Coronavirus – The Situation Room
With the global spread of the coronavirus, the impact on global supply chains is still being felt. You can read in this live blog which regional and worldwide effects can be felt where, and what influence they have on our business. At regular intervals, we provide information here on the current situation in our various business areas.
Also, find the latest updates on the overall situation of the Corona Pandemic at
John Hopkins University– Coronavirus Resource Center (interactive map)
04 January 2020
Dalian airport has announced tightened measures against Covid-19 regarding import shipments, taking action to temporarily shut down the international import cargo warehouse area, with effect from 03 January 2021 until further notice. Further announcements might follow on new requirements regarding disinfection and testing. We expect potential delays for airfreight import shipments into Dalian airport.
Please contact Hellmann Dalian branch manager, Lucy Xu, should you have any enquiries regarding your shipments in progress or for confirmation.
21 December 2020
Saudi Arabia has suspended all international commercial flights
With an immediate effect, Saudi Arabia has suspended all international commercial flights for a week amid reports of the appearance of a new mutated strain of coronavirus in a number of European countries, the Saudi Press Agency reported late Sunday citing an official source at the Interior Ministry.
The Kingdom has also decided to close its land as sea borders. Cross border cargo movement and EX-IM is not affected till now, but all PAX flights are cancelled, and only Freighter movement is possible.
The suspension of international travel except for emergency cases, which is part of the precautionary measures seeking to ensure the health and safety of citizens, can be extended by one more week, according to the source.
The decisions, which have been taken as precautionary measures, are the following:
1. Temporary suspension of all commercial international flights for travelers, except in emergency cases, for a week, which can be extended for another week. However, the foreign flights that are currently in the Kingdom are allowed to leave.
2. Suspension of the entry to the Kingdom through land and seaports temporarily for a period of one week and it can be extended for another week.
The measures will be reviewed in the light of the developments related to the pandemic based on the assessment of the Ministry of Health, according to the source.
November - General note for shippers
The pandemic is again gaining momentum worldwide, which is increasingly impacting our supply chains. As in the 1st and 2nd quarter of 2020, you as a shipper should make sure that your goods can be accepted by consignees in the affected regions before they are collected.
26 November 2020
China temporarily suspends Eurasian road freight service
The current situation at the CN/KZ border is difficult due to the new disinfection arrangement.
Alashankou/Khorgos Neutral Transfer Compound at Xinjiang road border has announced that with the start of winter in 2020, the risk of imported Covid-19 infection at Alashankou road port is high as the evaluation process of the new disinfection passage for import vehicles is yet to be completed. In short, progress is slow, while risk is high, so for safety concern, they have suspended the operations at the Neutral Transfer Compound at Xinjiang border. Other than a few exceptions, the customs would suspend the formalities for the vehicles’ departure out of China until further notice.
Due to the complications and difficulties at the border, Hellmann have decided to suspend the EURASIA road freight service in November and December, as it is almost impossible to operate.
We will further advise if we manage to resume the service earlier, or if we need to further suspend our EURASIA road freight service, subject to the latest guidelines from authorities.
25 November 2020
Portugal: Lockdown Information
Portugal returned to lock-down in some district areas. Official authorities divided the country on November 24 into different Lockdown zones (Red, Yellow, White) according to the level of COVID-19 impact. This means that in RED ZONE AREAS (Zip Codes: 30... /40.../50...) people are restrained from traveling, and shops, retail business, and some industry will have to close unless for specific and justified reasons.
Under these circumstances please note that in RED ZONES collection and deliveries will not happen from 30.11.2020 to 07.12.2020, Warehouses will close on 27.11.2020 until 30.11.2020. During these days all warehousing related services, as well as collection and deliveries will be very limited, therefore, we expect some delays in domestic services concerning activities of our Partner RANGEL MAIA.
For the remaining areas of the country - although only on weekends - the same lockdown rules will apply from 28.11.2020 until 02.12.2020 and from 05.12.2020 until 08.12.2020, therefore, there will be limited services as well. It will be certain that this will have some effects on our distribution services. In any case, please check for availability/opening of your consignee beforehand.
19 November 2020
Denmark lifts restrictions on the movement of goods.
We are pleased to inform you that the restrictions for deliveries to North Jutland from 6 November will be lifted as of tomorrow, 20 November. This means that from Monday 23 November, deliveries to North Jutland can be made according to the agreed general timetable.
17 November 2020
Austria: New Lockdown
Despite rising infection rates and again strict COVID-19 measures, the movement of goods has so far been largely unhindered. Our sites remain operational and fully efficient. Given the tightened lockdown measures in Austria, we would like to point out the following:
From 17.11. up to and including 6.12., trading in Austria will be essentially closed. Only businesses that maintain basic services will remain open (e.g. food stores). Therefore, please make sure that your recipients can receive your deliveries before you send the freight. If your shipments cannot be delivered, we must return them to you immediately to avoid space problems at the locations and associated delivery bottlenecks.
Due to current high shipping volumes, which are further intensified by special online sales days such as "Black Friday", delays in processing may occur in the coming weeks. To ensure that your shipment reaches the recipient on time, we ask you to pay close attention to our note on recipient verification.
06 November 2020
Denmark restricts the movement of goods
The COVID 19 situation in Denmark has worsened and Phase 2 is now proceeding rapidly. The Danish authorities have today closed the entire North Jutland region (covering more or less all postal codes from DK-9100 to DK-9990 and postal codes DK-7700 to DK-7790).
Currently, all transport between municipalities in the region is prohibited, many stores are closed, schools are closed and people have to work from home. We must therefore inform you that deliveries/collections to the mentioned districts in DK may be affected by the regional blockade.
We will inform you about the current situation as soon as possible. Shippers should in any case obtain information in advance from the export customs offices whether their customs offices in the mentioned region can receive freight.
Greece: 3-week lockdown
From Saturday 07.11. a 3-week lockdown will apply throughout Greece for restaurants and bars, retail, schools and universities. Wholesalers, manufacturing companies, hotels and elementary school are open. The operation of retail trade (with the exception of retail stores for food, such as supermarkets, minimarkets, etc., and pet shops), hairdressers and personal hygiene services is suspended. Catering facilities (restaurants and bars) have ceased operation and only delivery and collection services are allowed.
The movement of goods is initially not affected. Our domestic network will be fully operational with some delays; therefore, we have agreed transit times may not be met.
Italy again introduced comprehensive restrictions on November 6.
Lombardy, Piedmont, Valle d'Aosta, and Calabria (postal codes 10-15, 20-28, 46, 87-89) have been declared the "Red Zone" with the most severe restrictions, which means the closure of stores other than grocery stores, pharmacies, and stores selling basic necessities while manufacturing industries can continue to operate.
Therefore, before shipping, check that your receiving businesses are able to receive shipments. Otherwise, we would be forced to return these shipments to you, as our warehouses are not able to receive all shipments that cannot be delivered. Our import/export departments remain operational as always and are available for any queries.
21 September - Latest Update
Israel Covid-19 Update / Second wave
Due to a substantial increase of coronavirus cases in Israel, our government decided to order a three-week lockdown beginning September 18th.
During the lockdown: kindergartens, school system, educational institutes - will remain closed. People will not be able to venture more than 500 meters from home. Restaurants, shopping centers, and businesses that offer leisure and recreational activities will be shut down.
The public sector will operate in a limited format as it did in March and April (during the first wave). The private sector will be allowed to continue working, as long as their businesses follow all Government orders.
We at HWL-Israel follow Government regulations and will keep serving our customers and partners with minimal interruption. Customs Authorities will work normally and will be able to release goods for import and export. The airport will stay open, however not all airlines are operating, freighter operators increased their capacity.
For additional information and solutions please contact our air import/export teams.
Ocean ports and ocean carriers will operate normally as well with slight modifications to their schedules.
For further support and information kindly contact:
- Import Maya Keinan, Import Dept. Manager
- Export Hillel Magnes, VP Export and Cold Chain
- Sales Shay Mograbi, VP Import and Sales
- Customs Dudi Yosef, Customs Dept. Manager
29 July - Latest Update
Covid-19cases in India have surged to 1,583,792 as of 30 July 2020. The Ministry ofHome Affairs, therefore, extended the lockdown in containment zones acrossIndia to August 31.
Hellmann India Offices
- All staff remains working from home except skeletal staffs working fromOffices, Airport & CFS with special permission
- Only freighter operations are allowed to operate as on date
- Government will further open up the international commercial passenger flightsin a calibrated manner, however, details for the same are yet to be revealed
- CFS is operating uninterrupted with skeletal staff in all departments despitechallenges posed due to lockdown.
- IMPORT: Presently CY deliveries are being issued after completing necessarycustoms, documentation, and operational formalities.
- EXPORT: Stuffing of containers being carried out for palletized cargo. Cartingfacility for palletized cargo is available but subject to space and advanceintimation
- Operation is available for all goods.
- Operations is slow due to limited Custom officials & Airport/CFS staff.
- Loading & unloading activities challenging as limited loaders available.
- Transportation is very challenging due to the unavailability of Vehicles
- All our warehouses are fully operational
22 July - Latest Update
United States Update
- US imports have increased in June due to store and restaurant re-openings as well as seasonal (back-to-school) imports
- The increase in demand at a time when capacity has decreased due to extensive blank-sailings of ocean carriers has led to rate increases of over 50% on the transpacific trade
- Space is extremely tight on the US import side and BCO’s, as well as NVO’s, are experiencing roll-overs
- On the export side, space constraints are beginning to decrease, and equipment availability has slightly improved
- As COVID-19 cases are increasing in some of the US states which have re-opened already, it is possible that lockdowns will be re-instated, which would result in another demand drop in the upcoming weeks
- Recent bankruptcy declarations by Avianca and LATAM airlines, along with the nationalization of El Al, may be an indication of even further troubles for passenger airlines if there is not a return to normality soon
- Further (re-)shutdowns are being contemplated in the US and restrictions on US travelers overseas have the potential to land a further crippling blow to an industry which is already struggling
- With the impact the passenger flight capacity has on the freight industry, there are further headwinds concerning prices for the remainder of 2020
- Currently, there is a lull in the market with respect to rates, but, as we get closer to fall and the holiday season, there is likely to be a push for inventory replenishment that will further strain the limited capacity available until the passenger-carrying flights return to the marketplace.
- Some carriers are now discussing the possibility of negotiating BSA’s/contract rates with longer validities than have been available over the last several months, which have been dominated by spot or ad-hoc pricing. It remains to be seen what, if anything, will ultimately be offered; but customers with the ability to provide somewhat accurate forecast data for the remainder of the year may find themselves able to lock in relatively competitive rates should they so choose
- Rate levels on the transatlantic remain quite high since that trade lane is, under normal conditions, serviced by a high percentage of passenger aircraft capacity, which is currently missing from the market. As that capacity slowly gets added back in, there will likely be a pullback in rate levels. Even if that happens, however, there may be a peak near the end of the year, or second wave of COVID-19, that sends rates back higher
- We are happy to report we are not having any unusual capacity issues currently and we look forward to supporting any of your US Domestic trucking needs
14 July - Latest Update
Bengaluru (BLR), India to follow an intense lockdown from July 14 till July 22
India isexperiencing a severe surge in COVID-19 cases, with current cases reported878,254 (as on July 13) . With the spread is increasing rapidly day-to-day themost cases are reported in the cities of Mumbai, Delhi, Chennai, Bengaluru,Ahmedabad. Given this uncertainty of COVID-19 growing across India, BengaluruUrban & Rural districts have declared an intense 7-day lockdown from theevening of July 14 until July 22 in a bid to curb the surge in COVID-19 casesin the districts.
Thelockdown applies to all government and private offices, warehouses, andfactories. During this period, only essential services are allowed to operate.This is expected to have an impact on our Air & Sea and WarehouseOperations in Bengaluru until July 22. Post this date, we might also expect adelay in customs clearance and deliveries of air and sea cargo due to backlog.
30 June - Latest Update
The coronavirus Covid-19 still has far-reaching effects on the global economy. China has already ramped up production again, but due to the lack of global demand, various forecasts for this year show a decline in sea freight of about 10 percent. There are still restrictions, which are particularly evident in the area of capacity and container bottlenecks as well as ship delays. In addition, the shipping companies have also announced very high levels of dry runs ("blank sailings") for the third quarter.
Our local Hellmann contacts are available for additional information and your questions.
23 June - Latest Update
Road Freight Europe
Although the infection curve in Belgium is at its lowest point since the beginning of the crisis, our partner H. Essers N.V. is still struggling with an extremely low volume (hardly any consumer goods). Essers has therefore decided not to increase its scheduled departures before the end of September.
Unfortunately, the coronavirus situation in Portugal has worsened and especially following postal code areas are affected: 10..20..60..70..80.. ( inculding the City of Lisbon, Greater Lisbon and Algarve). Therefore, no STAR SERVICES can currently be offered on Portugal routes until 30.07.2020.
India is experiencing a surge in COVID-19 cases daily, with current cases reported 395,048 (as on June 20). With the spread increasing rapidly day-to-day, most cases are reported in cities of Mumbai, Delhi, Chennai, and Ahmedabad. With this uncertainty of COVID-19 growing across India, within the districts of Chennai, Tiruvallur, Kancheepuram, and Chengalpattu there has been declared an intense 12-day lockdown from June 19 till June 30 in a bid to curb the surge in COVID-19 cases in these districts.
The Chennai Customs Broker Association has requested the Finance Ministry to consider the 12-day lockdown for all logistics operations including the closing of offices of Customs & Port department helping to curb in the surge of Covid-19. If the above decision is to take effect, there would be an impact on our Air & Sea Operations in Chennai.
Further, we might afterward also expect containers and other cargo stranded at various places for want of documents and process of customs procedures. We will keep all updated on further developments.
