I work in the Automotive industry. Recently I was at one of our customers plants and noticed about 200+ diesel engines sitting with pretty flags with different colors sticking out of them. Asked my customer about it and he said "Supply chain issues. The flags represent what parts are missing to complete the engine." The engines were for Semis or trucking industry. Global supply chain issues are affecting production every where I go. It is amazing to me how people do not understand how many parts go into a product that are not manufactured at a plant. I am seeing a steady slow down across my industry and others.
It is Winter in Southern Hemisphere now, so going under Africa can be difficult and container ships have been having difficulty. Also there are container shortages in areas and China container exports and USA imports have been high. +Container ship timing with docks have been off and/or inconsistent. = lots of factors.
It really highlights the vulnerability of globalizing your supply chains and perhaps we should ask how to bring production closer to home to minimize how many weak points there are in the chain.
I never knew there was so much ship going on until I started watching your channel. (a plug for Blancolirio Channel covering 'what is going on in the air' who recommended you after Baltimore and is how I found yours)
A few years ago, I somehow stumbled upon a news article talking about how cheap shipping containers were and there were places that had trouble getting rid of them, even for $100. Months later, I'm telling someone that and their response was "no, they're rare." Sure enough, in that 'short' time span, places that were overflowing with unused shipping containers now couldn't find any.
Hello Sal, I love your channel even though I have nothing to do with the industry. The information you regarding world wide impact is information that everyone should pay attention to. But tonight's show reminded me of how I first saw your channel and subscribed in the first place. It was the crash of Verity and Polesie last year. I was so impressed with the information you provided. I thought "this guy is right on" and you are. Thank you. Matty
Although I'm looking to start my sailing journey on a sailboat, I love this channel because of all the Maritime information Sal gives out..thank you, Sal
It's true the Houthi love Sal. They send him Christmas cards, Birthday cards. They even sent him a cake in the mail. Sure it was ticking but that's TOTALLY legit. Nothing to worry about.
I am always in awe of how you can take what i think of a dry topic and make it interesting. I don't know how you do it and i really don't care how you do it, but i am sure glad you can do it. Thank you PhD Sal for all you do please keep it up!!
I'm just trying to say to people in Australia how bad things are going in shipping lanes and they asking me why I'm watching this stuff lololol wow ignored till it's front line News on TV
13 days to replace bow section for Evergiven, had to be 24/7 work crew. I've work in Quincy shipyard yrs ago, must have been well planned & executed, you can only weld so fast, be it tig, mig. or stingers. hats off to those that worked on that... my eyes feel a little sandy this morning~
Seems that stable, predictable shipping market lets users / customers figure out costs of shippers and negotiate them down to a bare minimum. Disruption seems to put pricing power back in hands of shipping companies. I feel educated, about this principal for other markets.
@@leerussell8499 I’m Iranian American, nothing has gone right been right since 1978 between the two countries and every time I think Iran will get better and manages to get worse somehow
Here's the thing I have to ask about the hazards of sailing around the Cape Of Good Hope (or Cape Horn) in southern hemisphere winter, and the fact they lose containers in rough seas: The shipping companies know that it is a rough area, and a rough time of year, so why do they keep the stack heights of these container ships the same ? Should they not be pulling back on their tendency to stack the container ships as high as possible, maybe take it down one level so the ship is not so top heavy and prone to rolling? Obviously they want to make as much money as they can, but losing containers off their ships en masse has got to be costing them money, not to mention polluting the ocean and risking other ships running into containers that might still be floating. As I'm not a sailor, maybe someone who works on container ships can mention whether they actually account for bad weather and reduce the stack heights to avoid the risk.
How much of that revenue came from shipping and how much scrapping of ships? Revenue does not equal profit. After accounting for capital expenditure toward replacing the scrspped ships, what is the balance? I think this was the mass dumping of old hulls to avoid retrofitting them with emissions scrubbers. Bought by various world players to be broken down and converted into hundreds of millions of artillery shells.
Ridiculous how much ocean carriers are gouging prices right now. Makes things so much more expensive. We had to increase our prices about 12% to get back to normal...
Would appreciate if you could do a video on the Pilot/Master responsibilities in restricted waters, considering the number of accidents that we have had in the recent past, including the Evergiven, Dali and now the Maersk Shekou.
You need to trademark phrase "what the ship!". BTW. Why they can't build a railroad to Mexico and move ports there as Mexico less inionized, less prone to strikes and impacting income of goods I'm in😂
Increasing profit/raising charges requires "justification" to grease customer acceptance regardless of actual cost increases. The Houthi/press/et al supply justification, that is their trade. Knowledge of that puts world socioeconomic politics in a different light than first appearances dictate!
