via neopanamax locks; Vortexa cites near-term limits to US Gulf export terminal capacity.

The Panama Canal route has suddenly become a lot more attractive to Pacific basin countries in desperate need of energy supplies. Rising canal traffic in March could be a sign of even higher transit demand to come.

 

…Iran and America agree to pause their war. A two-week truce is a start but questions remain about a more enduring deal. ADAY THAT began with threats of annihilation ended with an armistice. For two weeks Donald Trump has vowed to bomb Iran’s power plants and send the country “back to the stone ages” if it did not reopen the Strait of Hormuz. On Tuesday morning, 12 hours before his ultimatum expired, the president posted a chilling warning on social media: “A whole civilization will die tonight,” he wrote. Then, with less than 90 minutes until his deadline, Mr Trump abruptly called a halt to the American-Israeli war in Iran—at least for now. He announced a two-week ceasefire, subject to the “COMPLETE, IMMEDIATE, and SAFE OPENING of the Strait of Hormuz”, the waterway that has become the focal point of the war. Iran confirmed the truce and said traffic through the strait could resume, albeit subject to unclear “technical limitations”.

…Shipping lines study Iran–US ceasefire; resuming traffic will take time. Shipping companies are trying to quickly understand the details of the ceasefire between the United States and Iran, which could temporarily reopen the Strait of Hormuz to maritime traffic. More than 800 vessels remain stranded in the Persian Gulf. However, it may take some time before shipping resumes through the crucial waterway for oil and gas transport. As of Wednesday morning, the route is still empty.

…Shipping seeks clarity over Tehran toll booth requirements for Hormuz safe passage.

·Ships with diplomatic agreements in place still require Iranian vetting, but any other vessel is expected to be asked to pay a toll

·Operators report confusion over how fees are collected — with payments previously routed via crypto and yuan — and uncertainty over who ultimately bears the cost

·European governments and shipowners are still seeking clarity as Iran warns any vessel transiting without permission risks military attack.

Iran’s approval regime for Hormuz transits remains intact despite a tentative ceasefire, with non-US/Israel affiliated vessels facing a slow, opaque verification process and, in many cases, multimillion dollar toll demands.

…With no improvement at Hormuz, rate pressure builds in crowded Atlantic.

·US Gulf-China VLCC rates fell 24% on Wednesday vs Tuesday, to $108,820 per day, returning to the levels recorded in the week before the war

·VLCCs continue to migrate to the Atlantic, although there are also a growing number of VLCCs opting to remain idle in the Pacific

·Aframax and suezmax rates are easing but remain exceptionally high, far outperforming VLCCs in the Atlantic.

The crude freight market on the day after the ceasefire announcement was the same as it was the day before. Conditions in the Strait of Hormuz remained unchanged and more tonnage is flooding toward the Atlantic basin.

 

…Mediterranean Shipping Company continues its rapid expansion, with its global fleet now approaching nearly 1,000 vessels, reinforcing its position as the world’s largest container shipping line.

 

…The “Glovis Leader,” the first car carrier capable of transporting more than 10,000 vehicles, is set to enter service. It will operate for HMM, as container shipping lines are also looking to capitalize on the booming automotive market.

…Chinese webshops are now buying up the air cargo market. The still partially closed airspace in the Middle East, combined with “an unprecedented surge in market demand from Asia, largely driven by e-commerce,” is putting increasing pressure on air cargo capacity and prices.

…A Brazilian recruitment agency plans to send 2,000 drivers to the European Union this year to help address the ongoing driver shortage. “Brazil not only has the best football players in the world, but also the best truck drivers,” the company stated.

…Unilever anounced a deal to merge its foods business, which includes the Hellman’s Marmite and Pot Noodle brands, with McCormick, best known for its line of herbs and French’s mustard.

…Donald Trump’s $400m ballroom construction project was put on hold by a judge, who ruled that Congress must give its approval.

 

Wishing you all a very good rest of the week !

 

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