Port Strategy Nov/Dec 2024 Non Subscription by Mercator Media

VIEWPOINT

MIKE MUNDY

Human Factor has to be Acknowledged

Don’t forget the human factor. Don’t let the blitz of techno innovation – digital and equipment –impair your vision about the importance of the human being whatever level he or she is working at. Current thinking regarding User Experience (UX) and an assessment of the role improved data can play with respect to diversity, equity and inclusion confirms this

The big topics in our industry are invariably business prospects, opportunities and system advances – equipment and digital. It is surprising how often the human factor is overlooked or just receives scant attention.

It is thus somewhat refreshing that as 2024 draws to a close we are able, in this issue of PS, to put two people-based subjects under the spotlight – Enhanced User Experience – UX (p28) and the Value of Diversity, Equity and Inclusion (DEI) data (p30).

Enhanced USER Experience does involve technology but the central point about this is that it involves a shift from simple functionality to designing intuitive systems tailored to user needs. At the centre of things is the human factor with the new technologies arriving on the scene contributing to this – Application Programming Interface connectivity, virtual assistants, predictive analytics, AI and so on. There is a consensus of opinion that suggests companies that lead in this area will ultimately achieve improved customer satisfaction and gain competitive edge. Who can afford to ignore this?

With DEI, Heidi Heseltine, Founder of Diversity Study Group, makes the point that the port and terminal industry has made massive strides in leveraging operational data but it still lags behind other sectors in recording and utilising anything related to diversity, equity and inclusion.

This is a sad situation.

I am sure the majority of PS readers will be familiar with individuals who have faced problems in these areas and who have found them extremely hard to resolve. Non-acceptance of diversity and noninclusion remain quite common but without trend data to judge the facts against are very difficult to prove. If things are really bad what usually happens is the individual leaves the company concerned, even after union or human resources support.

Things need to change and leveraging data can be a useful contributor to this.

In conclusion, this is the last issue of PS prior to Xmas and New Year, enjoy the holidays and let’s hope 2025 is a stable, healthy, prosperous and generally rewarding year.

The international magazine for senior port & terminal executives

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Making every move count.. Kalmar.

This issue takes a deep dive into world grain trade and unveils an uncertain future, aggravated principally by Russia’s aggressive war with Ukraine. The concern now is not vessel safety carrying export grain shipments out of Ukraine but the recent increase in targeting Ukraine’s major grain ports – there have been a number of damaging strikes. This has not yet prompted major investments in grain export capacity elsewhere, there is no contingency plan but the recent heating up of events suggests it might be a wise step

NEWS FEATURE ARTICLES

17 Kwinana Takes Shape Fremantle replacement moving 17 MSC Takes Wilson Sons… …as “Satisfaction” noted 19 New Douala Terminal Funding secured 19 Clean USA Ports Wide-ranging funding awarded 11 OCEAN Final Phase Improved maritime safety 11 Tideworks Technology Launch Data Platform streamlining 13 Proof of Value Wave BL from MSC 13 Maritime Single Window Implementation in Georgia 15 Trelleborg Software Donation

Maritime Pilots Institute gain

17 Supporting the Transition EU onshore power funding

ICTSI’s Chairman & CEO has told some ‘home truths’ as to what lies behind Maersk/ APMT’s legal challenge regarding Durban Container Terminal 2

Getting vessel movements between ports right is a key part of the efficiency jigsaw

role to play? 32 AGVs: Growth & Innovation Key to efficiency and decarbonisation 35 Land of Opportunity Logistics in African mining

Political Risk Resurfaces Global food security concerns are rising 39 Pushing Boundaries

Pilot boat design is in an era of advancement with the all-electric boat arguably being the pinnacle of this

42 Back to the Future

Kalmar & Konecranes –strategies unveild

Converting a conventional RTG into an electrical one (E-RTG) means to shut down the diesel generator and to power the RTG with electrical power only – the emission saving, sustainable basis for automation.

KWINANA PORT PLANS TAKE SHAPE

Plans for a new container port at Kwinana in Western Australia have been announced by the Western Australia State Government, with operations potentially commencing by the late 2030s.

A commitment of A$273 million has been confirmed to initiate detailed project planning, which will include risk assessments, land acquisition, and design finalisation. Total project costs are currently estimated at A$7bn (US$4.6bn).

Fremantle’s two existing container terminals are currently handling 800,000TEU and offer a combined maximum annual capacity of 1.4 million TEU. However the state government is projecting container traffic will exceed 3 million TEU over the

next 50 years and as the current port location cannot be expanded, a long-term alternative option is needed.

■ Plans for the long-term replacement of the Port of Fremantle – Kwinana Port – have been announced

MSC FIRMS UP BIG BRAZILIAN INVESTMENT….

London-listed Ocean Wilsons Holdings has confirmed it is selling its 56.47% interest in Brazilian port and maritime logistics operator, Wilson Sons, to Mediterranean Shipping Co (MSC) in a deal worth US$768 million.

The deal remains subject to regulatory clearances, but both parties are seeking completion

in the second half of 2025, whereupon MSC subsidiary SAS plans to acquire the remaining shares under the same terms.

There has been intense speculation over the sale of Wilson Sons for some time and this deal will greatly increase MSC’s logistics footprint in Brazil, after previously acquiring regional container

shipping operator, Log-In Logistics, at the end of 2021.

The Wilson Sons portfolio includes the Tecon Rio Grande container terminal in Rio Grande, Rio Grande do Sul, and the Tecon Salvador container terminal in Salvador, Bahia, while it also operates the largest tugboat fleet in Latin America.

…AND HIGHLIGHTS RECENT POSITIVE ACTIVITY

Soren Toft, CEO, MSC, has commented positively about the company’s recent activity. “Our new East/West Network is a significant milestone. Launching in February 2025, this standalone network will offer unmatched agility and connectivity, enabling us to respond quickly to client demands and market shifts. With direct port pairs and increased operational flexibility, we are set to deliver even greater value to our customers,” he explains.

He also references recent investments: “We received EU clearance for our 49.9% acquisition of HHLA in Hamburg…. MEDLOG’s acquisition of Maritime Group in the UK enhances our inland logistics capabilities, connecting key rail hubs to distribution centres and broadening our service offerings,” before confirming completion of the acquisition of

42% of the shares in Clasquin, to reinforce activities of AGL (Africa Global Logistics) and expanding the company’s footprint in cold storage.”

At the same time, “satisfaction” with activities at Gioia Tauro is also acknowledged by Toft. By the end of September 2024, the port recorded container throughput of 3 million TEU, with a projected 4 million TEU for 2024 overall.

“Key improvements have been

■ Gioia Tauro has recently completed a major equipment upgrade

made in port infrastructure, quay and landside equipment, personnel growth, and volume capacity,” stated Andrea Agostinelli, Port Authority President for Autorità di Sistema Portuale dei Mari Tirreno Meridionale e Ionio (Port System Authority of the Southern Tyrrhenian and Ionian Seas).

BRIEFS

Sudan Deal Stop

The military-led government in Sudan has cancelled a US$6bn deal with the UAE over allegations that the UAE is supplying weapons to the Rapid Support Forces (RSF), a militia involved in the country’s civil war. In December 2022, Abu Dhabi Ports and the Sudanese company Invictus Investment signed an agreement to build and operate Abu Amama port, which is located 200km north of Port Sudan. The deal included a free trade zone, agricultural projects, and improved roadways.

Brazil PPP Plan

Brazil’s port privatisation plans look set to accelerate. The Government has confirmed an intention to auction off 35 terminals, with 22 facilities scheduled to be made available before the end of 2025. Amongst the proposed sales are a new terminal at Itaguaí and a container facility at the port of Santos. This news follows CMA CGM taking a 48% stake in terminal operator, Santos Brazil, and MSC reportedly set to acquire major Brazilian port and maritime logistics operator Wilson Sons.

Hedland Dredge

Jan De Nul has commenced dredging at Port Hedland, Australia. A total of one million cubic metres is being dredged to establish a deeper access channel, a swing basin, and two berth pockets to accommodate a range of vessels, including bulk carriers, tankers and ro-ro ships. An additional area of 10ha will also be reclaimed for the future Lumsden Point wharf structure. Port Hedland is situated on the North-West coast of Australia and is the continent’s largest export port by annual throughput.