12 June - Latest Update
Since June 9, Moscow gradually ends its self-isolation orders including its digital pass system and schedule system for taking walks outside. The city also released a schedule of which restrictions will be lifted over the next few weeks. It will take about two months for Moscow to completely exit its coronavirus lockdown, Mayor Sergei Sobyanin said. Nevertheless, we remain working remotely till the end of June.
With little steps Russia also begins re-opening its borders to foreign nationals, starting with foreigners who need to come to Russia for medical treatment or to take care of their relatives, Prime Minister Mikhail Mishustin said. It seems that Russia plans to resume international air travel on July 15, as it eyes a gradual return to normal life amid the coronavirus pandemic. At least that reported the RBC news website and state-run TASS news agency already this week. All other regions are independent of their measures and decisions, which continues to have a severe impact on our business at Hellmann East Europe.
Great Britain - Quarantine Requirements
Since Monday, June 8, the British government has introduced a 14-day quarantine period for all passengers arriving in the country. Certain exceptions have been introduced, including for truck drivers. This means that your drivers are exempt from this quarantine period while at work. However, they must meet the requirement to fill in an online declaration of the reason for their journey (Link: https://visas-immigration.service.gov.uk/public-health-passenger-locator-form).
Any passengers in the cabin who are not at the wheel are not exempt from quarantine and risk being denied entry into the UK. Therefore, please ensure that only persons directly involved in freight transport are carried on board your trucks. For the latest information and guidance on these measures, please see www.gov.uk/uk-border-control and exceptions here.
11 June - Latest Update
As part of the measures taken by the Government to gradually lift the restrictive measures on flights to and from Larnaca and Paphos Airports and the operation of the Airports, the Action Plan provides for two phases to open airports and restore Cyprus' connectivity with other (European) countries as follows:
- A PHASE - from June 9 to 19, 2020
- B PHASE - from June 20, 2020
The respective countries have been classified into two categories, based on their epidemiological picture:
Category A: Greece, Malta, Bulgaria, Norway, Austria, Finland, Slovenia, Hungary, Israel, Denmark, Germany, Slovakia, Lithuania.
Category B: Switzerland, Poland, Romania, Croatia, Estonia, Czech Republic
10 June - Latest Update
Germany ends border controls
Germany will end its border controls on 16th June. This was announced today by Federal Minister of the Interior Horst Seehofer. He said that the end of the controls would restore freedom of movement within the European Union. The controls imposed in mid-March are to be gradually lowered in the coming days. This means that from next Tuesday onwards, normal operations should be largely normal at the German borders, both in private border traffic and in road freight traffic, where controls were already reduced weeks ago in order not to disrupt the international flow of goods.
09 June - Latest Update
International traffic is still being limited, so please expect potential delays and disruptions, both in time and cost for Air & Ocean modes of shipping.
We provide you with the attached updated list of flight irregularity ex NRT, HND, KIX & NGO/FUK/OKA airports, as of June 5. We kindly ask for your patience and understanding, until the situation improves.
- TC-1 airlines_COVID-19 FLT IRREG_NRT
- TC-1 airlines_COVID-19 FLT IRREG_HND
- TC-1 airlines_COVID-19 FLT IRREG_KIX
- TC-1 airlines_COVID-19 FLT IRREG_NGO_FUG_OKA
- TC-2 airlines_COVID-19 FLT IRREG_NRT
- TC-2 airlines_COVID-19 FLT IRREG_HND
- TC-2 airlines_COVID-19 FLT IRREG_KIX
- TC-2 airlines_COVID-19 FLT IRREG_NGO_FUG_OKA
- TC-3 airlines_COVID-19 FLT IRREG_NRT
- TC-3 airlines_COVID-19 FLT IRREG_HND
- TC-3 airlines_COVID-19 FLT IRREG_KIX
- TC-3 airlines_COVID-19 FLT IRREG_NGO_FUG_OKA
As the number of newly infected persons is decreasing, the Japanese Government announced a policy to lift the coronavirus emergency declaration in the Tokyo Metropolitan area and Hokkaido on May 25. This completes the cancellation/lifting of the declaration in all prefectures in Japan. The self-restraint request made by the Government in response to the COVID-19 pandemic will be relaxed/proceeded in stages.
08 June - Latest Update
Jordan – Changes to lockdown measures
The Jordanian Government announced following changes for the national the COVID-19 Lockdown/Curfew, which took effect on June 6, 2020, and will apply until further notice :
- The curfew will be only between 12:00 am - 06:00 hours
- There will be no full curfew for Fridays.
- Movement between provinces inside the country is allowed effective June 6, 2020.
Travel across the borders, however, is still not allowed, and only limited to Jordanians and residents returning to Jordan. International Passengers flights, therefore, will be following the situation in the respective countries of departure. On the other hand, international commercial flights are already moving for cargo discharge/load with no restrictions.
04 June - Latest Update
Global Seafreight Update
Capacity constraints for June remain very high (-26% from Northern Europe to Asia, -21% from Asian to North America). To maintain a balance between supply and demand, blank sailings will continue to be used and departures will be reallocated. Worldwide 11.3% of the container fleet is currently unused. That is about 520 ships, most of which are currently at anchor in Asia. Such a high number has never been seen before. It should be emphasized that transshipment is guaranteed in almost all global ports, even in countries severely affected by the coronavirus such as Italy and Spain. However, access to capacity varies, which can affect lead times, among other things. Our local experts are available to provide you with advice and assistance to get your goods to their destination safely and quickly, even in these difficult times.
US Operations Update
- Gradual May re-openings of some state economies and government support of businesses and households have led to a recent easing of job losses and a slight uptick in spending. Some retailers and restaurants, already crippled by the coronavirus pandemic, are now struggling with damage to their properties and new closures following protests against police brutality in several cities across the US.
- The biggest challenge in sea freight remains the large number of blank sailings from Asia and Europe. As the demand drop seems to be a little less severe than expected, carriers have re-instated some previously blanked sailings and are deploying extra-loaders from Asia to the US. While the number of blank sailings has plateaued, it is expected that additional blank sailings for Quarter 3 will be announced by the carriers in the next days.
- The cancellation of services is causing container equipment shortages for export cargo – especially at inland locations – and we recommend to place bookings as early in advance as possible.
- Due to the cancellation of air freight services and the sharp increase in rates, seafreight express services for FCL and LCL remain high in demand.
- Significant (passenger aircraft) capacity left the marketplace for a short period, only to come back strong with the “preighters” brought into service, especially on the transpacific eastbound trade lane.
- In April and May, personal protective equipment (PPE) was the dominant commodity in airfreight. This drove increasing rates, as high as 700% in some cases, and therefore attracted many new freighters and the passenger freighters into the marketplace. With a significant amount of the PPE now at destination there is a mode transition taking place to slower, more cost efficient modes for the movement of this commodity. The result is falling demand for capacity and market levels dropping significantly on the transpacific trade lane, especially from mainland China and to a lesser extent from Hong Kong and the surrounding region.
- These lower rates are forcing the aircraft with relatively high operating costs for cargo (i.e. the “preighters”) to reduce their capacity or remove it altogether. This will likely lead to a short term “re-spike” in rates, but until such time the general cargo freight returns to the market rates are likely to be relatively low.
- The statement of US President Trump as it relates to Hong Kong’s status as a separate entity from China being reconsidered, will have far reaching implications in the airfreight market that cannot even begin to be quantified at this time. As the world’s largest heavyweight cargo airport, carrying nearly 5 billion kilograms in 2019 (~8% of global share), any change in status would have an extreme impact on what has been a conduit between east and west for decades.
- Initially, capacity was limited due to the restocking efforts of the transportation community trying to ensure critical goods were on the shelves. Although capacity was limited, Hellmann has worked closely with our transportation partners to ensure Hellmann freight would move through the network. At this time capacity is at near normal levels and we are not experiencing any capacity issues with our ground network.
02 June - Latest Update
Africa Update – Kenia/Uganda Border Crisis
A tailback of 80kms has developed at one of the main border crossing points between Kenya and Uganda. It is estimated that it shall take about 2 weeks to clear. The congestion is caused by a driver’s strike, because of tensions between the drivers and Ugandan authorities and residents over Covid-19 testing issues. Also, a directive from Kenya to use only the SGR (rail) to Naivasha about 100kms North West of Nairobi in Kenya has not helped. We expect delays for Road Freight between Mombasa to Uganda, Rwanda, Burundi, Eastern Congo, and Southern Sudan.
29 May - Latest Update
The government has withdrawn the ongoing nationwide general holiday, enforced earlier to contain the spread of Covid-19 virus in Bangladesh, to allow all offices and business to resume operation from May 31 on a limited scale after more than two months. The cabinet division issued a gazette notification in this regard on Thursday (May 28, 2020).
The directives will remain in force until June 15. According to the gazette, all public, private and autonomous offices can be opened on a limited scale from May 31 to June 15 but everyone will still need to follow the 13 health directives issued earlier. However, pregnant women, the elderly and the sick have been asked to refrain from attending offices. All meetings will be done virtually except for any emergency, as per the gazette. Passenger transport including road transport, train and water vessel can be operated with limited passengers from May 31, maintaining health guidelines. Everyone must use masks while using public transport, the gazette said. However, law enforcers will strictly continue the ban on movement of people to and from one district to another.
Check posts will be installed at all entry and exit points, which will be monitored cautiously by the district administration and police. On March 23, as a part of preventive measures against the spread of Covid-19 pandemic, the government declared a general holiday in Bangladesh from March 26 and later extended the shutdown in phases till May 30.
27 May - Latest Update
Airfreight – Delays at Paris CDG
Our ground handling agent World Flight Service (WFS) is currently facing significant delays in their import processing times at Charles de Gaulle (CDG) Airport, Paris. The delays are partly related to the unprecedented volume of loose cargo handled. It also appears that cargo is being collected very late both ramp city side and so many trucks waiting to load their shipments cause significant congestion in the most critical WFS’s warehouses. The situation also becomes worse due to Charters flights. Therefore, we inform our customers that we must collect the goods as soon as they are available, especially before & during the coming weekend. For more information reach out to Monika Khemmache, Branch Manager Hellmann Paris.
Road Freight Europe
From June 1, Serbia & Herzegovina will open its borders to citizens from Albania, Bosnia & Herzegovina, Montenegro, and Northern Macedonia. For citizens of other EU states, the border will not be opened until after 15 June.
Slovakia, on the other hand, is extending its border controls until 26 June. In principle, goods can still be transported without restrictions. However, delays may occur time and again.
The Czech Republic officially ended the state of emergency on May 17. However, border controls with Germany and Austria will be maintained at least until 13 June. Hungary has also lifted or eased exit restrictions throughout the country.
25 May - Latest Update
Airfreight – Qatar Airways Cargo
Qatar Airways Cargo, as part of the aviation industry has also been affected by the COVID-19 global pandemic which has resulted in a significant number of hub staff being placed in quarantine and unable to work. Due to this, Qatar’s expected hub throughput and quality has been affected, too. The hub operations are currently running at a slower pace, especially due to break/build activities. Our partner is currently implementing measures to improve the situation by consolidating resources from other lines of our business, increasing the number of through units and also restricting the amount of break/build activities.
Airfreight – China Update
China will continue to severely restrict international flights until at least October. While domestic Chinese air traffic has returned to half of its pre-crisis level according to a report in the business magazine Caixin on Saturday, the air traffic authority is maintaining restrictions on flights from abroad. (source: DVZ.de).
20 May - Latest Update
Seafreight - Better outlook of Supply Chains as of July 2020
Whilst we are currently in the midst of the largest amount of blank sailings on record, analysis of the deployed capacity outlook, corrected for normal levels of blank sailings, shows that no blank sailings beyond Q2 are on the books. We therefore expect the situation to ease in the third quarter of 2020.
Lufthansa expands capacities to China
Lufthansa Cargo is now offering up to 14 additional cargo flights a week from Shenzhen to Frankfurt. The airline announced this on Monday evening. The first aircraft, a Lufthansa Airbus A330-300, took off from Shenzhen on schedule on Monday.
For Shenzhen Airport and the International Cargo Center Shenzhen, the launch of the Lufthansa connection is a further step in the internationalization of Shenzhen Bao'an Airport. "Lufthansa Cargo is doing everything it can to strengthen security of supply by air and maintain supply chains. We are continuing to expand our services to ensure the rapid transport of large quantities of urgently needed goods," explained Dorothea von Boxberg, Lufthansa Cargo Board Member Product and Sales.
For our customers, this is a clear signal of relief, despite the ongoing tense situation in international airfreight.
Airfreight - Tightening of the rate situation in Cambodia & Vietnam
Similar to many other markets around the world, capacity out of SE Asia and in particular Cambodia and Vietnam has taken a severe beating since the onslaught of the Covid crisis. While other more mature markets in Asia have a better freighter vs. belly-hold mix, Vietnam and Cambodia have been much more dependent on passenger belly hold capacity hence the impact of Covid related capacity cancellations has been more severely felt in both markets.
Over the last two weeks, we have observed a spike in medical-related exports/demand from Vietnam and Cambodia particularly to the USA which added more volatility to both markets. Consequently, we noticed market rates to the US from both markets have gotten more volatile of late and has been inching upwards. For any specific requirements, please reach out to your local Hellmann representative.
Europe Roadfreight Update
Austria is opening its borders with Switzerland and Germany to passenger traffic from 15 June. Since 18 May, the weekend and holiday driving ban for trucks over 7.5 t and trucks with trailers have been back in force. However, controls at the borders with Italy, Switzerland, Liechtenstein, and Germany were extended until 31 May. The reintroduction of border controls at the internal borders with Slovenia and Hungary is valid until 11 November.
In Bulgaria, the state of emergency was extended until 14 June as an epidemic emergency situation. Restrictions on foreigners and internationally active professional drivers remain largely in place.
