Executive Commentary |
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berth . It ’ s about creating an integrated transportation network within the fence lines of the terminal that effectively links to the transportation network outside those fence lines . When you achieve this , you have a seamless flow of logistics connectivity .
As vessel capacity increases , newer builds are testing the limits of older container storage yards . Ports are struggling to keep up with the need to increase capacity . It ’ s not as simple as constructing a new container terminal .
Ports and marine terminals must be creative and go up instead of out . There is limited waterfront property zoned for maritime use within major international gateways . As cargo volumes increase and larger ships enter our harbors , it ’ s becoming more difficult to meet the changing needs of ocean carriers and cargo owners without prudent infrastructure investment planning .
Ports are significant economic generators for the cities and states they reside in . It ’ s mission critical to make certain that we are preparing and planning correctly today for tomorrow ’ s needs .
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Metro Group Maritime
Marcus L . Arky
CEO www . mgmus . com
Change and uncertainty have defined our industry and tested our resilience , particularly since the pandemic . Relationships , regulations and revenue have all been affected .
In 2025 , one major challenge for container lines will be managing detention and demurrage ( D & D ) billing as they navigate the new Federal Maritime Commission ( FMC ) rules .
These rules are reshaping the shipping business model , which is moving cargo and leasing their equipment . Ensuring smooth container circularity is essential for customer service and maintaining optimal efficiency . The FMC ’ s rules , however , shifted the financial responsibility for D & D away from truckers and others directly handling container returns , removing a critical tool for managing equipment availability .
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“ The efficient movement of cargo is much more than getting goods from Point A to Point B : it is a vital part of the global economy .”
Lauren Gleason
“ With reduced financial incentives to expedite container returns , we may see a decline in network efficiency and other unintended consequences as a result of the FMC regulations .”
Marcus L . Arky
“ Any new regulations should recognize that the electric and hydrogen infrastructure needed to support reduced emissions , both at the ports and in the region , is years away from being realized .”
Steve Hennessey
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Massachusetts Port Authority ( Massport )
Lauren Gleason
Port Director www . massport . com
Staying competitive in the global marketplace is an ever-changing challenge , but all types of economic investment in port infrastructure have proven to be an effective means of success for ports as they face pressures of modernization . The necessity of a strong cargo and freight system is vital to our continued economic growth and development , and investing in our ports is imperative to their continued success .
Similar to all ports around the globe , the Port of Boston is the main artery of the entire region ’ s consumer economy . The port is home to Conley Container Terminal , where over 250,000 TEUs of imports and exports pass through
These new rules and regulations have been largely untested , but potential supply chain disruptions could quickly reveal weaknesses . The industry is ceaselessly confronted with new operational challenges , and we should expect 2025 to be no different . With reduced financial incentives to expedite container returns , we may see a decline in network efficiency and other unintended consequences as a result of the FMC regulations .
The rules also strain and change long-standing relationships . For example , will shipping lines avoid invoicing D & D charges to customers , even if it weakens the incentive for timely returns ? How should shippers approach D & D recovery from truckers ? How will truckers respond to the new regulatory environment ? In the coming year , these questions will likely demand answers .
Adapting to the FMC ’ s new
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annually , serving as a vital catalyst for growth , investment and opportunity throughout New England .
Ports are a strategic solution for shippers , ensuring they receive the capacity and premium customer service they deserve . Boston ’ s owneroperator model offers flexibility and quick decisionmaking , with the advantages of 7-day berth and labor availability , hourly carrier start times , and zero berth and landside congestion . Transportation partners that provide flexibility and outside-the-box solutions will be set up for the long-term .
The efficient movement of cargo is much more than getting goods from Point A to Point B : it is a vital part of the global economy . The important role that regional ports play in keeping entire regions – and ultimately , the entire country – connected to the American freight network is only growing in prominence as more businesses discover their speed , efficiency and efficacy .
framework will be essential , and the process is still underway . Legal and financial professionals have a crucial role in simplifying and streamlining these evolving practices and mitigating the effects of the next shock to global supply chains .
Pacific Maritime Association ( PMA )
Steve Hennessey
President and CEO www . pmanet . org
As we look to 2025 , the West Coast maritime industry has incredible potential to chart a course marked by growth and innovation , but we have significant
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