NEW DOUALA BULK TERMINAL

Afreximbank and APD-Cameroon are planning to build a new port terminal in Douala. The €210 million (US$221 million) project will be an extension of the existing Port of Douala and will consist of two bulk berths to be numbered 53 and 54.

According to the term sheet, the proposed facility will be developed in two tranches, with phase one seeing €147 million (US$155 million) of investment followed by subsequent funding to make up the remainder.

The Port of Douala is a key regional trade gateway for Central African countries and plays a strategic role in regional integration by serving as a natural port for landlocked countries like Chad and the Central African Republic.

USA: COMPREHENSIVE FUNDING FOR CLEAN PORTS

In one of the final acts of the outgoing Biden administration in the US, a total of US$3bn has been earmarked for port modernisation projects across 27 US states at 55 different locations.

The White House announced that the upgrades will include electrification and batteryhybridisation of port equipment, in an initiative being called the Environmental Protection Agency Clean Ports grants.

“I’m proud to announce we’re delivering $3bn in funding from my Inflation Reduction Act to help clean up and modernise ports in 27 different states and territories, from Pennsylvania, Georgia, Michigan and beyond, including, yes, Puerto Rico,” said President Biden.

According to a White House statement, this initiative means new equipment for ports includes “1500 units of cargo handling equipment, 1000 drayage trucks, 10 locomotives, 20 vessels, shore power systems for ocean-going vessels, battery-electric and hydrogen vehicle charging and fuelling infrastructure and solar power generation.”

Interestingly, the White House announcement states that the

Mobile Phase IV

The Alabama Port Authority has commenced on phase IV of its Port of Mobile container terminal expansion. The project will double capacity to one million TEU per annum and includes an inter-terminal connector bridge to create on-dock rail access. This expansion is being complemented by an ongoing channel deepening and widening project taking the Mobile Ship Channel depth down to 50ft.

investment will “support an estimated 40,000 good-paying union jobs, manufacturing electrified cargo handling equipment” before adding that the new equipment will be “human-operated and humanmaintained.” Comments clearly aimed at concerns from unions and workers who see the threat of automated handling resulting in reductions of jobs.

US labour unions have traditionally offered strong resistance to the automation of

Edgemoor Stalled

A proposed new US$635 million container terminal plan in Wilmington (DE), USA has stalled. Plans by the Diamond State Port Corporation to develop a site two miles from the existing port in partnership with port operator, Enstructure, (which owns a large adjacent piece of land), brought a legal challenge from the Port of Philadelphia. A judge in Pennsylvania ruled that the US Army Corp of Engineers had improperly approved permits.

Morocco Move

CMA CGM has confirmed that it has taken a stake in Nador West Med container port in Morocco, located about 120 nautical miles from the Strait of Gibraltar.

This facility has long been on the radar of the government of Morocco. Work on the harbour commenced in 2016, with completion largely finished in June 2024, whereupon domestic operator, Marsa Maroc, was awarded a 25-year concession to develop and operate the 175-acre phase one facility in a US$200 million deal.

Marsa Maroc has now confirmed a partnership with CMA CGM, with the Moroccan company retaining a 51% stake in the project. The joint-venture plans to invest US$280 million by 2027 to develop a terminal with a 1.2 million TEU capacity and 762m (2,500ft) of quayside.

With a water depth alongside of 18m (59ft), the planned terminal will be able to accommodate the very largest ships in service on the AsiaEurope trades.

■ Los Angeles is one of a large number of US ports receiving financial grants to help gain more environmentally-friendly equipment – but is the timing also targeting concerns over automation at US ports?

cargo handling processes in favour of retaining manual input. This thorny subject has reared its head in union negotiations and is currently the focus of discussions between the United States Maritime Alliance, which represents the owners of East and Gulf Coast ports.

Ore for Itaguaí

The Port of Itaguaí is planning to lease its ITG02 area. Located 70km west of Rio de Janeiro, the port is targeting a deal for a new iron ore terminal as part of the Federal Government’s port leasing initiative. The auction is scheduled for December 18, 2024, as confirmed by the National Agency for Waterway Transportation (ANTAQ) in a published Auction Notice (Auction No. 09/2024). The winning bidder will invest over R$3.5 billion in the project.

Morocco is also targeting a major role in renewable energy. This is clearly a sector of interest to CMA CGM and specifically with regard to developing green bunkering hub facilities. “Our ambition is to support the country’s development, particularly in the forwardlooking sectors of logistics and alternative energies,” states Rodolphe Saadé, Chairman and CEO, CMA CGM Group.

BRIEFS

DPW Silk

DP World Australia is to acquire Silk Logistics Holdings Ltd in a deal valued at A$175 million (US$115 million). Silk Logistics Holdings offers port-to-door logistics solutions and utilises a network spanning 21 logistics hubs and 25 warehouses across five states in Australia. It is also a specialist in contract logistics. Pending shareholder approval, regulatory clearance, and standard closing conditions, the transaction is expected to be finalised during the first half of 2025.

MOMENTUM WHERE IT MATTERS

Building from a one-country operation at the Port of Manila in the Philippines, ICTSI has pressed forward across 36 years. On six continents, currently in 19 countries, we continue developing ports that deliver transformative benefits.

All across our operations, we work closely with our business and government partners, with our clients and host communities: to keep building momentum where it matters, in and through ports that keep driving sustainable growth.

OCEAN PROJECT ENTERS FINAL PHASE

The Operator-Centred Enhancement of Awareness in Navigation (OCEAN) project is entering its final phase.

Funded by the European Union and UK Research and Innovation (UKRI), this three-year initiative is targeting improvements in the navigational safety of shipping vessels.

With support from interested parties throughout Denmark, Greece, Ireland, Portugal, Spain and the UK, OCEAN has been adopting a holistic approach to a wide range of navigational safety issues, including technology,

processes and procedures, human centred design and commercial pressures.

Project objectives have included a better understanding of positive actions that can be practically implemented to improve navigational and situational awareness relating to collisions and the grounding of vessels, while also wanting to mitigate whale impacts and tracking floating and/or lost containers.

One specific development aim of the OCEAN project involves helping to bring together hazard data from all streams into a

single entity to facilitate more efficient access to information for navigators as part of the European Navigational Hazard Infrastructure (EHNI).

The OCEAN initiative is also developing an app which will allow seafarers and ships’ crews to add sightings of whales or containers into a database, which can subsequently be shared throughout the maritime community on a largely real-time basis.

NEW DATA PLATFORM FROM TIDEWORKS

Tideworks Technology® Inc. has confirmed the launch of its new Data Platform solution.

The Seattle (WA)-based provider of terminal operating system (TOS) solutions, says the new platform gives stakeholders access and streamlined use of their near real-time and historical data.

The Data Platform collects, cleanses, normalises and standardises data securely in near real time, while integrating with Tideworks’ core TOS solutions in order to ensure quality, accuracy, timeliness and reliability of data, boosting productivity and business value.

Key features of the data platform highlighted by Tideworks include:

● Modern Flexible Architecture:

Merges widely used opensource tools and industrystandard architecture for near real-time data movement, high availability and trustworthy data and fast development.

● 3rd Party Integration: Extensible connections allow Tideworks Data Platform to integrate easily into greater enterprise data strategies, supporting a large range of operational use cases.

● 360 View of Operations: Provides near real-time visibility into data across all Tideworks’ core TOS and terminal applications.

● Optimal Security: Isolates each customer’s data, ensuring data and intellectual property protection.

● Transparency Across

Operational Teams: Allows terminals to present easy to understand findings to business stakeholders through a robust data catalogue.

● Secure Data Governance: Includes Tideworks Data Governance, an end-to-end metadata management solution, to securely share data from multiple sources.

● Ready to Go Dashboard: Provides streamlined management of enterprise and operational metrics in one place. User-configurable dashboards interact with commonly used KPIs and are ready to use right out of the box.

The new Data Platform is already being deployed to marine and rail operators across the US, Mexico and Latin America.

BRIEFS

SAAM AI Deal

SAAM Terminals has entered into a global collaboration deal with Next Port AI to implement its platform which combines digital twin and artificial intelligence (AI) technologies. Next Port AI connects the terminal operating system (TOS) and other critical systems, while meeting industry standards, to support decision making activities in a terminal’s control room to maximise asset performance. SAAM is implementing the service in two pilot programmes across its port network.