On the table at the 4 minute mark, I believe you may have misread the "% Of Total" line. This is merely the (Subtotal (big carriers) divided by the Grand Total ) X 100. The interesting observation for me is that % is essentially the same for all columns where that value is relevant.
Medical is probably funded within the ILA as a Union, so negotiations would be over, what? Pay for workers, number of workers at each port, worker hours, and safety -- is that all? So set a number of workers per container moving through the port, with minimums and overages, and the means to shift workers between ports if a port is closed, like Baltimore. Maybe that means the Union is responsible for buying, building, or maintaining, an apartment building in each port city to bring in additional workers, or even as little as setting up financing and a lawyer for permits so that Union members at each port can get a guest-house built on their property, or register little old ladies who want and need to have rooms for rent. Those are things the Longshoreman Union did for a couple of hundred years! This makes the Union a benefit to ports it contracts with, while making it easy for ports to know what rates to set.
Amazing that the bow of the Dali can be replaced in a mere - say - 2 months. In any US shipyard it would most likely take years. I think we lost something especially when compared to the big one, WWII.
The profitability of container shipping is often cyclical (meaning they also go through a period of boom and bust), if the red sea can be secured/ coalition forces defeating the Houthis etc resulting in the opening of that particular route, would we see (later) a drop in earnings for the container shipping industries? Because often times in the "booming" periods, liners hv always struggled with undercapacity and rushed to develop new capacity (i.e buying/ building new ships) which was always followed (2-3 years later) with a period of overcapacity in which many liners hv either layed up vessels or many (due to drop in earnings) hv gone bankrupt or were merged with other bigger liners (e.g the 2008 economic crisis significantly dropped the level of trade between countries resulting in overcapacity and drop in earnings this pattern continued well into the late 2010s as demonstrated in the level of container shipping industry earnings)
Would be be any advantages if big container ships will only be loaded with Container carrying goods and use another ship just for empty containers, because a empty container ship could travel at lower speeds, no refrigerators = less supervision even solar panels could help.
I see a problem with losing containers off of ship due to weather. Where are the waves going to make the biggest impact on the ship? I think the bow? But if so isn't that where you said they store all the hazardous material that they need to get in and out? I just dump it and saying ooh oops.
Would the ILA strike shut down Savannah too? It seems odd Reuters would name Charleston if it would impact Savannah too, but I can't find a straight answer on it.
Thank you for the updates Sal! :) I see that the Filipino Monkey is alive and well. "Turn that AIS on... it's SAFE! " I have been tracking ship financing firms for over a decade and with the exception of the 2020 - 2022ish time-span investment in new shipping has been ***very*** reliable. The current trajectory for their outlook is what and old guy might say: "The Futures So Bright I Gotta Wear Shades" (realizing the lyrics reflect a less than rosie actual outlook notwithstanding). They are fulfilling a sweet order for five LNG dual-fuel 16,800 TEU ships deliverable in 2028. As for cost.... COSCO can and does build ships for ~15% of what anyone else charges. The CCP construction/financing structure is just not something anyone outside the State can touch. Peaceful Skies
We now know who benefits from the houthis shooting particular ships out of the Bob l Mendes take a swig sweet. It's the global shipping container companies by tens of billions of dollars.
My 5 year old shouts out "It's Captain Sal !" whenever I play your vids - guess you got a promotion !!!!!
I will take it!
Captain Sal on the bridge!
That is pretty cool…we love our buddy Sal!…
@@tygerbyrn "Pheeep pheeeeeeep pheep"
I work in the Automotive industry. Recently I was at one of our customers plants and noticed about 200+ diesel engines sitting with pretty flags with different colors sticking out of them. Asked my customer about it and he said "Supply chain issues. The flags represent what parts are missing to complete the engine." The engines were for Semis or trucking industry. Global supply chain issues are affecting production every where I go. It is amazing to me how people do not understand how many parts go into a product that are not manufactured at a plant. I am seeing a steady slow down across my industry and others.
nearly everything we buy, with some exceptions for food, is affected. and perhaps even a lot of our fertilizers are produced out of country.
It is Winter in Southern Hemisphere now, so going under Africa can be difficult and container ships have been having difficulty. Also there are container shortages in areas and China container exports and USA imports have been high. +Container ship timing with docks have been off and/or inconsistent. = lots of factors.