Poland has extended controls at the borders with other EU countries until 12 June 2020. Until then, the borders with Germany, the Czech Republic, Slovakia, and Lithuania can only be crossed at certain crossing points. As in Romania, the relaxation of driving and rest times has been extended until 31 May.
19 May - Latest Update
The Civil Aviation Authority of Thailand extended the ban of all international passenger flight to Thailand till June 30, 2020, which is also effecting belly capacities on trade lanes to and from Thailand. In case of any question, please reach out to your usual contact person(s) at Hellmann Thailand.
15 May - Latest Update
The government has extended the ongoing shutdown of public and private offices till May 30 with some conditions. The Cabinet division issued a circular in this regard today. The extended shutdown includes weekends and holidays of the Eid-ul-Fitr. The announcement came two days before the ongoing shutdown ends on May 16.
According to the notification, all the authorities and people of the country must strictly follow the health guidelines issued by the Health Service Division.
Emergency services such as electricity, water, gas and other fuels, fire services, port activities, cleaning activities, telephone, internet and postal services and vehicles and staff engaged in related services will be out of the shutdown purview.
All type of goods laden transports (trucks, lorries, cargo vessels, etc.) on roads and waterways will run during the shutdown, it said. Transportation of agricultural products, fertilizer, insecticides, foods, goods, medical equipment, newspaper, daily essentials and kitchen markets, drug stores and hospitals would also remain out of purview of the shutdown.
Readymade garments, pharmaceutical, and export-oriented industries can remain open by following the health guidelines issued by the Health Service Division. Public transport services will also remain suspended across the country until May 30 in a bid to contain the spread of coronavirus in line with the government’s general declaration to extend the lockdown.
14 May - Latest Update
Malaysia has extended the movement control order until June 9, 2020, dividing the country into green & red zones depending on the number of infections. Our office in Penang currently under Green Zone and we can thus activate 50% of employees to work at our Hellmann Penang office while 50% remain working from home. For the Kuala Lumpur office, all employees are working from home as there are some districts still under Red Zone. We are monitoring the situation from time to time and shall update with any new announcements made by the government.
To avoid a further expansion of the COVID-19 outbreak throughout the country, the Ministry of Interior imposed another 4 days of curfew and lockdown in many metropolitan cities of Turkey between May 16 and May 20. That is why our offices will be closed until 20th May 2020.
12 May - Latest Update
Global Sea Freight News – Continued Disruption of Supply Chain to be expected
Currently the inactive fleet stands at around 450 vessels, which represents around 2.5 m TEU in terms of capacity. This is more than after the Global recession in 2008-2009. More is expected to come as Carriers have announced nearly 500 blank sailings across the market, 75% of which will come on the main trade lanes. The Carriers are carefully watching the supply and demand situation in order to avoid a rate crunch but at the sametime they are also looking at the global economy development over the past Q2 and increasing the capacity again when the opportunity arises.
The Capacity outlook on the main trade lanes in the next 2-3 months are as follows based on a year on year comparison.:
- Asia Exports to NorthEurope/Mediterranean - minus ~7%/~16% (the backhaul trade is automatically effected)
- Asia Exports to NorthAmerica West Coast/East Coast – minus ~14%/~4% (the backhaul trade is automatically effected)
- Asia Exports to SouthAmerica East Coast – minus ~20% (the backhaul is automatically effected)
- Europe Exports to NorthAmerica East Coast/West Coast - plus ~3-4%/minus ~4% ; to East Coast SouthAmerica – plus ~8%
Above information are based on our market knowledge, Carrier information and our industry perspective. For more details, please reach out to your Hellmann representative.
JAPAN - Update
International traffic is being limited by each day, so please expect potential delays and disruptions, both in time and cost, for Air, Ocean modes of shipping. We provide you with the attached updated list of flight irregularity ex NRT, HND, KIX & NGO/FUK/OKA airports, as of 08 May. In addition, we attach the notice of additional (extra) flight operation change on May by ANA (All Nippon Airways). We kindly ask for your patience and understanding, until situation improves.
- TC-1 airlines_COVID-19 FLT IRREG_NRT_05
- TC-1 airlines_COVID-19 FLT IRREG_HND_05
- TC-1 airlines_COVID-19 FLT IRREG_KIX_05
- TC-1 airlines_COVID-19 FLT IRREG_NGO_FUG_OKA_05
- TC-1 airlines_COVID-19 FLT IRREG Trilateral_05
- TC-2 airlines_COVID-19 FLT IRREG_NRT_05
- TC-2 airlines_COVID-19 FLT IRREG_HND_05
- TC-2 airlines_COVID-19 FLT IRREG_KIX_05
- TC-2 airlines_COVID-19 FLT IRREG_NGO_FUG_OKA_05
- TC-2 airlines_COVID-19 FLT IRREG_Trilateral_05
- TC-3 airlines_COVID-19 FLT IRREG_NRT_05
- TC-3 airlines_COVID-19 FLT IRREG_HND_05
- TC-3 airlines_COVID-19 FLT IRREG_KIX_05
- TC-3 airlines_COVID-19 FLT IRREG_NGO_FUG_OKA_05
- TC-3 airlines_COVID-19 FLT IRREG_Trilateral_05
11 May - Latest Update
Airfreight Capacity Options to/from New Zeeland
We have created new, flexible air freight capacities between Europe and New Zealand for our customers. The new connection is between Auckland and the European hubs Frankfurt (FRA), London (LHR), Paris (CDG) and Brussels (BRU) with three departures and landings per week each. For further information please see our flyer.
On May 11, 2020, Switzerland reopened another 15 border crossings to traffic, the German logistics paper Verkehrsrundschau reported on Monday morning. This measure complements the opening of four border crossings, which already took place last week, the Swiss government announced. To ensure the smoothest possible flow of traffic, the Federal Customs Administration is opening further border crossings in the cantons of Graubünden, Ticino and Solothurn, as well as in western Switzerland. At the same time, the opening hours of already open border crossings will be extended. Far-reaching border openings are also currently being discussed in Germany. An overview of the border status per country can be found in our Global Operations Update.
France - Gradual lifting of the general lockdown
In France, the first phase of the relaxation in the Corona pandemic came into force on Monday, May 11. French people are now allowed to leave the house without a pass. Shops are allowed to open under certain conditions, schools and day-care centers are gradually opening again. Entry into France is currently only possible for valid reasons such as work or school attendance. Luxembourg, Denmark and Turkey have also recently relaxed their corona-related regulations.
08 May - Latest Update
FDA Continues to Combat Fraudulent COVID-19 Medical Products
The U.S. Food and Drug Administration has published an update on its efforts to combat the worrying actions of companies and individuals who are taking advantage of widespread consumer fear during the COVID 19 pandemic. Against scammers who sell unapproved medical products on the Internet, the FDA has taken action to identify and stop those who sell unapproved products that fraudulently claim to alleviate, prevent, treat, diagnose or cure COVID-19.
Please note that the increasing tightening of controls may lead to longer waiting times in the transport process.
Further information can be found here.
Germany: Sharpest decline in exports since 1990
In addition to the news on the current COVID-19 situation, here is an outlook on the effects of the developments on exports in Germany.
German exports collapsed at the beginning of the Corona crisis. According to the DVZ, companies exported goods worth 108.9 billion euros in March, a total of 7.9 percent less than in the same month last year and 11.8 percent less than in February 2020, according to the Federal Statistical Office on Friday. Compared to the previous month, it was the sharpest drop since August 1990, with imports falling by 4.5 percent to EUR 91.6 billion within a year.
07 May - Latest Update
Seafreight Update on international Blank Sailings
Shanghai Airport Backlogs
At present, we are experiencing massive delays in the handling of air freight at Shanghai Pudong International Airport (PVG). The reason for the situation is the newly introduced export regulations of the Chinese authorities for medical goods and personal protective equipment (PPE) combined with the increasing demands from virtually everywhere in the world.
With the latest announcements, China has further tightened its regulations to ensure the quality of the exported goods. Chinese customs authorities monitor strict compliance with the regulations for all exports. This is causing strong backlogs outside the airport and extended waiting times in the cargo terminals. As a result, more and more shipments are left on the ground as flights need to leave empty in line with their schedules.
We are doing everything on our side to deliver all our customers' consignments in time, but within the current environment, the situation is outside our direct control and therefore, we cannot guarantee transit times for shipments ex Shanghai. We urge all our customers to plan at least with an additional few days extra time for cargo leaving via PVG.
06 May - Latest Update
Road Freight Europe
The curfew in Italy has been lifted. From May 11, the regular service between our branch Osnabrück and Bianchi in Casnate (Como) will be resumed with a daily round trip with a 2-man crew.
In Hungary, however, the nationwide curfew has been extended indefinitely. This means that people are now only allowed to leave their homes there for the journey to work and for necessary purchases / activities. Since 1 May, employees with business connections to or from Austria can cross borders without restrictions. However, the transport of goods between Austria and Hungary remains possible at the border crossings provided for this purpose.
05 May - Latest Update
India on Tuesday saw a spike in the total number of Covid-19 cases to crossing over 37,200. The ban on all international commercial passenger flights landing in India has been extended until May 17, 2020. Passenger trains (including Metro trains) across India have also been canceled until May 17, 2020.
Despite the strict guidelines by the Government of India almost all logistics activities are to remain operating with arrangements for Social Distancing in offices, workplaces, factories & establishments. However, based on the reported number of positive Covid-19 cases all Indian districts have been divided into 3 zones:
- RED Zone (Total Lockdown)
- ORANGE Zone (Partial Lockdown)
- GREEN Zone (Non infected zones)
Currently, 130 Districts are in RED zones, 284 in Orange & 319 in Green Zones, whereas all our Hellmann offices are falling under RED zone. This means that our staff will remain working from home until further notice except for skeletal staff working from offices, Airport & CFS with special permission.
The effects felt in our Air Freight, Sea Freight, Customs Brokerage, and Warehousing business can be read in our Global Operations Update.
Here are the latest updates on
- Freighter Schedules – India
- Blank Sailing Overview Imports – India
- Blank Sailing Overview Exports – India
The government has extended the ongoing nationwide closure of public and private offices until May 16 to contain the spread of coronavirus. The public administration ministry issued a gazette notification in this regard today. Offices under ministries will be open as per requirement. The ministries or departments will give instructions to the offices for their work management.
All types of goods laden transports (trucks, lorries, cargo vessels, etc.) on roads and waterways continue to run during the shutdown. Transportation of agricultural products, fertilizer, insecticides, foods, goods, medical equipment, newspaper, daily essentials, and kitchen markets, drug stores, and hospitals would also remain out of the purview of the shutdown.
Readymade garments, pharmaceutical, and export-oriented industries could reopen only after ensuring health facilities, social distancing, and following the guidelines of the government.
04 May - Latest Update
We continue to monitor the departure schedules of our carriers for you. These are the latest news about Blank Sailings and Container Free Times:
- ONE - Extended container free time at the Ports of Savannah and Houston
- ONE – Latin America East Coast Blank Sailings
- ONE – Latin America West Coast Blank Sailings
Meanwhile, the global capacity crisis in ocean freight is expected to intensify further following Hapag-Lloyd's announcement to reduce capacity by up to 20% on key trade lanes (in particular Asia - Europe). In addition, the Hamburg-based shipping line intends to return a double-digit number of chartered ships, the Frankfurter Allgemeine Zeitung reports. The peak of the corona crisis in sea freight is therefore not expected until June 2020, the paper continues. We will keep you constantly informed about the latest developments.
Road Freight Europe
The German authorities opened six more border crossings from Rhineland-Palatinate and Saarland to France on Monday. According to the dpa (German Press Agency), the opening will initially apply to commuters and goods traffic, according to police. Transit times and waiting times at the border for our European traffic should thus become a bit more normal. At the external borders in Poland, on the other hand, security must continue to be ensured with increased controls. Only a few border crossings there will remain open until May 13.
China Export Regulations Update
The Chinese Ministry of Commerce, General Administration of Customs and National Medical Products Administration released updated regulations about how to export medical supplies orderly, again. Download the latest updates in the Guideline of the Export Medical Supplies (Additional Information can be found in Appendix 4 and Appendix 5 of the Chinese Authorities).
Japan Extends State of Emergency
Japan has extended the state of emergency until the end of May. However, the state of emergency in Japan does not mean curfews like in Europe. The citizens of the island kingdom are merely being asked to stay at home if possible. For our teams this means that we will continue to do business for you in your home office or with a reduced team in the office.
29 April - Latest Update
Lufthansa plans more flights again
Lufthansa is slowly planning more flights again. The flight operations of the foreign subsidiaries Austrian and Brussels will remain closed until the end of May, the Group announced in Frankfurt. To this end, Lufthansa is increasing the number of weekly connections at its German hubs in Frankfurt and Munich by 50 to 330. The new Lufthansa flight schedule with the additional destinations Athens, Porto and Gothenburg will apply from 18 May.
THAILAND - Update
Here is an update on the Covid-19 status of Hellmann Thailand : 28 Apr,2020
Thai health officials yesterday confirmed 7 new Covid-19 cases from around the country, bringing the total to 2,938 cases with 54 deaths, 232 cases in hospital and 2,652 cases recovered. The night curfew from 10PM until 4AM is bound to continue until further notice.
Passenger flight restrictions will be extended until May 31st, 2020 (see attached, only available in Thai) by the Civil Aviation Authority of Thailand. The ban does not apply to stage or military aircraft, emergency landing , technical landing without disembarkation, humanitarian, medical or relief flight, repatriation flight and cargo flight. The passenger on board the aircraft will be subject to the measures under communicable disease law, such as 14 days state quarantine, and the regulation under the Emergency decree on State of Emergency.