Riga Pass System

A new digital access and pass system has been introduced throughout the Port of Riga. It means that all visitors and freight vehicles enter the Latvian port by making an appointment electronically and submitting and checking documents digitally instead of using a paper-based system. “The electronic port access system is only the first stage on the way to the comprehensive digitisation of the Port of Riga’s cargo flow,” notes Ansis Zeltiņš, CEO, Freeport of Riga.

OneStop Extension

OneStop has confirmed it is extending its collaboration with Tyne ACFS to deliver logistics solutions for its operations in New Zealand. In the deal, Tyne ACFS is adopting OneStop’s Vehicle Booking System (VBS) at its Auckland Depot. When combined with its OneStop Modal solution’s real-time tracking and optimised workflows, this system will reportedly support efficient operations for up to 3500 TEU on-site, assuring smooth container movements and shorter turnaround times as part of supply chain efficiency and resilience.

■ OCEAN is entering its final phase, but continues to target improved maritime navigational safety

LaseASTO

AREA SURVEILLANCE TRUCK OPERATION

The LaseASTO system automatically detects and classifies the truck and driver. The system can detect, locate and continuously track the position of people in work areas, for example, when a container is being loaded or unloaded. LaseASTO divides the work area into two monitoring areas: a danger and a safety zone. In the danger zone the loading of containers takes place. If a person is in this area, an emergency shutdown of the crane system is carried out. If, on the other hand, the person is in the safety zone, container handling, for example, can be carried out safely.

You have the opportunity to try out the LaseASTO System at our booth E48 during TOC Europe in Ro erdam.

MSC GAINS PROOF OF VALUE WITH WAVE BL

The world’s largest container shipping line, Mediterranean Shipping CO (MSC), has completed a Proof of Value (POV) project with Blockchain-based electronic Bill of Lading (eBL) platform WaveBL. The successful process was also undertaken in conjunction with Swift and participating banks including Lloyds, Emirates NBD Bank and Federal Bank Limited.

According to WaveBL, this project successfully demonstrated the transfer of a series of structured electronic document presentations (including eBLs) originated on the platform and sent to and between Swift members, and back to the platform, all as part of a Letter of Credit (LC) transaction.

MSC’s role in the process was to first issue two eBLs, one straight and one negotiable, on

PCS Guide is Go

The World Bank and IAPH have jointly developed a new report offering a guide to setting up and operating a Port Community System. It is entitled “Port Community Systems: Lessons from Global Experience.” The World Bank states that many low and middle income countries “face technical and financial constraints” to the adoption of PCS and as a result risk “falling further behind as advances in digital technology accelerate.”

the platform, which were then sent to an exporter on WaveBL, whereupon commercial documents like a packing list, invoice, and certificate of origin, were added.

The two eBLs were then sent to the advising bank by the platform over the Swift network, with the advising bank and the issuing bank exchanging the presentation between them, while WaveBL’s ledger maintained the tracking of possession and title of the contained eBLs.

Consequently, the issuing bank then released the documents to the LC applicant (the importer), including the endorsement of the negotiable eBL from the issuing bank to the order of the importer on the platform.

This process can ensure that payments can be received within

Automated Burgas

BMF Port Burgas has confirmed the introduction of Gate Automation Technology at its Advanced Container Terminal (ACT) in Burgas, Bulgaria. The terminal has undertaken the project in partnership with DSP and AllRead and is targeting the streamlining of operational processes, including Optical Character Recognition (OCR) access control through to seamless integration with its Terminal Operating System (TOS). DSP led the integration process.

National Maritime Single Window For Georgia

A new National Maritime Single Window (NMSW), fully aligned with International Maritime Organisation (IMO) standards, has been successfully implemented and launched in the Republic of Georgia. It was developed by Prodevelop, in partnership with Hamburg Port Consulting (HPC) and Plisk Consulting.

The introduction of this NMSW represents a major advancement in Georgia with it facilitating more efficient and streamlined communication for all maritime stakeholders, reduced paperwork, and improved operational clarity through transparent data sharing.

hours, rather than days, and with the eBLs surrendered back to MSC on the platform the importer was able to collect the goods at the port of destination immediately. This project clearly remains a key part of MSC’s plans moving forward, as Andre Simha, Global Chief Digital and Innovation Officer, MSC confirms: “MSC is committed to achieving full digitalisation of our bills of lading by 2030. This involves much more than streamlining processes. It embodies an ambitious vision that requires collaboration across both the shipping and finance sectors…..this collaboration represents a pivotal milestone that propels us one step closer to achieving our goals.”

VFPA Expansion

The Vancouver Fraser Port Authority (VFPA) has expanded its centralised maritime traffic scheduling system to span the whole Burrard Inlet and to coordinate over 5000 cargo vessels in the waterway annually. This new centralised scheduling system was developed in collaboration with DHI SeaPort OPX and incorporates advanced digital modelling to cover weather predictions and tides to deliver planning optimisation for 23 of the port’s 29 major terminals.

In addition, the Maritime Transport Agency (MTA) in Georgia is expecting this initiative to significantly elevate the efficiency and security of operations by digitising information exchange processes and eliminating redundancies. This means that shipping agents, port authorities and other interested and participating maritime stakeholders can benefit from more streamlined workflows, thereby delivering faster and safer port operations.

The NMSW goes into operation as Georgia is moving to have another attempt at delivering a new deep-water project at Anaklia. In May this year a Chinese-Singapore consortium was selected as preferred bidder for the construction works.

Mawani/HPA MOU

The Saudi Ports Authority (Mawani) and Hamburg Port Authority and Hamburg Port Consulting have signed a new MOU to collaborate on innovation in port management. The arrangement will jointly-focus on innovation in port operations, port development, and workforce capacity issues. The aim is to focus on greater use of digitalisation, port AI, automated logistics, advanced data-driven solutions, and optimisation of transport infrastructure.

■ MSC has taken a big step forward in its aim of achieving full digitalisation of its bills of lading by 2030

Trelleborg Marine & Infrastructure has donated its state-of-the-art SafePilot CAT PRO solution, SafePilot Pro Navigation software, and iPads, to Louisiana-based Maritime Pilots Institute, with the aim of enhancing training standards for aspiring maritime pilots.

The integration of these advanced tools is expected to significantly improve the educational experience, equipping trainees with cuttingedge technology for navigating real-life pilotage scenarios.

By introducing real tools used in pilotage operations, trainees gain an immersive experience through simulators and manned model-based training. These tools also enable instructors to accurately replicate real-world scenarios, allowing them to test and evaluate specific problemsolving techniques effectively.

The SafePilot CAT PRO solution is designed for applications requiring the highest positioning accuracy, such as piloting in narrow

TRELLEBORG DONATES TO MARITIME PILOTS INSTITUTE

■ SafePilot PPU and software from Trelleborg offer the precision and accuracy necessary to address the evolving challenges of the maritime industry, including manoeuvring the largest vessels in the most complex and restricted marine locations

channels and confined waters. SafePilot Pro combines professional piloting software with

portable pilot units (PPUs) to deliver situational awareness of a vessel to within one centimetre accuracy.

■ Konecranes recently invited a wide-range of customers to inspect its new-design Konecranes Noell Straddle Carrier prototype. This event was part of Ecolifting™, Konecranes’ vision to increase its handprint – meaning the beneficial environmental impact that can be achieved with its product and service portfolio – while reducing customers’ carbon footprints. The updated Konecranes Noell Straddle Carrier and Sprinter Carrier offers a modular choice of power options, with three power options to ensure zero tailpipe emissions: hybrid, battery and hydrogen. Each option is retrofittable and interchangeable, with a minimum of downtime to allow retrofitting or conversion in the future.

BRIEFS

Guam Making Plans

The Port Authority of Guam is planning a multiphase bidding process to replace the Port’s outdated gantry cranes. The new procurement plan allows for the purchase of one, two, or all three cranes, subject to availability of funding, with a focus on cybersecurity enhancements and weather-resilient designs to withstand Guam’s severe climate conditions. The current equipment is over 40 years old.

STS for PSA Penn

PSA Penn Terminals at the Port of Philadelphia has received its third Liebherr STS crane. The unit was designed and manufactured in Ireland. This new STS crane features an 157ft (48m) outreach, a 60ft (18.38m) span, and a 50ft (15m) back-reach. With a lift height of 115 ft (35m) over rail and a safe working load (SWL) of 66 tonnes. The new crane complements two previous Liebherr units acquired in 2018 at the privately-owned facility.