Another prediction point for Zeihan.
I imagine that goes for the spare parts too 🧐
It really highlights the vulnerability of globalizing your supply chains and perhaps we should ask how to bring production closer to home to minimize how many weak points there are in the chain.
*Good Day Everyone I Have A Good News For Y'all ❤️🇺🇲*
I'm favoured financially because I'm getting a 10k return on my 3k investment.
How?
It's the work of Barry Silbert, I invested in his company
Same here, i invested $1000 and after a week, i received $7500. That really helped us a lot to pay up our bills.
Wow is this really true? i've seen a lot of recommendation about Barry Silbert
you have the shippiest job, Sal. J/K, you have a great job!
@@ThatOpalGuy It is the SHIP!
I'm so old I remember when they built ships on the great lakes
We can thank Reagan for putting a stop to that.
Yes, many of them in Lorain Ohio, the biggest yard there was owned by Steinbrenner, former owner of the NY Yankees.
Wow! has it really been 108 episodes? hats off to the Best and Only source for shipping news!
I never knew there was so much ship going on until I started watching your channel. (a plug for Blancolirio Channel covering 'what is going on in the air' who recommended you after Baltimore and is how I found yours)
I always learn so much about an industry I had no clue about. And you make it fun. Thanks again.
A few years ago, I somehow stumbled upon a news article talking about how cheap shipping containers were and there were places that had trouble getting rid of them, even for $100. Months later, I'm telling someone that and their response was "no, they're rare." Sure enough, in that 'short' time span, places that were overflowing with unused shipping containers now couldn't find any.
Hello Sal,
I love your channel even though I have nothing to do with the industry.
The information you regarding world wide impact is information that everyone should pay attention to.
But tonight's show reminded me of how I first saw your channel and subscribed in the first place.
It was the crash of Verity and Polesie last year.
I was so impressed with the information you provided.
I thought "this guy is right on" and you are.
Thank you.
Matty
Thank you as always for following up on all of the past stories to keep us updated.
Although I'm looking to start my sailing journey on a sailboat, I love this channel because of all the Maritime information Sal gives out..thank you, Sal
Seeing Cosco's numbers make the US Navy's numbers even more depressing
It's true the Houthi love Sal. They send him Christmas cards, Birthday cards. They even sent him a cake in the mail. Sure it was ticking but that's TOTALLY legit. Nothing to worry about.
A lot of calories in that ticking one. Best avoid it.
Back in 2010 going into Jebel-ali the harbor pilot referred to MSC as More Scrap Coming since they were so into buying used tonnage.
I love these analyses. I knew nothing about shipping until I started listening to Sal. No crap. Just wall to wall info. Fantastic!
I am always in awe of how you can take what i think of a dry topic and make it interesting. I don't know how you do it and i really don't care how you do it, but i am sure glad you can do it. Thank you PhD Sal for all you do please keep it up!!
Hey, Hey, Sal, I thought we were your biggest fans 😮❤😂❤😂 Great site ❤❤❤
These reports are getting really tight, Sal!
Thanks for the news and updates, Professor.
I like your style professor
Demasting vs. Dismasting - Given what noises those masts probably made (snap, crackle, pop,) I'd call it Rice-Krispying.
"Your biggest fan"
LOL> I wonder though, the Houthis MAY be watching and may not hate your stories, because all advertising is good advertising.
Wrong!
Good job Sal!
Dang, I was hoping things were starting to wind down/get better in Sudan. I guess I just haven't been paying enough attention.
I'm just trying to say to people in Australia how bad things are going in shipping lanes and they asking me why I'm watching this stuff lololol wow ignored till it's front line News on TV
In the 4,000+ years of history in Sudan, when have things been "better"?
@@davidgoodnow269 Actually now.
In Sudan each year is better than next.
Thanks Sal
13 days to replace bow section for Evergiven, had to be 24/7 work crew. I've work in Quincy shipyard yrs ago, must have been well planned & executed, you can only weld so fast, be it tig, mig. or stingers. hats off to those that worked on that... my eyes feel a little sandy this morning~
What a ship storm! ….Tom
Always really like these updates. Thanks!
Thank you for the expert coverage, Sal.
Good stuff as usual Sal, thanks again 🤠🤙
Good analysis.
You can definitely tell companies are panicking when you see the Halloween stuff rolling in and it’s not even august yet….
GREAT THUMBNAIL
Sal, could you comment on Egyptian lack of response loss of revenue from Houti interference.
Too much ship! 😂
Enjoyed the video and learned from it, thank you.