RUSSIA – Update
President Vladimir Putin has extended the national “non-working” days through May 11 as Russia continued to see sharp daily rises in new coronavirus infections in recent days. By May 5, the government is to develop a plan for the gradual mitigation of the anti-corona measures. After 11 May, the regions themselves should be allowed to decide on a weakening of self-isolation, the president said. In the meantime Moscow's coronavirus lockdown has been extended until May 13.
28 April - Latest Update
As of April 27, Vietnam’s Ministry of Health confirmed a total of 270 cases of COVID-19. However, 225 of the affected patients have recovered and been discharged from hospitals.
Vietnam’s Prime Minister issued Directive No. 19 on measures to cope with COVID-19 on April 25. The measures include the washing of hands, and wearing masks while banning religious gatherings, festivals, and sporting events. In addition, bars, pubs, beauty salons, and karaoke bars will continue to remain closed until further notice.
Social Isolation Guidelines
Vietnam ended the social isolation guidelines at the end of April 22, though restrictions will continue in some high-risk areas. While the social isolation guidelines in Hanoi and Ho Chi Minh City have also been annulled, some restrictions continue to remain for bars, clubs, spas, theaters, sports centers, and others while the gathering of more than 20 people is prohibited. Restaurants and eateries that operate must comply with strict guidelines fromlocal authorities. Taxis, buses, grab services and inter-provincial transport have also resumed though with restrictions as per the transport authorities. Vietnam’s Prime Minister has stated that the social distance guidelines will be eased in a gradual phased manner with adequate controls in place to deal with the epidemic. Hanoi authorities have begun screening sellers at local wholesale markets with quick-result test kits to fight the pandemic.
Business Resumption, Donation & Company Dissolvement
One of the largest engine manufacturers in the world resumed automobileand bike production from April 23.
Source : https://www.vietnam-briefing.com/news/vietnam-business-operations-and-the-coronavirus-updates.html/
International traffic is being limited by each day, soplease expect potential delays and disruptions, both in time and cost, for Air,Ocean modes of shipping.
We provide you with the attached updated list of flight irregularity ex NRT,HND, KIX & NGO/FUK/OKA airports, as of 24 April.
We kindly ask for your patience and understanding, until situation improves.
TC-1 airlines_COVID-19 FLT IRREG_HND / TC-1 airlines_COVID-19 FLT IRREG_KIX / TC-1 airlines_COVID-19 FLT IRREG_NGO_FUG_OKA / TC-1 airlines_COVID-19 FLT IRREG_NRT
27 April - Latest Update
We continue to monitor the departure schedules of our carriers for you. Here are the latest news about Blank Sailings:
Bangladesh – Factories Re-opening
Since April 26, factories in Bangladesh have been advised to gradually ramp up their production again. This is done under strict regulations issued by the government. The official "Factory Opening Guidelines" can be viewed in detail here.
China - New export regulations for medical and non-medical goods
In addition to the previously applicable export regulations for medical goods from China, only certified (either CE or FDA certified) devices can now be exported. Furthermore, since the weekend it is effective immediately that the recipient must counter-confirm the quality (quality and intended use) of the aids provided (non-medical or medical-use) in writing. Traders and exporters must also register as before in order to obtain export licenses. Download: Export Declaration of Medical Supplies.
24 April - Latest Update
The derogation from the weekend driving ban in Austria was extended until May 17. The quarantine for the Paznaun valley, St. Anton and Sölden was lifted early on 23 April.
In Montenegro, there are currently longer waiting times at the remaining open border crossings, as all goods requiring hygiene controls must be cleared there. The quarantine for Tuzi (81206, Podgorica) has been lifted. Only the following four border crossings are still open: Albania/Božaj, Croatia/Debeli Brijeg, Bosnia and Herzegovina/Ilino Brdo, Serbia/Dobrakovo.
Italy is another country that has lifted the general driving ban (ban on driving on public holidays and Sundays) for trucks.
The Government of Romania has extended the state of emergency until 14 May. There will be longer waiting times at the borders. The relaxation of the driving and rest time regulations for drivers engaged in national/international freight transport has been extended until 31 May.
Also in Bulgaria the state of emergency has been extended until May 13. Entry into Bulgaria is made more difficult because of border controls. There are waiting times of up to 24 hours. The holiday driving ban for trucks over 12 tons was suspended between 17 April and 17 May.
All information in detail as usual in our Global Operations Update.
Peru – Port Congestions
Due to the current crisis situation, we see increasing port congestions in the Callao Terminals DPW & APM, which is resulting in longer waiting times for cargo entries, cargo dispatch, return of containers and other procedures. In the case of APM, several positive cases of COVID-19 have been informed, for that reason the terminal decided to reduce their time of operations and close the shift from 23:00 to 07:00 hours. We comply with notifying of the current situation in order to take the necessary precautions and allow the cargoes to be shipped and received as scheduled.
Hellmann, acting as your strategic ally, is providing all the necessary support during this difficult time that we are going through and if you have any questions about it, I would be grateful if you could contact the following:
• María Estupiñán – Head of Sea freight Operations and Customer Service
• Evellyn Avellaneda – Import Operation Chief
23 April - Latest Update
Also today there are new announcements of our carriers to Blank Sailings. Here are the latest announcements:
The African states are increasingly struggling to fight the spread of the coronavirus. Border closures, contact bans, and an extensive shutdown of public infrastructures (with the exception of system-critical companies) are among the packages of measures in many countries. In our Global Operations Update, we have added some further countries, summarized for you which restrictions currently apply in each country and how these affect our business on the ground.
Hellmann East Europe
The market supply situation in the Central and Eastern European target countries is gradually stabilizing. Transports to the CIS, Baltic States, Central Asia, and Iraq are running reliably, as are our several weekly groupage departures from Germany and Europe. Our traffic light system is predominantly on "green" for the first time. The truck availability is good. New transit routes are routinely used and the borders are clear. For further information please contact our colleagues at Hellmann East Europe.
Benelux Air & Sea Situation
For the Benelux organization we have been dealing with the restrictions and last week there was a slight release from measures in Belgium. The majority of the measures are still in place and travelling is still limited to the minimum. Despite all security restrictions, our Air & Sea Freight operations are fully operational. Both the Antwerp Seaport and Brussels Airport and Liege Airport are open to handle the inbound and outbound flows.
In the Netherlands both our Air & Sea offices are operational as well and running the day to day activities in shifts during the week. Until May 21, the current measures need to be followed.
Our airfreight hub in Amsterdam handles a lot of freight through our warehouse operations and we have free capacities to build, break, collect, deliver, and clear based on your requirements. Please reach out to our pricing teams for your best options and rates, also reach out to our sales colleagues if you have special requirements.
Slovenia continues to experience long waiting times at the Croatian border. However, border crossing points between Austria and Slovenia have been reopened for cross-border traffic. Freight traffic is possible on both sides without disturbances as far as possible. Freight traffic from Italy via Slovenia is very limited. Transport from Italy to Slovenia, on the other hand, is possible provided that the driver does not show any symptoms of illness.
Freight traffic in Hungary is also limited to a few border crossings. For some regions, only deliveries of food and medicines are possible.
In Slovakia, freight transport is generally possible without restrictions. However, delays may occur time and again. The ban on night and weekend trips has been suspended. From May 1st, commuters must present a negative Covid-19 test on entry.
The Serbian government has temporarily banned entry into Serbia. Excepted from this is the transport of goods for international transport. The permitted period of stay for foreign trucks has been reduced from 24 to 12 hours. Transit freight traffic is also limited to a maximum of 12 hours. Excluded from the border barriers in Serbia are truck drivers, the crews of cargo ships (transit max. 60h upstream and 54h downstream) and cargo planes. These are still permitted despite airport closures.
In addition, there are further adjustments for our main intra-European runs. You will continue to receive all information on this in our Global Operations Update.
22 April - Latest Update
Singapore – Extension of Lockdown
Singapore government has extended the home office directive until June 1, 2020. Existing measurement will be tightened up. Our team will continue to work remotely with all customers and business operations.
We have again adjusted our intra-European main runs. The new departures for Sweden ex Hamburg and Belgium ex Wittlich can be found in our Global Operations Update.
21 April - Latest Update
Please find the latest carrier announcements on international blank sailings:
The situation in our national and international traffic within Europe remains volatile due to the corona protection measures. In addition, there are short weeks in May due to public holidays, which should also affect our transport capacities. We have adjusted our main transit times (not just for the Netherlands) for the accordingly. Find the latest status update in our Global Operations Update.
In the Czech Republic, the parliament has extended the state of emergency until April 30, 2020. Freight transport remains possible despite the closure of the border. All transport to and from the Czech Republic is possible, but there will be some delays at the borders, as the smaller border crossings will remain closed for the time being until 24 April and health checks will be carried out. Driving and rest periods are from now on suspended for at least 30 days. In addition, the driving ban on trucks on Sundays has been suspended.
In Bosnia & Herzegovina, the borders with Serbia and Montenegro will remain closed for private traffic. Goods transport is excluded from this. Nevertheless, there are delays at the border crossings.
Poland is gradually relaxing its corona restrictions from 20.4. However, the border with Germany will remain closed for private traffic until at least 3 May. Polish truck drivers will not have to go into a 14-day quarantine if they are free of COVID-19 symptoms. Truck drivers must still carry the required document on entry. Currently, traffic is running smoothly, except for minor delays at the border with Germany.
20 April - Latest Update
Japan - Exports in decline
Japanese exports fell by 11.7 percent in March compared with the previous year. This was reported by the German Logistics News Outlet, DVZ, with reference to the Japanese Ministry of Finance. Exports to the USA, the country's most important trading partner besides China, fell by 16.5 percent - the sharpest drop since 2011. The car industry in particular was hit hard due to the consequences of the numerous corona restrictions. Car manufacturers' exports to the USA fell by a quarter. Due to the protective measures imposed, our teams are still working in the home office, but your transports continue to be reliable.
Kazakhstan - Alternative routes to Tajikistan and Turkmenistan
On April 14, Kazakhstan has banned transit cargo to Tajikistan and Turkmenistan. Transit to these countries is now only possible deploying the route via Georgia – Azerbaijan – Turkmenistan – Uzbekistan – Tajikistan. If you have any shipment to these countries, please contact our Azerbaijan office. Considering special requirements in this region, please confirm the documents before sending the cargo.
17 April - Latest Update
In India all goods traffic will be allowed to ply. Operations of airport & related facilities for air transport for cargo movement, relief & evacuation are running as well as operations of seaports & inland container depots for cargo transport, including authorized custom clearing & forwarding agents. Also allowed are movements of trucks & other goods/carrier vehicles with two drivers & one helper - including movement of empty trucks. Movement of staff & contractual labour for operations of railways, airports, air carriers, seaports, ships, ICDs is allowed on passes being issued by the local authority on the basis of authorization issued by respective designated authority of the Railways, Airports, Seaports & ICDs. Colds storage & warehousing services, including at ports, airports, railways, container depots, individual units & other links in the logistics chain are available.
Industries/Industrial Establishments listed below will be allowed to operate:
- Manufacturing & other Industrial establishments with access control in SEZs & EoUs, Industrial estate & Industrial townships. The operation will be based on guidelines published by Govt.
- Manufacturing units of essential goods, including drugs, pharmaceuticals, medical devices, their raw materials & intermediates.
- Food processing industries in rural areas.
- Production units which require continuous process & their supply chain.
- Manufacturing IT hardware.
- Manufacturing units of Packaging materials
- Oil & gas exploration/refinery.
- Construction of renewable energy projects.
Offices of Government of India, State & Union Territory will be open.
Commercial & Private establishments as listed below will be allowed to operate:
- Print & Electronic media
- IT & IT enabled services with 50% strength.
- Data & call centres for government activities only.
- E-commerce companies.
- Courier services.
- Hotels, lodges, motels for medical & emergency staffs, air & sea crew.
Hot spots & Non Hotspots Zones
Based on reported number of + cases the districts in the country has been divided in 3 zones.
- RED Zone (Total Lockdown)
- ORANGE Zone (Partial Lockdown)
- GREEN Zone (Non infected zones)
Currently 170 Districts are in RED zones & 207 in Orange & Green Zones. All our offices falling under RED zone. All staffs are working from home except skeletal staffs working from offices, Airport & CFS with special permission as offices are not allowed to operate.
Freighters which are currently operating are as attached. The schedules need to be checked on a daily basis. Airfreight shipments are on spot pricing only.
CFS is operating uninterrupted with skeletal staff in all departments despite challenges posed due to lockdown.
Presently CY deliveries are being issued after completing necessary customs, documentation and operational formalities. De-stuff deliveries are given for palletized cargo but the customers need to intimate the CFS at least 24 hours in advance for such services along with fumigation requirements as/if required.
Stuffing of containers being carried out for palletized cargo. Carting facility for palletized cargo is available but subject to space and advance intimation. Carriers have announced blank sailing's from India.
Operations are very slow due to very limited Custom officials & Airport/CFS staffs but available for all goods. Loading & unloading activities are challenging as limited loaders are available. Also transportation is very challenging as there is an unavailability of vehicles.
Operation available but all our warehouse fall under RED zone & therefore closed.
15 April - Latest Update
Here is an update on the Covid-19 status of Hellmann Africa countries:
The lockdown period has been extended to end of April and with 01 May being a public holiday, this would mean a return to our offices on 04 May. All non-essential goods are being evacuated from the port terminals and stored in approved depots surrounding the ports – or unpacked and stored in our warehouses. All ports are operational for both essential goods such as medical, food stuffs, toiletries and non-essential goods. Inland borders are closed except for the movement of essential goods.
The airport of Mauritius is closed while seafreight is operating at slow pace with vessels delayed or bypassing the port. Until further notice there is a full lockdown until 04 May.
Authorities announced that the lockdown of Toamasina and Antananarivo in Madagascar will be extended for two weeks. Our Antananarivo office therefore is closed with staff working from home. Delays are experienced due to vessel quarantining before berth in Toamasina. The terminal is operating during daytime only and customs is prioritizing foodstuff and essential items. During the half-day opening hours the Toamasina counter remains open.