Manaus

Second Order

Super Terminais Comércio e Indústria LTDA (Super Terminais) has placed a second order with Kalmar for new equipment at its Manaus terminal in northern Brazil. Booked in Kalmar’s Q3 2024 order intake are six Kalmar Gloria reachstackers and two Kalmar empty container handlers. All machines will have the Kalmar Insight performance management tool integrated and delivery is scheduled for Q2 and Q3 2025. In December 2023, four reachstackers, two empty container handlers and eight terminal tractors were ordered.

TANGER MED, THE LEADING PORT IN THE MEDITERRANEAN AND AFRICA

TRAFFIC 2023

477 993

Tanger Med is a global logistics hub connected to more than 180 ports worldwide with handling capacities of 9 million containers, exports of 1 million vehicles, transit of 7 million passengers and 700.000 trucks on an annual basis. Its performance positions it today among the most competitive platforms on an international scale.

Tanger Med is strategically situated on the Strait of Gibraltar, the second crossing point of global trade, at the crossroads of major maritime routes, it is a natural transshipment hub for global logistics flow Linking Asia, Europe, the Americas, and Africa. www.tangermed.ma

EU ONSHORE POWER FUNDING

Four major ports in North Europe are set to receive strategic funding from the EU to help provide onshore power to container ships by 2030.

The ports of Aarhus, Gothenburg, Bremerhaven, and Stockholm are to receive €18.8 million from the EU fund Connecting Europe Facility for the project EU.OPS.Network. The project is in direct response to new EU regulations that will come into effect in 2030, requiring ships over 5000 gross tonnage to connect to onshore power supply (OPS), while moored, meaning electricity comes from the grid instead of through use of onboard diesel engines.

“We are very pleased that the European Commission and the CEF Committee recognise our high ambitions for the green transition…..OPS for container ships is a crucial part for all the ports involved,” says Anne Zachariassen, COO of Port of Aarhus and project coordinator.

This view is shared by Ports of Stockholm which is expecting to connect ships to green electricity at Stockholm Norvik Port from 2027, as Johan Wallén, Marketing and Sales Manager at Ports of Stockholm confirms: “Together with the other ports in the project, we are investing in a rapid and safe expansion of onshore power for container ships to further strengthen our modern cargo port Stockholm

power

Norvik Port as a hub for sustainable transport. EU’s positive decision on funding indicates that it is a priority project for increased electrification of the transport sector with a focus on the transition of shipping.”

USA STS CRANE RETHINK REQUIRED

Patrick Stafford, President of Stafford Crane Group (SCG) has been outlining the company’s plans to enter the US ship-toshore (STS) crane market in 2025.

One of the final acts from the Biden Administration ahead of President Trump returning to the White House in January 2025, is to confirm that US ports need to have the option to purchase US-made cranes for reasons of national security.

Normal process in the US for ports is to either take delivery of fully erect cranes from China or in part-assembled form from Europe and assembled on site. SCG intends to manufacture Buy America Build America (BABA) compliant cranes for the US market.

However, this is not without potential challenges, notably any crane that is manufactured in the US requires final delivery on a specialist vessel that is subject to Jones Act provisions of the US Shipping Act – specifically, this means the cargo would have to be

■ Stafford Crane Group believes that the port industry needs to accept that viable US crane manufacturing will require challenging the status quo about how cranes are designed, manufactured and delivered

carried on a US built and flagged vessel, operated by a US crew.

Here, Stafford has stated that the need for BABA compliant cranes means the industry must re-think assumptions around both crane design and transportation, and lessons can be learnt from the tower crane industry. For

example, large tower cranes can typically have a boom length of 85m and a lifting capacity over 50t, while being designed to be moved between different locations without requiring specialist transportation equipment.

The position with container cranes is different because they are manufactured with fully welded structures but Stafford has alluded to potentially using different methods in its STS design – albeit that he suggests that the industry needs to “re-think STS crane design and embrace innovation.”

Currently, STS cranes can be regarded as bespoke products, rarely moved between terminals because the cost is too high and modifications may be needed. SCG is keen to change this position by developing more flexible STS units that can be adapted to different facilities while offering opportunities for equipment relocation and lease financing.

BRIEFS

AGVs

for APMT

APM Terminals (APMT) Maasvlakte II has confirmed it will be operating an Automated Horizontal Transport System as part of its expansion that will double terminal capacity by 2027. The contract awarded to Konecranes includes the procurement of up to 71 Lift Automated Guided Vehicles (Lift AGVs), expanding the system to over 140 Lift AGVs, along with a third battery exchange station and virtual reality simulation software. Maasvlakte II will cover 130ha, a 2000m quay and be APMT’s largest fully automated terminal in Europe.

LHM 550 for ICO International Car Operator NV (ICO) at the Vrasene terminal in Antwerp has purchased a second Liebherr mobile harbour crane. A new LHM 550 unit, offering a 54m outreach and a lifting capacity of up to 154 tonnes will support the 125ha facility that processes 7000 vehicles daily and project cargoes by barge. With an e-drive setup for future readiness, the new mobile harbour crane offers increased lifting capacity and faster loading and unloading processes.

Callao Fenders

The Port of Callao’s South Terminal recently added 400m of new quay. ShibataFenderTeam was commissioned to design, manufacture, deliver and test 22 sets of Cone Fenders (SPC 1300, G2.9), with closed-box steel panels (2300 x 4850 mm) and 40mm thick UHMWPE sliding plates, at the DP World-operated facility. The project scope also included 22 T-Head bollards with a capacity of 150 tons while ensuring the Cone Fenders offered a strict tolerance of +/-5%.

■ Ports of Stockholm is one of four north European ports that is to receive major funding to support the transition to onshore

PSA Supply Chain Hub @ Tuas

Node to network, connecting possibilities

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Beyond the waterfront, PSA aims to develop comprehensive supply chain ecosystem solutions by leveraging physical and digital synergies with our core port operations.

Scheduled for completion by 2027 and spanning 2 million square feet, the development of the PSA Supply Chain Hub @ Tuas will be a state-of-the-art facility integrating advanced technologies and sustainable solutions to create a seamless and efficient logistics ecosystem.

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BRAVE NEW WORLD

Maersk and Mediterranean Shipping Co (MSC) have both announced new operating plans for 2025. AJ Keyes looks at their aims and asks whether Gemini is taking the industry down a blind alley, or will it actually generate super-hubs? Or is MSC’s direct call strategy a better one?

With the end of the 2M Alliance, the two members involved are now planning new (individual) approaches. Effectively, the end of this operating partnership is either going to generate transshipment super-hubs or prove that direct calls are a better approach. So, who is right, and does it matter?

END OF AN ERA – START OF A NEW ONE

Since 2015, Maersk and MSC have maintained a Vessel Sharing Agreement (VSA), allowing the lines to use capacity on each other’s ships on certain routes between Asia-Europe, Transatlantic, and Transpacific trade lanes, to optimise operations and cost efficiency. It allowed Maersk and MSC to move more than 4 million TEU together. The VSA had a 10year term minimum and two-year notice period of termination.

In January 2023, these two container shipping companies announced that they would not be renewing their alliance come the end of their 10-year vessel sharing 2M agreement in 2025.

From the end of January 2025, Maersk is launching the Gemini Cooperation with German operator, Hapag-Lloyd. It will comprise a joint fleet, with Maersk providing 60% of the tonnage and Hapag-Lloyd the remaining 40%. The partnership is setting an ambitious target of delivering schedule reliability of 90% once the network is established.

One immediate knock on effect from the formation of this new alliance is the end of another one, with Hapag-Lloyd leaving its former partnership in THE Alliance, abandoning former Asian Partners, Ocean Network Express, HMM and Yang Ming.

This left THE Alliance searching for new partnerships to fill the gap that Hapag-Lloyd left and on September 9, 2024, the Premier Alliance was announced with Wan Hai joining THE Alliance from February 2025 and the new branding starting at this time.

GEMINI – NETWORK OF THE FUTURE

The announcement of the Gemini Cooperation signals a number of key changes to the operating approach from Maersk and Hapag-Lloyd. Table 1 provides a summary of what Maersk refers to as the “Network of the Future” which also includes:

● Network centred around 12 strategically located hubs that are jointly controlled and managed by Gemini Cooperation partners – these include eight APMT operated hubs.