Thanks Sal for the updates, always informative.
Thanks your report is so cool.Congrarts.
Excellent update!
Hello professor Sal. As always very informative Thank You
Seems that stable, predictable shipping market lets users / customers figure out costs of shippers and negotiate them down to a bare minimum.
Disruption seems to put pricing power back in hands of shipping companies.
I feel educated, about this principal for other markets.
when service was reliable, the net profits were slim. When the service is less reliable, the net profits are up?
Yes! 😜
Market inefficiencies means carriers may charge premiums to offer more reliable service which raises their margins.
So, which one is subsidizing the Houthis, Cosco or Maersk?
Good afternoon You know the Murphy’s Law if anything can’t go wrong it will go wrong😂🙏🏽
Sounds like a line from CIA handbook LoL
@@leerussell8499 I’m Iranian American, nothing has gone right been right since 1978 between the two countries and every time I think Iran will get better and manages to get worse somehow
That’s some interesting ship. Just an excellent report. The ship 🚢 never ends. Job security
Enjoyed another episode. Thanks...
Sal, great info
Here's the thing I have to ask about the hazards of sailing around the Cape Of Good Hope (or Cape Horn) in southern hemisphere winter, and the fact they lose containers in rough seas:
The shipping companies know that it is a rough area, and a rough time of year, so why do they keep the stack heights of these container ships the same ? Should they not be pulling back on their tendency to stack the container ships as high as possible, maybe take it down one level so the ship is not so top heavy and prone to rolling?
Obviously they want to make as much money as they can, but losing containers off their ships en masse has got to be costing them money, not to mention polluting the ocean and risking other ships running into containers that might still be floating.
As I'm not a sailor, maybe someone who works on container ships can mention whether they actually account for bad weather and reduce the stack heights to avoid the risk.
🦈 you just put 🩸in the 🌊 alerting the lawyers. 🦈
Thank you.
Thanks!
You are THE ShiP man!!!
im my time on the salty seas i have never seen this "supply chain" or even a "supply rope" its what they want you to think. dont trust "big chain"
Do you not understand what a metaphor is? And if you do understand them, then how could you not see something you were a part of?
Subscribed but never notified of your posts
How much of that revenue came from shipping and how much scrapping of ships?
Revenue does not equal profit. After accounting for capital expenditure toward replacing the scrspped ships, what is the balance? I think this was the mass dumping of old hulls to avoid retrofitting them with emissions scrubbers. Bought by various world players to be broken down and converted into hundreds of millions of artillery shells.
Oh ship !!
Ridiculous how much ocean carriers are gouging prices right now. Makes things so much more expensive. We had to increase our prices about 12% to get back to normal...
Would appreciate if you could do a video on the Pilot/Master responsibilities in restricted waters, considering the number of accidents that we have had in the recent past, including the Evergiven, Dali and now the Maersk Shekou.
I have a great video coming out on that issue.
@@wgowshipping Thanks a ton. Look forward to it.
wow. i made it early to this one!
You need to trademark phrase "what the ship!".
BTW. Why they can't build a railroad to Mexico and move ports there as Mexico less inionized, less prone to strikes and impacting income of goods
I'm in😂
Mexico has strong cartels who will "tax" all shipments of goods coming through Mexican ports.
Thanks
So the Houthis have Egypt bent over a barrel…..that’s a tough spot to be in. …Tom
It's called the Muslim Brotherhood!
Perhaps China is ordering all those bulk carriers the bring in iron ore to make the steel for all the other ships she's building.
"Give a sailor some money in his pocket, he's going to spend it." Yep, that's been ground truth for a couple thousand years now.
Increasing profit/raising charges requires "justification" to grease customer acceptance regardless of actual cost increases. The Houthi/press/et al supply justification, that is their trade. Knowledge of that puts world socioeconomic politics in a different light than first appearances dictate!
Do you think the Houthis would actually attack the canals 🤔🤔
Hey Sal.
Same old ship. Different day (for an episode).
On the table at the 4 minute mark, I believe you may have misread the "% Of Total" line. This is merely the (Subtotal (big carriers) divided by the Grand Total ) X 100. The interesting observation for me is that % is essentially the same for all columns where that value is relevant.
All container ports are ILA union in the US as info as the carriers are signatory to the master contract
Medical is probably funded within the ILA as a Union, so negotiations would be over, what? Pay for workers, number of workers at each port, worker hours, and safety -- is that all?