All drivers entering Tanzania will be under quarantine for 14 days. New drivers are still allowed to travel within the country. On 11 April the government suspended all international passenger flights to Tanzania but cargo flights are still allowed.
Zambia is under a nationwide semi-lockdown. Certain borders still remain open for truck cargo transport only but are congested and the movement is slow as well as processes to get permits.
The Namibia Government has announced a lock down as from Friday 27 March for 21 days with limited mobility of people and limited trade. Re-routing of cargo via South Africa and then by road to Namibia is no longer possible since borders between South Africa and Namibia are locked down. Only cargo such as medicine/clinical supplies, food etc will be allowed to cross border. Walvis Bay Seafreight operations are not affected at present and although slow.
14 April - Latest Update
These are the latest reports from our carriers on international flight schedules and capacities:
In addition, various airlines (e.g. Lufthansa and Air Canada) are currently working on converting passenger aircraft to increase their capacity for pure cargo operations.
Sea Freight Update
Road Freight Europe: International Travel Certificate requires in France
France's President Emmanuel Macron announced yesterday, April 13, that the country's strict exit restrictions would remain in place until May 11. This prolongs France's national standstill, which is likely to have a further massive impact on the economy. Besides, the French Government has decided to adopt further restrictive measures on entry. On Tuesday, April 14, it was officially confirmed by the French Transport Union "TLF" that drivers must also carry an International Travel Certificate. This applies to:
- Travel from mainland France to French overseas territories
- international travel from abroad to mainland France
- international trips from abroad to French overseas territories
The Government of Bangladesh today extended the ongoing closure of all public and private offices up to April 25. This is the third time the government extended leave after it first announced the closure of all public and private offices. Transportation of agricultural products, fertilizer, insecticides, foods, goods, medical equipment, newspaper, daily essentials and kitchen markets, restaurants, drug stores, and hospitals will remain out of the purview of the shutdown.
The productivity of Chattogram Port and off docks have been impacted because of the lesser availability of workers. Additionally, high yard density due to low import deliveries is delaying vessel operations. Higher waiting time at outer anchorage and extended berth occupancy are expected.
Considering the persistent risk and to avoid further expansion of pandemic COVID-19 throughout the country, with effect from 0001 BST on 15 April 2020 until 2359 BST on 30 April 2020, all scheduled international commercial passenger flights to/from Bahrain, Bhutan, Hong Kong, India, Kuwait, Malaysia, Maldives, Oman, Qatar, Saudi Arabia, Sri Lanka, Singapore, Thailand, Turkey, UAE, and UK shall not be allowed to land at any Airport in Bangladesh. International flights regarding the following types shall be conducted as usual:
- Emergency Landing
- Technical Stop (Without crew rest)
- Medical Evacuation
- Special Flight Operation
- Relief/Humanitarian assistance
- Citizen Evacuation
Customs authorities in China have released a new announcement for the export of medical supplies. Please find attached a summary in both Chinese and English to inform you that the status “cargo ready” might no longer be the case.
Due to the situation in Indonesia is getting worse day by day, the Government has decided to apply Large-Scale Social Restriction (PSBB) to cut the chain of virus transmissions. Jakarta became the first region in the country to implement social restrictions to curb the transmission of COVID-19 after the Health Ministry approved the provincial administration’s proposal. This regulation is applied to start from April 10, 2020, until April 23, with possible extension depending on the situation that develops.
Only eight business sectors will be permitted to continue operating during the PSBB that comprise the healthcare sector, food, and beverage, energy sector, communications, banking, and finances, logistics, and strategic business sectors that are crucial to fulfilling people’s daily needs. Trucks for export-import purposes and shipping services still can be operated.
As a precautionary measure in battling the spread of Covid-19, the Malaysian government decided to extend the Movement Control Order until April 28, 2020.
09 April - Latest Update
Airfreight – China Update
The situation in cargo aviation remains volatile, despite the easing situation in China. Here are the latest updates from our carriers on departures from the Far East:
Seafreight – Blank Sailings
Blank sailings continue to be the dominant topic in sea freight. Here is the latest information from our carriers:
Road Freight: France requires truck drivers to have a pass
A passport is now required for entry or transit through French territory. Every driver entering French territory must keep the completed certificate ready for presentation to the border control authorities. Download the relevant document here.
Road Freight - Austria plans end of lockdown
Austria is planning to gradually open up businesses and shops from mid-April, which will contribute to a significant revival of European supply chains. A full status update on European traffic can still be found here.
As of April 08, the city of Wuhan has re-opened after 76 days of “shutdown”. For the time being, the local transportation is not as so smooth yet, trailers supplied in shortage, barge scheduled reduced, consolidation trucking not readily available, international flights not resumed yet. Better still, our Hellmann Wuhan office has managed to officially re-opened today. According to local government requirements, the office does not allow full staff on duty thus only about 30% of colleagues are physically in, the rest are working from home. In general, HWL WUH team are ready and appreciate your support.
08 April - Latest Update
Seafreight – Blank Sailings
Here’s the latest updates from our Sea Freight Partners on international Blank Sailings:
Saudi Arabia – General Lockdown
The Saudi Ministry of Interior has imposed a 24 hours curfew and lockdown in several regions of Saudi Arabia from April 7, 2020 until further notice. The following impact will be felt in our Freight Forwarding Operations:
Air Freight: Skeleton staff is working in the Jeddah / Dammam and Riyadh airport customs. Preference is given to Pharma, Food and Sanitary shipments. Delays are expected for other types of cargos.
Sea Freight: Port operations and customs is working without any disruption, but domestic haulage is hindered as all truck drivers are inspected before entering the port which causes heavy traffic, and picking up the containers from the port is slowed down. Due to the 24 hrs. curfew, the majority of the shipping line staff are working from home and we are facing delays in collecting delivery orders and other documents from the shipping line.
Road Freight and Cross borders: Domestic Land freight is experiencing a lag as most of the trucks and drivers are stuck in different regions due to the sudden curfew announcement, which in turn has increased the domestic trip cost. Trucking companies are in dialogue with the ministry for getting a curfew waiver. In case of cross borders, preference is given to Food / Pharma and Sanitary shipments and the rest of the shipments encounter detained and delay is foreseen.
07 April - Latest Update
Seafreight Blank Sailings
The number of Blank Sailings in international ocean freight is still on the rise. Here’s the latest updates from our global carriers:
It is expected that Thailand will expand the general curfew. Medical, banking and logistics workers related to import and export are exempted from these curfew restrictions. So far, all sea freight carriers and terminals are still operating, yet with restrictions due to increasing blank sailings. Airfreight is heavily effected, too, due to the general market decline and space availability. Hence, please note that with the limited amount of freighters, space to-/from Thailand will be extremely tight for the foreseeable future. Thailand’s Customs, FDA, Cross Border trucking continues and is operational.
With increasing numbers of infections, Japan is also poised to declare a state of emergency, which means that our staff will continue to work remotely until further notice. Our local handling agent at airports and seaports maintain normal operations but with limited staff.
In Bangladesh, the government has extended the nationwide lockdown by another three days to April 14. The productivity of Chattogram Port and off docks have been impacted because of the lesser availability of workers. Additionally, high yard density due to low Import deliveries is delaying vessel operations. Higher waiting time at outer anchorage and extended berth occupancy are expected.
As of April 07, until May 04, only essential services will be allowed to remain open and functional in Singapore. Transport & Storage is one such essential service and by this, it is business as usual for Hellmann Singapore. As only essential services sectors are allowed to be operational, please check with the Singapore Operations Team (Air and Sea) for any new orders received. For any shipments in transit, expect some delays in clearance, storage, demurrage, and detention.
The lockdown in Pakistan has also been extended across the country until April 14. In view of this, our operations in both the company’s locations i.e. Karachi and Lahore will be affected to some extent. Companies dealing in essential services are allowed to work but with restrictions. As per the decision taken by the Government, suspension of operations of all International Passenger, Chartered and Private Aircraft inbound flights to Pakistan, is extended up to April 11, 2020. The only exemption refers to cargo and special flights subject to necessary clearance.
For a more detailed overview per country, please check out our Global Operations Update.
06 April - Latest Update
Contract Logistics – Update on European Vacancies
Due to the interruption of international flows of goods, we are still receiving an increasing number of requests for temporary warehouse capacities for interim storage of goods that currently can’t be shipped. We can offer our customers additional storage space throughout Europe. Please contact Andreas Bothe, Key Account Management Europe, for further details.
Seafreight – Global Blank Sailings
We continue to observe an increasing number of blank sailings in international sea freight. Here is an overview of the latest announcements of our Carriers:
India - Relaxation on Import Free Time for Ocean Freight
The lockdown in India until April 14, 2020, has a cascading effect on the timely handling of import & export containers and respective custom clearance process. As a special concession to our customers during these challenging times, shipping lines will not be charging container detention on all import shipments into India for the period from March 22 to April 14. This pertains only to carrier equipment detention. This will be over & above any existing free time arrangement that is currently availed and agreed as a part of any negotiated contractual terms. The conditions apply as follows:
- This applies ONLY to cargo discharged (import) and empties picked up for export, post and inclusive of March 22, 2020
- This applies ONLY to cargo cleared and waiver requested within April
Qatar – Lockdown Extended, Zero Duty on Food and Medical Supply
The precautionary measures set by the government have been extended until further notice. However, to support and facilitate the flow of food and medical supplies, the government also decided to apply ZERO duty on +900 HS Codes (Harmonized Commodity Description and Coding System). Further details can be found here.
Besides, the GAC (General Authority of customs) decided to merely use a copy of shipping documents to perform the clearance process effective from March 18, 2020. Please contact our operation team to reveal the process of applying this new procedure.
03 April - Latest Update
Singapore tightens restrictions and closes workplaces
According to News Media Channel NBC, Singapore will close schools and most workplaces for a month starting on Monday, Singapore’s Prime Minister announced on Friday, as part of stricter measures to stop the virus outbreak. Essential services and key economic sectors will remain open on the island nation.
We do not currently expect any direct effects on the logistics chains to and from Singapore, but we are continuing to monitor the situation closely. We will keep you informed about further developments here.
02 April - Latest Update
Airline Cancellation Update
We have updated the Airfreight Flight Schedules from China and Singapore.
Seafreight – Blank Sailings
We are still observing increasing Blank Sailings with our Seafreight Partners. With 16 out of a total of 32 canceled trips in April, the Trans-Pacific route is the most affected by the cancellations. All other container shipping consortia combined recently acted comparatively cautiously with 15 canceled voyages. The measures taken by the shipping companies suggest that the slump in demand triggered by the corona crisis is now also reaching the shipping industry. (Source: sea-intelligence / dvz.de)
China - Medical Supplies Export Regulations
The Chinese Ministry of Commerce, General Administration of Customs, National Medical Products Administration, have jointly announced that, with effect from April 01, 2020, to export coronavirus testers, medical masks, protective gowns, ventilators, infrared thermometers, shippers/vendors must present written or electronic declaration during customs declaration to promise that the products have already obtained the certificate in the registration of medical products, meeting the quality standard requirements of the importing country. Customs will inspect and release the cargo based on the certificate approved by relevant departments supervising medical equipment & products. The policy is meant to ensure the quality of products export, considering the reputation of the country.
Italy: New e-Mail Domain
This is to inform you that our air & sea teams in Italy changed their e-mail addresses. Please note that the new domain for Italian mailboxes is @hellmann-network.com. To contact Italian users please use email@example.com accordingly. All other email addresses will no longer be available.
01 April - Latest Update
Airfreight - Global Charter Operations
With the current situation of reduced capacity in the market and an increase of demand especially in medical devices/goods we also see a huge increase of charter requests globally. As a result, we have set up pricing teams in our regions who will be coordinating all those charter requests from a central point of view to streamline the flows better. This is supposed to be more agile and serve you even quicker. For more information reach out to your local/regional Hellmann Airfreight team.
Airfreight - JFK Situation
We are starting to see serious handling issues at New York’s JFK airport. As the city has been significantly impacted by COVID-19 and is currently one of the worst hit regions in the US, warehouses in the area are having extreme difficulty in staffing their facilities and, as of this morning local time we are receiving reports that it may take as many as 10 days to release cargo after arrival. That is why with immediate effect, we prevent cargo from arrival or transiting via JFK.
However, we have already identified various alternatives and communicate these to our shippers and customers in individual cases depending on the destination. If there is any question, please contact your destination handling office in the US.
Spain – Update Import/Export
Following the Spanish authorities' regulation of March 30, 2020, to close down all non-essential domestic activities, the Government has reconsidered this measure following strong pressure from import/export and freight forwarding associations. As of today, all import and export companies may return to normal activities, which means that all shipments can be handled normally again, taking into account the exceptional situation.
However, all customers must still be explicitly requested to clarify with the consignee before handing over the goods to us that his business is open and that the goods can be received.
31. March - Latest Update
Airfreight Update – United Arab Emirates
Emirates Sky cargo Suspension of Al Maktoum International Airport (Dubai World Central, DWC) Operation. Emirates Airlines will be suspending its Dubai World Central Operations as of April 1, 2020. They will be consolidating all operations at Dubai International Airport (DXB) – Emirates Sky Central. Whatever cargo arriving at DWC during these days will be released by DNATA at DWC and not by Emirates Sky Cargo. Cargo originating from Jebel Ali Free Zone Dubai still can be handed over to our Ground Handling Agent DNATA at DWC or we can deliver to DXB.
Road Freight Europe
We have adapted our pan-European main runs to the latest developments. New departure times apply to the Netherlands and Austria. As usual, you will find the latest adjustments for all our transports in our Operations Update.