● Dedicated shipping ‘shuttles’ run by Gemini Cooperation partners will serve an extensive network, complemented by feeders. This will provide synchronised connections with mainliners with the objective of halving dwell times and enabling cargo to reach the desired destination faster (although this is unlikely to result in more rapid deliveries than direct services).

● No direct services to Baltic or Nordic countries – with the assumption that Baltic states and Finland will be served by third party feeders. At the other end of the service, no direct services to South Korea or Japan.

● Fewer stops – e.g. moving a container on the current AE10 string, the service makes seven stops from Xingang to Bremerhaven, but this is changing to only three stops across two services of AE9 from Xingang to Tanjung Pelepas (where it is transshipped) onto AE5 with stops at Felixstowe before arriving at Bremerhaven. This is just one example, but highlights fewer port calls and more hub use.

● Direct connections to Asia-Europe services and US services providing much improved transit times.

● Gemini co-operations to be built around 90% schedule reliability.

● The transition from Cape to Suez will “only happen when safe to do so” and on a permanent basis, but Maersk maintains it is “prepared” for either scenario. The alliances established by major container shipping

■ Maersk calls Gemini ‘the Network of the Future’ – but will it be the more successful strategy?

CONTAINER SHIPPING

We are scheduled for Gemini calls….but when will we know the sizes of the ships that will be calling?

lines have always been regarded by the industry as “marriages of convenience” so were only ever temporary.

An obvious question to ask, is why now and why Gemini? For Maersk there are a number of likely reasons. Concerns over a loss of market share to the likes of MSC, CMA CGM and Cosco, coupled with less investment in the largest vessel classes, are the obvious, initial takeaways.

In reality, it may also be seen as a defensive move, designed to offset (minimise) the loss of market share. The deal is being sold as beneficial to shippers through improved services.

FORMULA 1 PIT STOP

The approach being taken by MSC is different, as Soren Toft, CEO, MSC (and former senior Maersk man) has been confirming across the conference circuit in Europe. “Our stand-alone, alliance-free, East-West service network gives us the operational freedom and flexibility highly demanded by the market,” he has been quoted as saying.

He has also been vocal in highlighting a need for significant improvements in outdated port infrastructure and productivity, while also better balancing the integration of needed new technologies to avoid displacing existing workforces.

MSC plans to expand its port coverage with 34 loops and over 1,900 direct port combinations. It is also investing in more than 100 ports globally, recently acquiring a stake in HHLA, Hamburg’s leading terminal operator.

“These investments will allow us to manage port calls with the precision of a Formula One pit stop,” Toft confirmed.

MSC has been increasing its fleet substantially in the past five years to be able to develop an extensive network based on direct port calls. “We want to be stand-alone. We will be in charge of our own destiny, so that we can provide the speed, agility and decision-making to our clients that we want,” the company’s leadership has also confirmed.

MSC’s aggressive newbuild strategy currently means that the shipping line can offer over 6.1 million TEU of total container capacity, representative of an estimated 20% of the global market. With the largest orderbook, there is a clear 2025 strategy of direct port calls with broad geographic coverage.

DURBAN TRUTHS TOLD

In round one of a legal challenge APMT/Maersk has halted the award of Durban Container Terminal 2 to ICTSI but it’s not over yet with ICTSI telling some home truths and identifying the solvency issue at the heart of APMT’s challenge as irrational

Strange things can happen in concession processes –influence can be brought to bear, the result orchestrated by the timing and conditions of the process etc – but without doubt one of the strangest events is now occurring in conjunction with the concession process for Durban Container Terminal Pier 2 (DCT2).

A reportedly well managed concession process was run for 49% of the terminal by Transnet, the state-run national ports authority, with Philippines headquartered International Container Terminal Services Inc. (ICTSI) being declared the Preferred Bidder in July 2023. APM Terminals (APMT), the second placed bidder and a unit of shipping company Maersk’s Transport and Logistics Division, then made initial complaints to Transnet about the selection of ICTSI as Preferred Bidder, even though its bid was in the order of US$100 million less than ICTSI’s bid. It was not until around nine months later, however, that APMT mounted a legal challenge against the award with the centrepiece of this being the accusation that ICTSI had failed a solvency test set in the Request for Proposals, its interpretation being that this can only be looked at in one specific mathematical way.

Prior to the mounting of the legal challenge Transnet had, using the services of a qualified third party, looked at the financial capacity of ICTSI and pronounced itself satisfied that ICTSI had passed financial due diligence. At least in part this appeared to be the trigger for APMT to go legal.

The solvency issue: Maersk is trying to question ‘a non-defined metric’

The legal action – Part A of a two-part action – came to court last September and the following month the Durban High Court issued an interdict on the DCT2 process, halting it in its tracks until the legal challenge is fully ruled on.

ICTSI is known to be applying to appeal the interdict and beyond this there is Part B of the legal action to conclude. The clock is ticking and months are slipping by adding a substantial time period to a process that commenced in early 2022.

TIMELINE IS IMPORTANT

The timeline is important. In December this year it will be two years and 10 months since Transnet launched the concession process for DCT2. It was slow even before the legal challenge but with this now in play the process will easily cross the three-year mark. The APMT challenge effectively throws the process into the long grass – halting the vital work of getting to grips with raising DCT2’s performance to the comprehensive benefit of South Africa’s economy. A point underlined recently by Enrique K. Razon, Chairman & CEO of ICTSI, who broke silence in mid-October on the APMT legal challenge highlighting what ICTSI believes to be the real facts behind it and the ensuing negative consequences.

“Maersk has dominated the South African market since it acquired Safmarine over 20 years ago and today Maersk

holds a dominant position and strong pricing leverage in the market. Maersk is clearly desperate to prevent the entry of an independent common user terminal operator. In short, after failing to produce a strong bid they are instead trying to delay and stop the process by using the courts,” he underlined.

He continued: “This, of course, all suits Maersk who have just as much interest in the process failing as they do in having their far inferior bid being accepted. Either outcome would be a dramatic step backward for the government’s economic agenda but a success for Maersk’s desire for end to end to end control of South Africa’s logistics system.”

In this context, it is well known that Maersk accounts for a large proportion of the berthing slots at DCT2 and that until such a time as the terminal can operate more efficiently there is little scope for new lines to gain a foothold in Durban and offer a more competitive environment to importers and exporters.

The timeline is also relevant in relation to Transnet. “Transnet, has not acted expeditiously and has dragged its feet at the highest levels,” noted Razon. The suggestion is clear that there are parties within Transnet who are nonbelievers in a Public Private Partnership (PPP) and do not want it to proceed.

In equally damming mode, Razon said on the key solvency issue: Maersk was trying to question “a non-defined metric” that even some of the world’s largest companies such as Apple would be unable to meet, as well as numerous top 40 companies listed on the Johannesburg Stock Exchange.

Certainly, there is a good deal of agreement with this position – independent financial analysts suggest that over emphasis on one mathematical formula to assess solvency is stretching the boundaries of common sense and that there are other equally, if not more, effective ways of analysing this. PS has had some insight into these from an independent source and all confirm ICTSI has more than adequate financial capacity to undertake the DCT2 project.

■ Enrique K. Razon, Chairman & CEO of ICTSI, has publicly questioned Maersk/ APMT’s motives for mounting a legal challenge to the award of the DCT2 concession to ICTSI

PORT CALL IMPETUS

Optimising vessel movements port to port and thereby maximising efficient berth usage is now a highly relevant area of attention. Mike Mundy charts the key initiatives and benefits cited

Thor Thorup, Chief Commercial Officer and Co-Founder at Portchain, highlights the fact that in two short years around 130 ports and terminals have signed up for its Portchain Connect system – a system which through a digital handshake aims to efficiently align berth availability with vessel arrivals on a just in time basis.

Reflecting on the formation of Portchain, Thorup states: “We saw a challenge in the interface between lines and terminals. Vessels arriving at ports out of sync with berth availability is an inherently wasteful process. If the vessel arrives too soon it can create congestion and invariably involves excessive fuel consumption and emissions. From the terminal side it was plain that vessels arriving too soon or too late posed major challenges in terms of resource planning – equipment, labour and so on – and therefore with new generation technology available and coming online we set about optimising the port to port vessel movement, digitalising the process, enhancing planning and throughout employing quality data.”