So set a number of workers per container moving through the port, with minimums and overages, and the means to shift workers between ports if a port is closed, like Baltimore. Maybe that means the Union is responsible for buying, building, or maintaining, an apartment building in each port city to bring in additional workers, or even as little as setting up financing and a lawyer for permits so that Union members at each port can get a guest-house built on their property, or register little old ladies who want and need to have rooms for rent. Those are things the Longshoreman Union did for a couple of hundred years!
This makes the Union a benefit to ports it contracts with, while making it easy for ports to know what rates to set.
Amazing that the bow of the Dali can be replaced in a mere - say - 2 months. In any US shipyard it would most likely take years. I think we lost something especially when compared to the big one, WWII.
Once automation becomes the standard in handling containers, the IBEW will displace the ILA.
I heard Russell Crowe is inbound with a couple of ship’s carpenters to get Leeuwin back in the game post haste…
The earth is just a big ship😉👍🏻✌🏻
Very informative episode Sal , but Hamas has NO way of interdicting Marine traffic through the Suez Canal.
Top 5 is that new? oh 101 today,idk that but it's nice to see.
13:58 Two sips so far. (Did I miss any?)
Shipping ..the very bones of world trade
I wanna own a container ship but can you pay for the fuel and insurance🥺🥺🥺
The profitability of container shipping is often cyclical (meaning they also go through a period of boom and bust), if the red sea can be secured/ coalition forces defeating the Houthis etc resulting in the opening of that particular route, would we see (later) a drop in earnings for the container shipping industries?
Because often times in the "booming" periods, liners hv always struggled with undercapacity and rushed to develop new capacity (i.e buying/ building new ships) which was always followed (2-3 years later) with a period of overcapacity in which many liners hv either layed up vessels or many (due to drop in earnings) hv gone bankrupt or were merged with other bigger liners (e.g the 2008 economic crisis significantly dropped the level of trade between countries resulting in overcapacity and drop in earnings this pattern continued well into the late 2010s as demonstrated in the level of container shipping industry earnings)
China also does have environmental restrictions
A good day to have drinks at hand.
Sal can you give us an update on the rivers in the US. Thx
the under valued stock prices for Evergreen is worth looking into when their profits have been increasing steadily in the past two years.
i am here ..
Would be be any advantages if big container ships will only be loaded with Container carrying goods and use another ship just for empty containers, because a empty container ship could travel at lower speeds, no refrigerators = less supervision even solar panels could help.
are they good careers in the maritime supply chain, i live in the midwest
I see a problem with losing containers off of ship due to weather. Where are the waves going to make the biggest impact on the ship? I think the bow? But if so isn't that where you said they store all the hazardous material that they need to get in and out? I just dump it and saying ooh oops.
I think when a mast has been taken down it should be called a mast felling😐👌
Would the ILA strike shut down Savannah too? It seems odd Reuters would name Charleston if it would impact Savannah too, but I can't find a straight answer on it.
Heard because of ships that were heading towards or doing business with Eliat port, the port is losing revenue
Is Air freight (which is shipping) doing better because of the Houthis ? Is the west coast getting more freight ...because of the houthis ?
I spoke too soon. But there must be ways for Egypt to counter this huge loss of revenue.
Sam, is Mediterranean Shipping Co a private or public Company? Can we trade it's stock? If so, what is it's symbol?
Private. Owned by the Aponte family.
Shouldn’t it be “ship hit the prop”?
Ship happen..!
Thank you for the updates Sal! :)
I see that the Filipino Monkey is alive and well. "Turn that AIS on... it's SAFE! "
I have been tracking ship financing firms for over a decade and with the exception of the 2020 - 2022ish time-span investment in new shipping has been ***very*** reliable. The current trajectory for their outlook is what and old guy might say: "The Futures So Bright I Gotta Wear Shades" (realizing the lyrics reflect a less than rosie actual outlook notwithstanding). They are fulfilling a sweet order for five LNG dual-fuel 16,800 TEU ships deliverable in 2028. As for cost.... COSCO can and does build ships for ~15% of what anyone else charges. The CCP construction/financing structure is just not something anyone outside the State can touch.
Peaceful Skies
We now know who benefits from the houthis shooting particular ships out of the Bob l Mendes take a swig sweet. It's the global shipping container companies by tens of billions of dollars.
HI, I tried to look up the "bab el Mandab" drinking reference..... found nothing. Can you explain your "enjoy your drink reference??
That is a small tradition at What's Going on With Shipping when we reference the BAM to enjoy a drink.
Wonder if the ship hitting Baltimore bridge counts as late boxes lol 🤪