Russia - Borders closed
Russia introduced restrictions on crossing the national border on March 30. The restrictions apply to car, railway, walking, river and mixed checkpoints on the border. At the same time, truck traffic is unaffected. Moreover, movement across the Russian-Belarusian border will be limited.
The order reads that only diplomatic staffers and their family members are cleared to cross the border as well as truck drivers, river vessel and international train crews, inter-governmental courier service employees and diplomatic post couriers if they present valid IDs.
On March 27, Russia already canceled regular and charter flights, only allowing airlines to conduct flights to bring Russians home from other states. At the same time, the ban is not applied to cargo, postal, sanitary and humanitarian flights.
30. March - Latest Update
Seafreight Blank Sailings
Ocean Insights is closely monitoring the growing list of blank sailings of the 3 top alliances - 2M Alliance, THE Alliance & OCEAN Alliance - across the trade routes of Transpacific, Transatlantic, EastWest trade. Find their list of Blank Sailings here.
Road Freight Europe
Spain has now taken the same measures as Italy and has closed all non-essential factories and businesses for the time being until 9 April (10 April to 13 April is Easter). Companies that guarantee customs transit, electricity and oil products, and the operation of critical infrastructure will remain open. This also includes logistics companies that ensure public supply. This means for our traffic from Germany to Spain as follows:
- All standard departures to Spain will be suspended!
- Hellmann will only depart for Spain as required.
- All customers are required to clarify with the recipient before handing over their goods to us whether the goods are vital, whether the receiving plant is open and whether the goods can be accepted.
- If it should turn out during the delivery that the recipient has nevertheless closed, the goods will be returned to the sender with costs.
- All departures are routed via Neunkirchen, we cannot guarantee transit times to Spain.
29. March - Latest Update
Flight Schedule Udates
Customs Brokerage US
We are ready to assist our customers by managing and clearing freight in all available ports of entry. Still, we should remember COVID-19 also impacts U.S. Customs & Border Protection (CBP) and its' Partner Government Agencies (PGA). While CBP has put some restrictions in place related to passenger clearances and has stopped processing some post-entry work, including Duty Drawback, borders remain open for the processing of cargo. CBP remains committed to expediting critical shipments in this time of need. An example is personal protection equipment for our first responders and medical personnel, as well as Emergency Use Authorization equipment such as ventilators for use in hospitals. In some ports, CBP is operating with limited functions and processing remotely in order to meet demands placed on their already strained available agents and officers. Port operations remain a fluid matter, and we will keep you updated as changes occur with timely and comprehensive solutions to deal with the slowdown or complete closing in a port.
29. March - Latest Update
Vietnam - Airlines Cancellation Update
Download the latest news on Flight Schedules to/from Vietnam.
Road Freight Europe
Restrictions in transit traffic to France are increasingly leading to undeliverable shipments in the groupage and direct load sectors due to closed companies. Therefore we implement the following points together with our partner Heppner:
- The customer-maintaining Hellmann depots receive an overview of the relevant shipments / recipients from Product Management.
- Customers are informed by the depots about the "blacklist recipients”
- Every shipment for such consignees that we receive nevertheless, we have to return with costs.
- In the two remaining German outgoing gateways to France (Osnabrück and Neunkirchen), a final check must be made before loading to see if any of the "blacklist recipients" appear. If so, we have to send the shipment back to the sender.
In addition, we are currently working on adjusted schedules for our national and Europe-wide main runs, which we will inform you about in our Global Operations Update per country.
26. March - Latest Update
Airlines Cancellation China Update
Download the latest update on Airline Flight Schedules to/from China.
Sea – Contract Logistics – Air via Dubai
While production in China and other Asian countries is picking up speed again and transport volumes are increasing accordingly, there is a lack of free storage space at the destinations. We are receiving more and more requests from customers who are affected by this. Thus, we have identified a solution to circumvent this situation in the short term in Dubai. There we can store goods in bonded warehouses and ship them on by air freight as soon as the markets in the target regions are accessible again. Download: Dubai Warehouse Solution Flyer
India General Curfew
India’s 1.3 billion people will go under total lockdown from March 24 until April 14 to fight the spread of coronavirus. No transport movement for commercial goods will be allowed during this time. However, that does not apply for any essential goods and services. Further, all commercial offices and warehouses will be closed for 21 days.
This certainly will have a major impact on air and sea freight to and from India. Freighters that are currently operating are expected to stop as there will be no or very little staff at the airport for ground handling and literally no cargo to lift.
Also, all Hellmann India offices and warehouses will be closed for the next 21 days. Meanwhile, our staff and management are working from home to keep communication alive and maintain business continuity. For more information reach out to your local Hellmann team.
Sea Freight Security Surcharge Germany
Maintaining global supply chains becomes more challenging day by day. There are considerable delays in all modes of transport and a shortage of empty equipment. Also, "blank sailings" are still increasing on all trade lanes. All this not only increases the dispatching effort but also our costs. Given that, an easing of the current situation is not in sight, we as a company cannot bear this unforeseeable and uncontrollable cost increase alone. Consequently, we will introduce a supply chain security surcharge for FCL and LCL sea freight Shipments in Germany. For more information read our customer letter.
25. March - Latest Update
Number of Curfews Rising
United Kingdom, India, Bangladesh, New Zealand, etc. - the list of countries that impose partial or general curfews is getting longer and longer. The common tenor of governments is that production and logistics should be maintained. To what extent this is actually possible, and what effects are actually already being felt, you will continue to learn in our daily Operations Update.
Sea/Air Solution via Singapore
Given the increasing flight cancellations from China to Europe, we can offer our customers cost-efficient Sea/Air Transhipment Solutions from China to all major airports in Europe via our Singapore Gateway. Download: SEA-AIR PROGRAM VIA SINGAPORE GATEWAY
Road Freight Europe - Entry Regulations for Truck Drivers
Truck drivers who want to enter France or Poland must from now on present entry documents that make personal data and travel routes traceable. In addition, health checks can still be expected when crossing the border. Drivers with an elevated body temperature above 38°C must undergo further medical examinations and are not allowed to continue their journey.
Download: Entry Document France
Contract Logistics - Capacities in Europe
Due to the interruption of international flows of goods, we are receiving an increasing number of requests for temporary warehouse capacities for an interim storage of goods that currently can’t be shipped. After a detailed analysis of our capacities, we can offer additional storage space throughout Europe. Please contact Andreas Bothe, Key Account Management Europe, for further details.
24. March - Latest Update
Road & Rail - Supply Chain Surcharge
The current challenges in connection with the corona pandemic are causing unforeseeable and uncontrollable cost increases in all our product processes that we can no longer absorb. Therefore, effective March 23, 2020, we have to charge a supply chain security surcharge in our European road freight business until further notice. On the other hand, the usual surcharges for deliveries to private customers will no longer apply for the time being. You can find more details in our customer information letter.
Road Freight Europe
The European Commission provided a new temporary “set of EU rules for maximum daily and fortnightly driving times”, as well as daily and weekly minimum rest periods for all drivers of road haulage and passenger transport vehicles, subject to specified exceptions and national derogations. The aim of this set of rules is to avoid distortion of competition, improve road safety and ensure drivers' good working conditions within the European Union. The new regulations can be viewed in full here.
Meanwhile, the first freight forwarders and industry associations are expecting a drastic drop in volumes in the various general cargo cooperations in the short term. We will of course keep you informed about the effects this will have on transit times and pricing. The latest news on the situation in European land transport can be found here as usual.
Global Supply Chains under Pressure
"Western supply chains are buckling as coronavirus barriers spread," wrote the New York Times on the situation in the global logistics industry. Jochen Freese, Chief Commercial Officer at Hellmann, also gives a statement on the current situation, stating that, “We have seen the cost on direct services out of Europe to the United States now in the range between 5 to 10 euros per kilo versus less than 1 euro in normal conditions,” which is “a considerable increase and I’m sure that some will no longer fly right now and divert to sea freight due to cost. As logistics providers we can’t bear the difference in costs.”
23. March - Latest Update
Italy – Line Haulage Discontinued
The Italian government has ordered the closure of all "non-essential" companies and factories. The only exceptions are supermarkets, banks, post offices and pharmacies. Against this background, we must temporarily suspend our scheduled services to and from Italy with immediate effect until the Italian government lifts the forced closure. If you need to have vital goods transported that are exempt from the closure, please coordinate with your local Hellmann branch.
Air Freight – New Charter Capacities
According to information from DVZ (Deutsche Verkehrszeitung), the airlines of the Air France-KLM aviation group and the carriers of the International Airlines Group (IAG), which includes British Airways, Iberia, Aer Lingus and British Midland, are the next two airlines to offer their withdrawn passenger aircraft for the exclusive transport of freight. Other airlines such as Korean Air, Cathay Pacific and Delta Air Lines have also already reacted to the drastic slump in demand in the passenger sector in the wake of the corona crisis by taking this step. Lufthansa is also considering such a measure, which is intended to maintain cargo capacity in the international airfreight business.
22. March - Latest Update
Status Update USA & Canada
All Hellmann branches are fully operational. All office employees with laptops have been working from home since early last week. Following the rapid implementation of various IT solutions, the vast majority of our office-based colleagues are now working from home, so we can continue to support our customers’ needs as usual. Scheduled regular deep-cleaning of our warehouses and offices is underway to keep employees safe.
The US Administration announced the suspension of nonessential travel on the U.S. and Mexico border, similar to the earlier decision to close the Northern Border between the U.S. and Canada to all but essential workers. We anticipate for the Southern Border will not be far behind and while this does not prevent the movement of goods, we can expect extended border processing times.
More states and provinces are implementing restrictions on the movement of people, which will hamper the ability of organizations to operate. The logistics sector is deemed as 'essential' so Hellmann employees traveling to and from work are advised to carry their Hellmann identification and a copy of their last pay statement as proof of employment in the event of further restrictions.
Sea Freight US
The more than 100 blank sailings imposed by ocean carriers on the Trans-Pacific trade over the past weeks have impacted port operations in North America, as terminals are reducing shifts due to the reduced volume of import cargo. Blank sailings are now affecting North American exports, where space and equipment are very scarce, and resulting in ocean freight rate increases. In the last 24 hours, California and New York have imposed significant restrictions on the movement of people.
The logistics sector is deemed a critical industry, so we have not yet been subject to restrictions, and the port and rail terminals remain open, while we expect this to evolve. For example, the Port of Miami (POMTOC) has announced their decision to close on March 23 and 24 due to extremely low import volumes caused by blank vessel sailings. Also, the Port of Houston’s two container terminals resumed vessel operations on Thursday evening following a 23-hour closure due to an employee testing positive for coronavirus. This is an example of how port operations can be delayed. However, across many ports, we anticipate a reduction in terminal gate hours, and the expected peak of import cargo will likely result in chassis and driver availability shortages in the weeks to come. Additionally, as a result of work restrictions at many companies, delivery and pick-up windows at warehouses and distribution centers are also shortened, potentially resulting in longer dwell times at port and rail terminals as well as longer return times for empty container returns. To date, ocean carriers and terminals are not granting any extended free time, and any costs incurred for demurrage or detention will be for the account of the cargo owner.
Hellmann is working around the clock to manage these uncertain market conditions and ensure your cargo is flowing without delay. To allow enough time to secure space and trucking capacity, we ask our customers to please provide bookings with as much advance notice as possible. To reduce detention, demurrage, and storage charges, we recommend customers consider trans-loading, temporary warehousing, pre-pull options, and trucker yard solutions. Please continue to engage your Hellmann representative to find alternative solutions and ensure your supply chain works as well as it can in these difficult times. Thank you for your continued support and consideration.
Air Freight US
Capacity constraints have resulted in an ad-hoc pricing environment; we have a variety of options in place to support our customers’ inbound and outbound freight needs. Please continue to engage your Hellmann representative to find alternative solutions and ensure your supply chain works as well as it can in these difficult times.
Road & Rail US
Trucking capacity is available but delays in pick-up and deliveries to loading docks are being experienced due to social distancing and reduced personnel.
Contract Logistics US
Operations are largely normal, subject to hygiene measures.
21. March - Latest Update
European Road Freight
A new main schedule was implemented at short notice due to declining quantities and refusal to accept in some receiving countries. This applies in particular to France, where our partner Heppner is currently facing some issues regarding their nationwide distribution. Download Heppner’s temporary transport plan here.
Airfreight - Global Spot Quote Process
In the current situation, the amount of spot quotes around the globe is increasing drastically. Due to the rising number as well as the manual effort of finding available routing options and applicable rates in a rapidly changing environment, creating spot quotes takes more time than usual. We would therefore ask everyone to remain patient when not receiving immediate responses from our pricing teams.
20. March - Latest Update
Poland Border Situatiuon
Transit: The congestions at the German border with Poland have shortened considerably or even disappeared. Hellmann East Europe also keeps on informing you about the latest news concerning transports to the CIS states here.
Global Warehouse Capacities
With the current shutdown of some countries and subsequent closure of shops, we are observing increasing demand for short term storage by our customers. Distribution Centers in many cases just can’t cope with the material still incoming, while the outbound supply chains have almost stopped completely. We are compiling at this point in time an overview of existing storage worldwide to support you with your capacity requirements.
German Federal States Tighten Exit Restrictions
In the fight against the further spread of the coronavirus, several German states tightened their measures on Friday. Rhineland-Palatinate, Baden-Wuerttemberg, and Hesse will ban gatherings of even small groups. Bavaria goes even further, allowing people to leave their own homes only if there are good reasons. (Source: tagesschau.de).
19.March – Latest Update
Airlines are updating their emergency flight schedules with increasing cancellations. For more info check:
- Quantas Newsroom
- United Cargo Covid Update
- All Nippon Airways (ANA) Flight Schedule
- Singapore Airlines and SilkAir Flight Capacity
European Road Freight
At present, we have to return shipments that cannot be delivered to the recipient due to protective measures at a charge in order to ensure an orderly and speedy return of undeliverable goods. Our cross-docks are not designed to store shipments.