The latter element is actually key coupled with capturing all the indicators which facilitate accurately forecasting arrival time. The latter include: departure time from the previous port of call; the impact of exceptional events such as heavy weather/port closures/port congestion, accurate vessel tracking and other influential factors. Digitalising this information basically provides a highly accurate overview allowing much greater accuracy with the alignment of the timing of the vessel process. If it can be seen the vessel will arrive too soon, it can be slowed down reducing bunkers and emissions by 6 to 14% according to Portchain. Conversely, it is possible to use the information to speed a vessel up to hit a particular spot and thereby expedite vessel turnaround.

Portchain also offers its Portchain Quay module which complements its Portchain Connect product. Thor Thorup

describes this as a planning tool employed by terminals to match terminal resources – labour, equipment etc. “it speeds up workflow,” he underlines.

GROWING INTEREST

To some extent Portchain can be regarded as a pioneer in the business of optimising port to port vessel movements and thus berth usage – having drawn together all the threads that facilitate a digital handshake between ports/terminals and shipping lines.

This field, however, and allied fields can be seen to be the subject of growing interest on diverse fronts on the part of ports own initiatives focused on berth optimisation and at a wider level that of industry associations

In the latter context, it is noteworthy that the Supply Chain Resilience Taskforce (SCRT) has recently released its study, Port Call Optimisation through Data Quality. SCRT points out that the rationale for the study arose out of, “The urgent need to implement The IMO Compendium on Facilitation and Electronic Business in the maritime sector and harmonising communication and the electronic exchange of operational data for port calls. The approach the study takes is an interesting one – it centres on presenting “essential findings and key insights from various in-depth interviews with port authorities and maritime stakeholders on how they implemented Just-in-Time Arrival best practices.”

The SCRT is made up of chainPort, IAPH, DCSA, tic 4.0 and IPSCA thereby offering a good cross section of views and experience. Briefly, major points highlighted in the report are: ● The need to adopt international standards and standard identifiers. It is a big task to digitalise all the data for the entire port process and the report notes that in some cases ‘data is manually submitted once a day, highlighting a mixed approach of automation and manual input.

■ DP World Dakar is one of the latest companies to sign up to Portchain Connect

Among the benefits…a reduction in ‘turnaround’ (call planning time) from an average of eight hours to two hours and the ability to plan operations 3 to 4 hours ahead

● Achieving the optimal position is not always possible in the short-term. “Integrating systems with non-standard identifiers and ensuring synchronisation of data is challenging but necessary for consistency,” the report notes.

● As best practice, the study recommends ports focus on the accuracy and reliability of real time data, and implement and synchronise key timestamps including ETA berth, ATA berth (Actual Time of Arrival) and RTD (Requested Time of Departure).

● The deduced benefits of port call optimisation are significant. Notably a reduction in “turnaround” (call planning time) from an average of eight hours to two hours and the ability to plan operations three or four hours ahead. Finally in conjunction with the Port Call Optimisation through Data Quality report, it is worth underlining it is not just a sector report but provides some very helpful information on how to go about moving purposefully down this path. Two key aspects are:

● A seven point checklist on data quality regarding implementation of port call optimisation, and

● In the fourth chapter of the report best practices and recommendations that go beyind the topics mentioned by the interview participants. These are categorised under three main headings Data Collaboration and Standardisation, Digital Platforms and Systems and Data Quality.

INDIVIDUAL INITIATIVES

In terms or recent individual initiatives in the sector, which wholly or partially contribute to berth/port call optimisation the following are particularly noteworthy:

● The Maritime and Port Authority of Singapore (MPA) has announced that it is planning to use artificial intelligence (AI) and digital twins to optimise vessel route planning to enhance safety and reduce emissions. Bottom line, the Authority states: “The aim is to achieve just-in-time arrival to reduce the turnaround time for vessels in port.” To facilitate moving towards this goal it has signed a memorandum of understanding with Microsoft and generally emphasises:

“The focus lies on technologies including cloud computing, AI, data analytics, robotics and cybersecurity to develop digital and green solutions for the maritime industry.”

MPA states that together with Microsoft it will, “…codevelop digital solutions or leverage existing Microsoft products to support small and medium enterprises, focusing on demand aggregation and energy efficiency in shipping and port operations.”

Another interesting project only recently announced is the European Space Agency’s DECARDIS project (Decarbonisation through Digitalisation in Shipping). It has a powerful group behind it, Awake AI, ABB and Wallenius Marine. They will collaborate on the development of technologies to assist ships in adjusting their speed and arriving at the destination port at the right time – not early. The goal is to eliminate fuel wasting which is also a goal of the Blue Visby project. The reported path to achieving this is by “developing an integrated an interoperable system to

integrate decision making on ship routing and speed to achieve just-in-time arrival processes at the berth.”

The Blue Visby programme is bulk carrier focused and has recently conducted some prototype trials which confirmed double digit savings over a 10-voyage test programme.

SCRT for its part states “…the benefits of port call optimisation are significant. They include a reduction in ‘turnaround’ (call planning time) from an average of eight hours to two hours and the ability to plan operations 3 to 4 hours ahead.”

TOS INFLUENCE

Terminal Operations Systems (TOS) are generally not involved in the mainstream of port to port vessel movements. Having said that as Chad Van Derrick, Global Transformation and Innovation Leader of US-based Tideworks Technology explains, the modern TOS systems are progressively being developed so that they can contribute to this process – the use of AI, for example, to predict vessel arrival dates or digital twins to predict multiple scenarios and plan accordingly regarding the terminal’s vessel calendar.

Nevertheless, such initiatives remain largely firmly fixed on terminal resource planning which when done at the highest level can have the much-desired effect of freeing up capacity due to optimised terminal operating arrangements.

VERY RELEVANT

The potential that the above referenced systems and initiatives have to optimise port to port vessel movements with allied benefits regarding reduced emissions is extremely relevant today. We have seen the huge negative impact that Covid had on orderly vessel movements, vessel bunching etc. The consultancy Sea Intelligence has recently suggested that in Asia Europe trade the same level of problem now prevail – driven by the Red Crisis and other local factors such as labour strikes.

The example of the port of Singapore is given which is said to have seen about 90% of vessels arriving off-schedule, compared to an average of 77% in 2023. Port stays are also said to have increased in Singapore by 22% when compared to the same period in 2023.

Clearly, there is a strong need to focus on port-to-port vessel movements and optimising the process. A much higher level of efficiency is required and the commensurate effort to achieve this.

■ Vessel bunching is back and has the potential to become even more prolific

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AGVs: GROWTH AND INNOVATION

AGV demand for new and upgraded units is rising underpinned by design innovation with electric-powered units a key theme

SECTOR ANALYSIS: AGVs KEY TO EFFICIENCY & DECARBONISATION

The role of AGVs in ports is rapidly ramping up in the face of ever-larger container ships and terminal congestion. According to ABI Research, a global technology intelligence firm, AGV seaport deployments worldwide will have a Compounded Annual Growth Rate (CAGR) of over 26% from 2022 to 2030 and will exceed 370,000 global deployments by 2027. It singles out AGVs as being among the most productivityaugmenting solutions in seaports. AGVs are also at the heart of the drive by terminal operators to decarbonise, with increasing numbers now fully electric. As detailed below, Konecranes is delivering 116 battery driven

AGVs for the Hamburger Hafen und Logistik CTB terminal, helping the terminal operator reach its goal of carbon neutrality by 2040. The AGV is also an important part of port decarbonisation R&D, from Konecranes’ Future Fields concept, to the PIONEERS Consortium, which is aligned with the European Green Deal’s main objective to make Europe climate neutral by 2050 (see below). Another main theme is the incorporation of AI and Internet of Things technology. Their role within AGV predictive maintenance is leading to a reduction in downtime and boosting system reliability.

DATA ANALYSIS: BATTERY POWER, COMMISSIONS AND R&D

■ Durapower: The manufacturer has commissioned 54 AGVs powered by its batteries, for operation at PSA Singapore’s Tuas Port. It has since completed testing of its 266kWh Battery Energy Storage System (BESS) with a third-party AGV manufacturer. The Singaporean Lithium-ion battery company says that its customised durable, high power battery solutions, first deployed in 2012 for specialty vehicles like AGVs, are built for ruggedness to withstand heavy loads and extreme operating conditions. It has also scooped an order for its batteries to be deployed in VDL AGVs for South Korea’s

first fully automated terminal (see VDL company profile). The company is currently researching a cloud-based technology that can greatly enhance the lifespan and safety of lithium-ion batteries in collaboration with scientists from Nanyang Technological University, Singapore (NTU Singapore). Powered by the Internet of Things (IoT) and Artificial Intelligence (AI), this new solution can help companies and data centres lower the risks associated with lithium-ion batteries, including potential fire hazards.

■ Electric AGVs powered by Durapower’s battery system are employed with 54 AGVs supplied to PSA for use at its new generation Tuas Port

■ Gaussin: Gaussin announced the launch of the world’s first hydrogen-powered fuel cell AGV for seaports, in 2022. “It will help port operators switch to zero-emission immediately and provide longer operating hours, shorter and less frequent refuelling, as well as quiet and efficient transportation,” underlines a statement by the company. The AGV H2 can

■ Hyundai Rotem: Hyundai Rotem has scooped an order for the production and delivery of electric AGVs at Gwangyang Port in South Korea. Hyundai Rotem will supply a total of 44 port AGVs, as well as control systems and chargers by 2029. When the project is completed, Gwangyang Port will have a fully automated system for all logistics processes within the pier. The AGV to be supplied by Hyundai Rotem is a large port AGV that is 16m long, 3m wide and 2.3m high, capable of transporting containers weighing up to 65 tonnes. It is powered by electricity and has a fast-charging system, so it can run for about eight hours on a 30-minute charge. The

■ Jungheinrich/Kollmorgen: DB Schenker has started deploying Jungheinrich AGVs with Kollmorgen technology at its terminal in Borås, Sweden – the company’s first to use automated forklifts. “The main challenge on this site is to move a lot of goods in a very short time,” explains Fredrik Ottosson, Terminal & CoDi Manager, DB Schenker Land in Borås. “We also have a target in cluster SE/DK Land to increase automation within our terminals. This is a good step forward in this

■ Kivnon: Spanish provider of AGVs Kivnon has struck a partnership with ProLog Automation to accelerate the deployment of such solutions in the German market. This collaboration establishes ProLog Automation as Kivnon’s key

■ Konecranes: Konecranes is now delivering its largestever single order for AGVs to Container Terminal Burchardkai (CTB), supporting the carbon-reduction plans for Hamburger Hafen und Logistik AG. It will introduce 116 Li-Ion AGVs from Konecranes in a transition to a fully electric Automated Horizontal Transport System at CTB. Deliveries will continue through 2025 and take HHLA’s total Konecranes AGV fleet size to more than 200 vehicles. The delivery includes a CE TYPE Approved Interchange and Fence Control safety system connected to CTB’s quay cranes and automated stacking cranes. Ingo Witte, General Manager, HHLA, Container Terminal Burchardkai, points out: “This comprehensive modernisation project is regarded as the largest brownfield

■ Siemens: Siemens used LogiMAT 2024 to showcase its Simove platform that is specifically designed for AGVs and automated autonomous mobile robot (AMRs), complete with new features. The platform includes modular software components and libraries for guidance control, navigation, and general automation and uses standardised automation and drive components. Another highlight is the autonomous load-carrier handling technology. The AI-based software

■ VDL Automated Vehicles: South Korea’s first fully automated terminal will deploy a fleet of VDL AGVs powered by Durapower Holdings Pte Ltd’s battery system. Durapower has supplied up to 60 units of their battery system for VDL’s zero emission AGVs, which will transport containers within Busan New Port’s terminal. The Netherlands-headquartered VDL has also recently supplied a mega-order of 80 AGVs to be used for container terminal logistics at PSA Singapore’s Port. VDL says that the AGVs “transport containers 24 hours a day, seven days a week.” VDL is also playing an important role in the PIONEERS Consortium, which addresses the

handle a container payload of 65 tonnes, with a maximum speed of 25 km per hour. It is powered by a 2,226kW permanent magnet fuel cell with a 45kW H2 tank capacity, with a 20kg @350bar battery capacity. It can operate with 60kwh autonomy with H2 for 15 hours, with three hours additional autonomy with batteries.

antenna mounted on the AGV and the sensor embedded on the port floor enable sophisticated driving by identifying the location of the vehicle in real time. It will also be equipped with the latest unmanned technology to prevent collisions by detecting obstacles with LiDAR sensors mounted on the front and back. The company is increasing production efficiency by establishing AGV-only production lines and driving test sites at a factory located in Dangjin-si, Chungcheongnam-do. Based on this, Hyundai Rotem completed the installation of 60 AGVs and related infrastructure supply projects at Pier 7 of Busan New Port.

direction.” DB Schenker says it chose Jungheinrich AGVs with Kollmorgen technology for their proven track record and tailored solutions. Kollmorgen supplied the system software and vehicle hardware for fleet management, routing, and navigation solutions. The Swedish company, which delivers motors, drives, AGV control solutions and automation platforms, last year launched cloud-based commissioning system Cirrus, which speeds up and streamlines AGV installations.

partner for AGV projects and services in Germany. By leveraging Kivnon’s AGV technology and ProLog’s local expertise, the partnership aims to help companies unlock next generation efficiency and competitiveness.

upgrade of an operational plant in the global industry. Once fully implemented, this transformation will enable us to reduce CO2 emissions by up to 12,000 tons annually.” Konecranes used TOC Europe 2024 to launch its Future Fields concept which considers new ways of combining technology including AGVs, to achieve 10,000 moves daily from a single berth. The key features of the horizontal transport area of its idea include managing the vessel and container yard interface with AGVs and deploying a fully electric solution with proven battery technology combined with solar power.

Recent uptake: APM Terminals Maasvlakte II B.V. has struck a deal for 71 lift AGVs from Konecranes as part of a project to double its capacity at the Port of Rotterdam.

system enables AGVs and AMRs to visually detect, autonomously approach, and automatically pick up load carriers in variable and dynamic environments. Siemens explains that autonomous load-carrier handling solutions can significantly reduce costs, engineering, and time expenditures. Simove is part of Siemens’ Xcelerator portfolio, which includes IoT-enabled hardware and software covering the entire warehouse operation.

challenges faced by European ports to reduce their environmental impact while remaining competitive. It is building on the commitment of the Port of Antwerp-Bruges to be climate neutral by scaling up current technology and to demonstrate applicability and feasibility through several demonstrations, acting as a “lighthouse” for EU ports. It will test demonstrations during the project at the ports of Barcelona, Constanta and Venlo. VDL’s role will be in the in the research and development phase by offering advice to terminal operators on operations with electrical heavy duty AGVs.

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POLITICAL RISK RESURFACES

So far, the fallout from the Ukraine crisis has seen only limited impact on grain volumes. Increasing tension is, however, reanimating concerns about global food security. Andrew Penfold assesses the situation

Long standing observers of the grain trades might be forgiven for thinking that the business is relatively mature. Sure, the trades have always been influenced by seasonal factors relating to production and stocks, but not since the ‘grain embargo’ placed on the Soviet Union in 1980-81 (following the ill-fated invasion of Afghanistan) have we seen significant upheaval. This has now changed. Once again, the actions of Russia have overturned the stability upon which a large part of the world’s population –especially in the poorer parts – rely on to survive.

Let’s take a look at what has happened since early 2022. Before then, the trades were characterised by fairly steady increasing world demand for wheat and feedgrains/oilseeds, with the emphasis on wheat focused on the Middle East and African markets, and China driving demand across the board. The major trend of recent years was the increasing role of both Russia and the Ukraine (and Brazil for oilseeds) in meeting these demand increases. Although port development was required – especially for the introduction of larger vessels out of the Black Sea – there was a balance of supply and demand in the grain port sector. The invasion of Ukraine upended this relative certainty.

KEY GLOBAL DEVELOPMENTS

It’s worth summarising the overall development of demand. Grain trade is of course more than just wheat, with the feed sector dominated by soyabeans and coarse grains. Overall volumes are summarised in Figure 1, which brings together total volumes for the period since 2020/21 (USDA data). The overall profile is fairly constant, with total tonnages increasing from 785m tonnes to an estimated 807m tonnes in 24/25. There have been some short-term changes, but a steady growth trend is apparent.

A closer examination of the statistics reveals that the major driver of the increase has been wheat trade for human consumption, with volumes increasing from just under 200m tonnes to a peak of 224m tonnes in 2023/24. This represents an increase in market share from 25 to 27 percent. Although a limited downturn is forecast for the current crop year the underlying trend is apparent.