Contactless delivery: In order to protect the personnel in the goods receiving department and of course also to protect our delivery personnel, we are currently increasingly relying on contactless or signatureless acknowledgements of receipt.
Hellmann Healthcare Logistics
Up till now we were able to find a solution for all global healthcare airfreight shipments. In case you have any difficulties, please reach out to Mark van Osdeman or respective Hellmann contact. We fully live up to our responsibility and do our best and be creative to transport pharmaceuticals and medical devices to the final destination, so people who need it, have access to these products. However, we cannot pick up any shipments without a fixed airline booking. We must avoid shortage of cold storages on the airports.
18. March – Update
USA: Customer Information on Service and Operations
This communication is to advise you of how our local operations and customer service colleagues in the US will work to support you and your customers in as seamless a manner as possible. DOWNLOAD: Hellmann US: Customer Service and Operations.
European Road Freight
Since March 17, we are confronted with increasing congestions at European borders. Furthermore, European partners are starting to close down cross-docks. Also, receiving platforms and are switching to one-way traffics resulting in higher costs. Therefore we need to charge a Covid-19 hardship surcharge for Groupage as of March 20. The surcharge will be 8.5% for domestic German Groupage, and 12.5% for European cross-border Groupage. In addition, we are forced to charge a surcharge of 38 cents per package and EUR 2.50 per shipment in the Night Star Express.
Meanwhile, waiting times at European borders are further increasing: strict border controls and the closure of several border crossings increasingly cause delays in international freight traffic. Current border crossing times can be traced in real-time at: https://covid-19.sixfold.com/*
Due to carriers shifting their schedules on very short notice and increasing travel restrictions, potential routings and airport-to-airport rate levels became very volatile. For any airport-to-airport rate requests, please contact your local pricing team in the respective country of origin.
Find your local contact in our Worldwide Directory.
With reference to the recent supply chain interruptions and challenges we face in the current sea freight market, we need to advise that we have to reduce the rate validities of quotations to a maximum of 14 days for sea freight rates and surcharges. Thereby, all quotations are subject to space and equipment availability.
China: Wuhan city expected to be opening up again during next week, so we are expecting cargo flowing again in next two weeks with companies starting to operate. While in Vietnam many carriers plan to reduce frequency in the coming weeks, Malaysia is preparing for a general shut-down. We will inform about the impact of these actions on supply chains as soon as possible. In Taiwan R.O.C., further flights (including freighters) were cancelled. Please reach out to your local contacts for more information. Also in Japan, most of the carriers reduced flight frequency and suspended on selected flights.
As the Coronavirus continues to affect global trading, all international Air flights to and from Morocco have been suspended until further notice, yesterday. The situation remains unclear, as we still not getting any certain information from shipping lines and port services about ports closing. We are currently in search of some solutions by truck to Morocco. We encourage our partners to remain in close contact with the respective sales service in order to address any specific enquiry you may have. In Sudan, Khartoum Airport and all other Airports including landing airstrips are closed. Only cargo flights, scheduled flights and other humanitarian flights are permitted to operate in case by case subject to prior request. Domestic flights including oil service flights must obtain approval prior to operation.
17. March - Updates
US-Europe Air Freight Situation
Despite the tense situation in transatlantic air freight, we can offer our customers the following valid solutions to ensure continued cargo space for cargo flights to the USA:
- AG via London to Chicago
- Qatar via Frankfurt to Mexico City
- Lufthansa via Frankfurt to Houston
All questions regarding capacity and pricing will be answered by your local or regional Hellmann Airfreight team.
European Road Freight
Urgent information to all shippers: Due to the current situation, we must emphasize that in intra-European road freight transport, consignments may only be put on the road where there is a full guarantee that the goods will be accepted by the respective recipient. For any questions, please reach out to your local Hellmann contact.
As a result of the measures implemented, trucks to the CIS states are on the road for much longer, so freight rates in the market will unfortunately increase in the short term. Further information on the general situation on overland routes, disposition times, availability of cargo space, transit times and existing border congestion can be obtained from our colleagues at Hellmann East Europe in a separate live blog (German language only).
Malaysia has announced that they shut down business (companies are not allowed to operate). While ports and customs are operating, there might be issues in delivering or picking up cargo.
In China, the market demand is on uptrend again, especially on outbound flights from China due to conversion from ocean to air. Most freighters are resuming to their normal flight schedules even with additional flights, ad hoc charters, etc. In sea freight, blank sailings will probably be suspended from 1 April, so that the situation will ease again. However, the availability of equipment remains problematic.
With the reduction in the belly load capacity from the passenger flights, the demand for capacity from Hong Kong on freighter flights has increased drastically, which is accompanied by an upsurge in freight costs.
Madagascar also closed all international airports for passengers flights from and to Europe, As of now, cargo flights are not affected.
Peru announced a ban on all international passenger flights arriving from Europe and Asia, effective as of March 16th, for one month in order to prevent the spread of Covid -19. Freighter flights will continue to operate on their regular schedules so far despite the curfew announced by the government.
Please note that due to the government lock down and curfew implemented in Puerto Rico, we would like to inform our customers and agents that from March 16th to March 30th our team will be working remotely from home. Please be assured that we will continue to provide the same service as always.
As of yesterday, March 16th, the Government of Panama also decided to cancel all flights coming from Europe and Asia into Panama for a period of 30 days. Which effect will be felt for cargo flights, is unclear, yet.
We are sure that you are following the developments of the COVID-19-pandemic as closely as we are. The current events are very concerning, and sowe continue to make every effort to protect the health of our employees, ourcustomers, and our partners. We have imposed additional measures intended to ensure the safety of ourcolleagues on the one hand and the maintenance of our operations on the other.These include the following actions:
- Implementation of strict hygiene regulations for all sites and employees.
- Extended access restriction to our locations and rules of conduct for interaction.
- All international travel was banned two weeks ago, and we have now prohibited national travel with immediate effect and until further notice (exceptions require special approval).
- All inter-company meetings will be cancelled or switched to web-based or telephone contact.
- We have asked people to work from home when possible, and we are currently working to create the IT tools to enable this to be extended to as many people as possible.
- For all employees in our operations or commercial departments who do not currently have the technical means to work from their home office, alternative deployment concepts (e.g., shift operation) are available.
- Continuous coordination of our Corona task force with the health authorities.
These measures take account of the seriousness of the situation, but at the same time maintain our operations as far as possible. Also, there are further local site plans to safeguard our operations, depending on our respective service portfolio. It is too early to assess the full impact of the pandemic on our industry and global supply chains. Still, Hellmann continues to work hard to ensure freight keeps moving, and that you receive the best possible service in this tense situation.
In close cooperation with our carriers, we are currently working on solutions, such as alternative routes, to enable air freight shipments to North America and other restricted countries. In this context,short-term charter solutions, where available, are also being discussed. However, due to the fluid nature of the situation, we cannot make blanket commitments on delivery times, price trends, and capacity across all modes of transport; the global situation is too complicated. We, therefore,advise you to address your local contact person to work out personalized solutions for your shipments. We will, of course, keep you informed aboutfurther developments in connection with the COVID-19 pandemic.
Thank you for your understanding.
With kind regards,
Hellmann Worldwide Logistics
16. March - Update
Business Continuity Plan
Due to the latest developments, we have imposed further measures in addition to the restrictions and instructions already published, which are intended to ensure the protection of our employees on the one hand and the maintenance of our operations as best as possible on the other. Currently, a majority of our office staff is working from home, we have invested in additional equipment and have systems in place that allow safe working on Hellmann infrastructure from private computers.
- With immediate effect and until further notice, there is a national and international travel ban for all employees (exceptions require separate approval).
- All inter-company meetings will be cancelled or switched to web-based or telephone contact.
- All employees who have company laptops and can carry out their work from their home office will remain at home until further notice.
- An alternative deployment concept is currently being developed for all employees in our operational or commercial departments who do not currently have the technical means to work from their home office.
US-Europe Air Freight Situation
After a volatile situation at the end of last week, the situation is clearer today, as we have designed various solutions for our customers. Freighters can continue to operate as planned because their crews can enter the US. Additionally, some US carriers have indicated that they will continue to fly passenger aircraft but to a reduced number of airports. In some cases, passenger planes are being offered as charter options. This is good news and will certainly help the situation, but we still see significant capacity restrictions in the near term.
Overall, we are expecting an increasing demand as due to the increasing travel bans more and more passenger planes are cancelled and the belly capacity it not existing any more. While freighter operations are working mostly as planned and in some cases more capacity is added, it doesn't cover the cut capacity.
European Road Freight
The strict health checks for truck drivers at various national borders are already causing traffic jams and waiting times in many places. This has a significant impact on the transit times of our transports, but does not completely interrupt the international supply chains at this time. More serious is that some countries are also stopping the import of goods and closing their borders completely. In this context, Croatia has pushed ahead at the weekend. Here we were able to establish a short-term solution via Hungary and will also strive for this in the event of further border closures.
13. March – Update
Download an updated list of airlines and their announcements regarding flight schedules (latest updates are marked in yellow).
USA: CLOSED BORDERS FOR EU-CITIZENS
President Trump took further action to confine the spread of the coronavirus to the United States from other countries. On March 11, he issued a proclamation to restrict travel to the US from foreign nationals who have recently been in European countries of the Schengen Area.*
This will result in a massive gap in the trans-Atlantic capacity. Our global Airfreight team is working closely with the airlines and charter companies to investigate any alternatives that we can offer to our customers. At this moment, the majority of the airlines are still evaluating the impact of this decision, and what kind of measures must be taken. Meanwhile, our global Airfreight Team is in the process of securing further capacity via Canada and Mexico. We have also investigated various other routing options.
Please engage with us in aligning forecasts and expected volumes that we can discuss options in a dynamic and collaborative manner. In the meantime, please address any questions you have to your local Hellmann representative.
*Source: The Whitehouse
ITALY: GOVERNMENT ORDERS COMPLETE SHUTDOWN
Italy ordered further measures against the spread of coronavirus and closed bars and restaurants and almost all shops for at least two weeks. Only grocery stores and pharmacies will remain open, said Prime Minister Giuseppe Conte. Home deliveries also remained allowed.*
For European Roadfreight to Italy, our partner Bianchi informed us that due to current developments no trade goods can be delivered and corresponding shipments must not be sent on the way in order not to burden the storage capacities there. Since there is no technical solution for differentiation, manual sorting must be carried out. With no overview of which production plants are still open, we now have to notify each consignment individually.
At present we observe severe congestions at Italian-Austrian borders. Austria had introduced strict border controls due to the spread of the coronavirus, trucks sometimes jam up to 90 kilometers.
In other European countries, such as the Balkans, the Czech Republic and Slovakia, there are also increasing delays due to entry stops. For further information on the effects on transit times and capacities, please contact our European Roadfreight Management..
*Source: Italian Government
PR CHINA: HUBEI PROVINCE PARTLY TO RESUME PRODUCTION
The Hubei Province Government has announced gradual work & production resumption. Medical related and public utilities, etc. may resume now, others with significant importance towards national and/or global supply chains may apply for special approval to resume. The rest shall not resume to work & production before March 20.*
As all our Hellmann China offices (except Wuhan) have resumed to operate, please feel free to contact our local teams directly for specific enquiries. Meanwhile, our team in Wuhan still works from home, because of the local restrictions in the office area. We hope that the team may be able to return to office by March 21.
INDIA: TRAVEL AND VISA RESTRICTIONS
The Indian Government has recently published new extensive regulations on entry from affected countries. In this regard, all incoming visitors including Indian nationals are advised against non-essential travel. “All existing visas, except diplomatic, official, UN/international organizations, employment, project visas, stand suspended till 15th April 2020,” it has said in the statement by Indian officials. The restrictions will remain in force till further orders.*
This is accompanied by the cancellation of many flights to India, which also affects air freight capacity. We will continue to regularly update our information on the situation in India as the situation develops.
*Source: INDIA Bureau of Immigration
11. March – News
Italy – Restricted Areas remain open for Transports
Despite the extension of the restricted zones to the whole country of 10 March, there are no access restrictions on the transport of goods, as this is a "necessary reason for work". According to the ANITA trade association, the presentation of general delivery documents indicating the necessary transport should be sufficient. Thus, in the mentioned areas, entry and exit by truck for the purpose of transporting goods is still possible - albeit with delays due to increased border controls.
Throughout Italy the attached form (here is the German translation) must be carried along, which must be completed and submitted to the Italian control authorities. In this form the driver confirms that he is aware of the decree of 9 March 2020 and indicates his place of loading, the transit route and/or the place of unloading. Truck drivers need protective masks and latex gloves and are requested not to leave their vehicles if possible.
The movement of the goods within the affected Italian regions are regularly provided, transportations to and from the ports are allowed with no limit so far under the government measures for the good safe of the people.
Italian Airports are open, even if some airlines have cancelled their flights to MXP and LINATE, but they are still flying to Rome airport. What can change is the transit time and the service, that can be longer than normal, for both services, air and sea.
10. March – News
Bangladesh - Coronavirus Impact
Bangladesh announced the first confirmed coronavirus cases in the country after three people tested positive for the infectious virus in the capital Dhaka on March 8, 2020. Two of the infected are recently returning from Italy. Meanwhile, two others have been quarantined after coming in contact with the patients.
- To help restrict the spread of the coronavirus, Turkish Airlines has suspended all their flights to the following destinations until March 31, 2020: Italy, Iraq, Iran, China, Bahrain, Nakhchivan & South Korea.
- The Directorate General of Civil Aviation in Kuwait on March 7, 2020 suspended all flights to and from seven countries including Bangladesh amid coronavirus fear. The other countries are Philippines, India, Sri Lanka, Syria, Lebanon and Egypt. The suspension will remain effective for one week from March 6, 2020 said a release Civil Aviation and Tourism Ministry. The Kuwait authorities also prohibited the entry of those who stayed in the seven countries in the last two weeks.
- The space situation ex-DAC becomes little bit tighter. Most of the carriers operating narrow-body passenger flight with limited cargo capacity, as the number of passenger becomes very low ex-DAC due to the novel coronavirus issue.
- The Far-East bound carriers, like TG (Thai Airways International), CX (Cathay Pacific), SQ (Singapore Airlines), etc., are frequently canceling their flights. Hence, carriers have increased the rates significantly for EU and US destinations.
- For Far-East destinations (NRT (Tokyo-Narita), ICN (Incheon), PVG (Shanghai Pudong), etc.,) the rates are being increased without any space or transit time confirmation by carriers.
- On March 7, 2020, Cathay Pacific announced temporary suspensions of certain passenger services to Japan as a result of recently issued restrictions for travel between Hong Kong and Japan.
From March 9 until March 28, 2020 all passenger flights between Hong Kong and Fukuoka, Nagoya, Sapporo and Tokyo-Haneda will be suspended.
From March 13 until March 28, 2020 all passenger services between Hong Kong and Tokyo-Narita and Osaka-Kansai as well as between Taipei and Tokyo-Narita and Osaka-Kansai will also be suspended.
- TG (Thai Airways International) cancelled their one flight TG-340 / BKK-DAC-BKK from March 1, 2020 to July 1, 2020.
- HX (Hong Kong Airlines) cancelled all flights from HKG - DAC - HKG until further notice.
- SQ (Singapore Airlines) suspended one flight from Dhaka effective from March 1, 2020. Now operates weekly 9 flight out of 10 ex DAC.
Chittagong Port Authority has taken following precautions for the vessels directly calling from China as preventive measure for coronavirus:
- Vessel Master must declare all vessel members’ health condition.
- Before berthing at port the concern authority will conduct health screening of vessel members’ health condition.
- Vessels will be allotted berth at CGP (Chittagong) after 14 days from the date of her sailing from any Chinese Port.
- The rule will also be applicable for the incoming vessels which are calling other ports in transit after sailing from Chinese Ports.
09. March – News
Customer Information – Coronavirus Impact
Dear valued customers,
The global spread of the coronavirus is keeping us all equally engaged these days. We would like to give you a summary of the preventive measures we have introduced to counter the risk of further spread of the virus.
As a globally active logistics service provider, we have set up a task force to continuously assess the situation and carry out daily risk analyses. On this basis, we have instructed our employees worldwide to cancel as far as possible all international business trips as well as national meetings and events and to choose alternative communication methods if conceivable. Our managers are personally informed about the restrictions and behavior with regard to the coronavirus in dedicated telephone conferences. In addition, our employees also receive regular information, hygiene management has been intensified, and our sites have been equipped with additional sanitary products. We also give all employees, whose work allows this, the opportunity to work from home. We have also activated a notification management system: All employees who have been in an at-risk area should get in touch with the HR department immediately and are instructed to work in their home office for atleast 14 days or to call in sick.
If the virus continues to spread and further restricted areas are declared and supply chains are further restricted, the national and international emergency plans, which we have drawn up, will take effect. On the one hand, these plans provide for measures to ensure the best possible maintenance of operations. On the other hand, the emergency plans define intensified measures to contain the virus and thus protect our customers and employees.
If you have any further questions, please contact your sales representative.
With best regards,
Hellmann Worldwide Logistics
Apart from conversion to air, rail is also a popular alternative to seafreight right now. Due to the increase in demand, trains from China to Europe are fully occupied recently.
There are no restrictions for goods and trucks, our operation is regular. Quarantine for the closed towns ended.
The following villages of the Lodi province were isolated at the end of February and it was not possible to pick up or deliver shipments at these locations:
- 26845 Codogno
- 26823 Castiglione d'Adda
- 26841 Casalpusterlengo
- 26861 Fombio
- 26847 Maleo
- 26867 Somaglia
- 26821 Bertonico
- 26827 Terranova dei Passerini
- 26844 Castelgerundo
- 26848 San Fiorano
- 35030 Vo
06. March – News
Most airports have gradually resumed (except Wuhan) but the issue is the cancellations/suspensions of more & more passenger flights, which is particularly an impact to the Intra Asia traffic which is largely relying on passenger flights. In general, the market demand, especially on outbound from China due to the conversion from ocean to air, is on uptrend. Most freighters are resuming to normal schedule even with additional flights, ad hoc charters, etc.
Most seaports have resumed operations but the equipment shortage could be a bottleneck. Blank sailings ongoing not only causes shipments delays directly but also the returning of empty boxes are slowed down.
Apart from the conversion to air, rail is also a popular alternative to seafreight right now. Due to the increase in demand, trains from China to Europe are fully occupied recently.
Domestic trucking is gradually resuming to normal but in Western China the supply is rather limited. Though most should have already passed the 14-day quarantine, availability of drivers are yet to resume to full scale, and the numerous checks on the roads may cause longer transit time than usual.
All in all, the status update is a generalized indication. As all our Hellmann China offices (except Wuhan) have resumed to operate, please feel free to contact local teams directly for specific enquiries.
03. March – News
Unfortunately, COVID-19 situation in Korea has been getting worse and worse day by day.
As of today, there are 4,212 infectees, 24 dead, 31 cured and 300-500 infectees are being found everyday, especially in Tae Ku city located in the southern area.
Hellmann PUS branch near to Tae Ku city will be temporarily closed from the 4th of March until further notice to prevent infection of COVID-19. Daily job and communication will continue same as normal.
28. February – News
Airlines cancellations/suspensions ongoing but mostly related to passenger flights. Many freighters are resuming normal schedule on particular lanes to coup with the demand, which recently have been growing fast not only inbound into China but also outbound from China due to conversion from ocean to air.
Despite overall seafreight has resumed over 50% in China, as Korea has recently become another country with coronavirus outbreak in relatively large scale, vessels sailing via Busan may be affected, consequently affecting their schedule with particular ports in China. Generally speaking, ocean carriers blank sailings ongoing.
Domestic trucking with gradual but slow improvement, there are still shortage of drivers and delays.
26. February – News
The outbreak of the Coronavirus in China has a huge impact on the container market; the lack of export cargo from China led to various cancellations of sailings from Asia in the past month.
From Asia to North Europe 33 sailings have been cancelled in the last four weeks. This means that 46% of the departures on this tradelane are cancelled. Another 17 sailings will be blanked in the next four weeks so that the situation will become even worse. Overall this leads into a capacity reduction of about 700.000 TEU. As a reference, in the last two years blank sailings during CNY led to a lack of only 340.000 TEU in 2019 and 210.000 TEU in 2018. Same situation is valid for Asia-Med. Here 290.000 TEU will be taken out of the market.
Above situation has direct impact on the backhaul trades.
Due to the lack of space & equipment, for the Europe to Asia, Europe to Middle East and Intra-Europe Trades, carriers are now implementing a GRI (General Rate Increase) & PSS (Peak Season Surcharge) as of March 1st 2020.
On the Europe to Oceania trade the situation is not as clear yet but the first carriers have announced a PSS or GRI and others might follow shortly. We will closely monitor the further development on that trade and keep you posted.
As the reefer shortage in Europe is even worse, carriers announce in addition special reefer shortage surcharges.
Consequently, the same applies for LCL where we face rate increases caused by PSS or GRI for both our consol services and co-load movements. The co-loaders have announced a PSS for Europe to Middle East, East Africa, ISC, Asia and Oceania.
In general we are facing a severe equipment shortage in Europe which in the end will affect all trades.
25. February – News
Unexpected spread of the Coronavirus in Italy
Italian authorities have announced sweeping closures in the country's north as they scramble to contain Europe's biggest outbreak of the novel coronavirus. Italy's confirmed cases surged from three on Friday morning to more than 200 by Monday.
The bulk of the cases are in the northern region of Lombardy, whose capital is the city of Milan, but there are also other cases spreading in Veneto, Emilia Romagna and Piedmont.
Strict emergency measures were put in place over the weekend in the affected regions, which included the closure of public buildings, limited transport, and the surveillance and quarantine of individuals who may have been exposed to the virus.
The following villages of the Lodi province are isolated and it is impossible to collect or deliver the shipments in these places at this point in time. Probably also in other towns around these areas it could be difficult to give service.
26845 Codogno, 26823 Castiglione d'Adda, 26841 Casalpusterlengo, 26861 Fombio, 26847 Maleo, 26867 Somaglia, 26821 Bertonico, 26827 Terranova dei Passerini, 26844 Castelgerundo, 26848 San Fiorano, 35030 Vo
Airlines cancellations/suspensions still ongoing but mostly related to passenger flights. Many freighters are resuming to normal schedule on particular lanes to keep pace with the demand, especially for the rebound due to conversion from seafreight to airfreight.
Ocean carriers blank sailings ongoing.
Domestic trucking with gradual but slow improvement. Even some cross-province highways re-opened, the drivers may be requested to present special documentation/permits and subject to health checks. In practice there are still shortage of drivers and delays. There might be special arrangements possible. Such arrangement is subject to case by case situation and would be at relatively higher cost.
21. February – News
Airlines cancellations/suspensions ongoing but mostly related to passenger flights. Many freighters are actually planning to resume normal schedule soon (e.g. Polar resume PVG-LAX normal schedule next week), see attached airlines flight schedules.
Ocean carriers blank sailings ongoing.
Domestic trucking with gradual but slow improvement. Even some cross-province highways re-opened, the drivers may be requested to present special documentation/permits and subject to health checks. In practice there are still shortage of drivers and delays.
Latest announcement by Hubei province government
Wuhan, the local situation is still critical. The latest announcement by Hubei province government to prohibit work/production resumption is “no earlier than 10 March” (with previous one said “no earlier than 20 February”). There are various quarantine requirements/restrictions and limitations in transportation such that people might be confined to their own living neighbourhood and might not be able report to offices/factories. Hellmann Wuhan team will carry on “work-from-home” for the time being.
All in all, the status update is a generalized indication. Please feel free to contact local teams directly for specific enquiries.
18. February – News
- There is currently no increase of demand on the airfreight side, however high-tech and automotive factories resume back to normal production by mid this week/early next week latest.
- All Hellmann offices are open again except of Wuhan. The local government has announced to postpone the resumption to office until February 23rd or even later.
- So far there are no reports of cargo vessels not being allowed to dock at Asian ports, including those which have recently called in China, except Philippines.
- The seafreight office in Shenzhen has also to deal with local issues. Therefore most colleagues work from home for the time being.
- Cruise ships that have sailed from China, Macau or Hong Kong in past 14 days are not allowed to dock in any Philippine port.
- Cruise ships that have not called in China, Macau or Hong Kong in past 14 days are allowed to dock but must provide health declaration, travel itineraries and undergo screening.
- No Filipinos are allowed to embark in any cruise ship going to China.
- All vessels that have sailed from China, Macau or Hong Kong in past 14 days must be boarded at the quarantine anchorage.
- Upon arrival at the quarantine anchorage, hoist the yellow flag at the foremast and immediately inform the quarantine station via agents. No embarkation or disembarkation allowed.
- Quarantine boarding formalities – Master to submit a health declaration and the Bureau of Quarantine will issue free pratique. In all cases, the master must report to the Quarantine Medical Officer (QMO) if any flu-like symptoms on board.
- Waste disposal not allowed from vessels that called in China, Macau or Hong Kong in past 14 days.
07. February – News
- Most of China (except Wuhan) will resume back to work on the 10th of February. Nevertheless some constraints could emerge regarding the mobility of labor and enforced quarantine which might lead to substantial manpower reduction in some production lines.
- Singapore has established restrictions up to 14 days detention time for vessels from China
- There are currently no changes on the border situation between mainland China and Hong Kong. Issues might only appear on trucking routes towards the Midwest and Northern part of mainland China.
Customer Information – Coronavirus Impact
Dear valued customers,
As you may be aware, on January 30, 2020, the World Health Organization (WHO) declared that the spread of the coronavirus that began in China over the past few weeks is now a Public Health Emergency of International Concern (PHEIC). While the exact impact of the coronavirus on the freight forwarding industry is not yet fully understood, many airlines have cut capacity, or stopped services completely, including to and from China, resulting in reduced space for cargo and a sharp increase in air freight rates where these remain available. Additionally, many of China’s provinces have extended the New Year holiday until February 10, 2020, resulting in many factories ceasing operations which is affecting supply chains. The situation remains very fluid and we are monitoring developments daily so that we can properly respond and address our customers’ needs.
This ongoing situation is completely outside the reasonable control of Hellmann Worldwide Logistics and falls within the definition of force majeure. Accordingly, Hellmann shall not be liable under any contract or any other cause of action for any disruption to or failure to provide services nor for any direct or indirect losses whatsoever and howsoever arising out of or connected to the coronavirus outbreak. Further, given the fluid and rapidly changing situation, Hellmann Worldwide Logistics reserves the right make any necessary adjustments to our business operations and obligations to our customers to address the then prevailing circumstances arising as a consequence of the coronavirus outbreak, including, but not limited to, modifying all or part of our services; making any necessary changes to our working procedures and the agreed rates and charging any related surcharges. In particular, we reserve the right to pass on in full to customers any additional charges imposed Hellmann by airlines and other contractors.
We remain committed to working with our customers proactively during these rapidly changing and uncertain market conditions. In order to ensure optimal capacity planning, it is important for us to understand our customers’ forecasted shipping needs in particular once the Chinese factories reopen. Please communicate your plans directly with your Hellmann Worldwide Logistics representative. We expect capacity to be constrained quickly and therefore encourage you to act swiftly.
Our global, regional and local product teams will continue to align on daily basis on current status and solutions.
With best regards,
Hellmann Worldwide Logistics
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