The real sensitivity is in the wheat trades and the direct human effects of trade disruption. Table 1 summarises the development of exports and imports by major country over the period.

Within an overall growth profile – and accounting for typical year-on-year climate-based volatility – it’s clear that the major trend over the period has been the development of Black Sea exports until 2022. The combined shipments of Russia and the Ukraine had become the dominant world suppliers, with the focus of most of this demand being either shorthaul into North Africa and the Middle East or in fragmented demand to smaller markets – usually in Handysize bulkers.

With this supply side analysis, we also see the volatility of Southern Hemisphere suppliers where sharp year-on-year production shifts are well known. Only the North American suppliers – especially the US – have the potential to increase production and shipments to reach levels achieved in the past.

Turning to imports, the primary trend has been the steady increase in Chinese demand, although as the economy weakens these volumes are now more uncertain. The real drivers have been the rapidly increasing populations in the grain-deficit regions of the Mediterranean (Egypt, Algeria and Morocco) and SE Asia. Here demand is continuing to grow, and this can only be met by further increases in imports.

A closer examination of the statistics reveals that the major driver of the increase has wheat trade for human consumption, with volumes increasing from just under 200m tonnes peak of 224m tonnes in 2023/24. This represents an increase in market share from 25 percent. Although a limited downturn is forecast for the current crop year the underlying apparent.

UKRAINE AND THE BLACK SEA

The real sensitivity is in the wheat trades and the direct human eEects of trade disruption. 1 summarises the development of exports and imports by major country over the period.

Since the beginning of the Russian invasion of Ukraine, in February 2022, Ukrainian grain exports have been disrupted. Initially, Russian naval vessels sought to block shipments from Ukrainian ports. The political price was high, with Russian ‘allies’ in the identified markets facing at least shortterm disruptions. This resulted in a four-month agreement between the UN, Turkey and Russia to allow exports via a ‘safe maritime humanitarian corridor’ – the so-called Black Sea Grain Initiative. Some 950 grain bulkers left the Ukrainian ports of Chornomorsk, Odesa and Yuzhny during the period – with this accounting for at least 30m tonnes shipped during the period of the initiative. Around 65% of the wheat exported under this arrangement was for Developing Countries, while maize was exported almost equally to developed and developing countries.

On 17 July 2023, Russia announced its decision to end the Black Sea Grain Initiative.

Following the cessation of the Black Sea Grain Initiative vessels have since been using an alternative route, hugging Ukraine’s southwestern Black Sea coast through Romanian waters and on to Turkey. Although this remains a relatively safe routing the vulnerability is currently primarily in the load ports which are fixed and easy targets. The outcome of this scenario remains uncertain, but insurance is up again and there has been a limited spike in grain prices from these sources.

Source: USDA

Direct reaction from the Ukraine on Russian export ports would radically worsen the situation and have the potential to see a partial curtailment of Black Sea grain shipments. This would have far-reaching effects and result in the situation first feared when the invasion commenced.

■ Figure 1: World grain/soyabean trade

Figure 1: World grain/soyabean trade

Table 1: Global Wheat Trade Since 2020/21

World Grain & Soyabean Trade 20/21-24/25 (m tonnes)

Wheat Maize Coarse Grains Soyabeans

Since early October things have got worse. Obviously reflecting on a general lack of progress in the campaign, in October the Russians launched a ballistic missile attack on the port facilities at Chornomorsk, the third attack on the region within a four-day period. Ukrainian officials also report a Russian missile hit a Palau-flagged vessel in Odesa port, killing one Ukrainian national and injuring five foreign nationals. In addition, a Russian missile damaged a civilian Saint Kitts and Nevis-flagged vessel loaded with corn in the port of Pivdennyi in the same region.

Under these circumstances projecting demand is highly problematic. The latest USDA forecasts (compiled before the increased tension) indicate that until recently Russian moves to restrict grain shipments from the Ukraine were largely ineffectual (Figure 2). Although production has declined, actual exports have remained at established levels. In contrast, Russia has been able to increase shipments to some extent.

As we move towards the end of the year, continued monitoring of the Ukrainian situation will be essential. Until recent developments trend lines suggested that the Ukraine was on a strong trajectory, but intensifying war conditions and potential disruptions pose mounting risks.

It is clear that the level of risk in the grain trades is much higher than was thought to be the case as recently as two years ago

Overall current indicators point towards a successful year for Ukrainian exports, contributing positively to the global supply chain and economic stability in the region. This is probably directly responsible for the recent attacks as Russia seems unable to strike at vessels transporting the grain and is focusing its efforts on the port sector itself.

So, what are the possible outcomes?

● �If the war is settled – either by a victory or ceasefire – then grain volume will recover sharply as both players seek to lift export earnings despite some uncertainties over production volumes. Under these conditions, recovery and renewed investment in Ukraine’s grain export terminals will be to the fore.

● �On the other hand, a continuing attrition will only see further strikes on major grain export terminals provoking a direct response from Ukraine. Under these conditions the Black Sea share of the grain trades will fall sharply – as was feared in 2022.

It’s not possible to place a bet on the likely outcome, but the grain trade has never looked more vulnerable. Production in the US (and other suppliers) could be increased, but the lead times for grain are long and the world stock situation is not favourable

IMPACT ON PORT INVESTMENTS

The world grain trade has become complacent. The immediate impact of the upheavals in the Black Sea were limited and saw an increase in prices which offset some of the downside for the major grain traders. However, it is clear that the level of risk in the trades is much higher than was thought to be the case as recently as two years ago.

It is also clear that there is a requirement to step up not just remedial investments in Ukrainian ports (which, in any case, needed significant improvement) but also in the alternative suppliers. Capacity exists in the US and Canada –although some uprating of under-used export elevators will be required – but other suppliers such as Argentina need to

step up there long delayed investments in programmes to, for example, deepen the River Plate. Other capacity additions must be made to offset the direct risk stemming from Ukraine’s unhappy position.

However, focusing financing for such developments will be problematic until the risk is right in front of us. It may be too late.

Under these circumstances projecting demand is highly problematic. The latest USDA forecasts (compiled before the increased tension) indicate that until recently Russian moves to restrict grain shipments from the Ukraine were largely ineBectual (Figure 2). Although production declined, actual exports have remained at established levels. In contrast, Russia has been to increase shipments to some extent.

As we move towards the end of the year, continued monitoring of the Ukrainian situation will essential. Until recent developments trend lines suggested that the Ukraine was on a strong trajectory, but intensifying war conditions and potential disruptions pose mounting risks.

If history teaches us anything it is that global grain trade is susceptible to shocks – geopolitical events, extreme climate issues, crop failures etc. While such incidences are difficult to plan for, as recent events in the Ukraine have demonstrated, it may be wise to at least to think ahead and devise some contingency plans.

So, what are the possible outcomes?

§ If the war is settled – either by a victory or ceaseﬁre – then grain volume will recover sharply as both players seek to lift export earnings despite some uncertainties over production volumes. Under these conditions, recovery and renewed investment in Ukraine’s grain export terminals will be to the fore.

§ On the other hand, a continuing attrition will only see further strikes on major grain export terminals provoking a direct response from Ukraine. Under these conditions Black Sea share of the grain trades will fall sharply – as was feared in 2022.

It’s not possible place a bet on the likely outcome, but the grain trade has never looked more vulnerable. Production in the US (and other suppliers) could be increased, but the lead times grain are long and the world stock situation is not favourable

■ Figure 2: Black Sea grain situation and outlook (USDA data)

Figure 2: Black Sea grain situation and outlook (USDA data)

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Faster, greater stability, more manoeuvrable, cleaner power and supported by IoT and AI, a new generation of advanced pilot boats is launching

SECTOR ANALYSIS: DECARBONISATION AND ENERGY EFFICIENCY

As global trade expands, there is an increased demand for specialised pilot boats to navigate congested waterways. Additionally, advances in technology, an emphasis on reducing operational costs and the growth of sustainable propulsion are driving market growth, as stakeholders invest in new, modern designs. Growth is forecast at an annual rate of 14% from 2024 to 2031, according to the Pilot Boats Market: Global Market Forecast and Market Trends (2024 - 2031) report. It notes that market trends include the integration of automation in pilot boats to boost navigation efficiency and safety, as well as digitalisation and IoT, to enhance operational tracking and maintenance efficiency. Plus, growing emphasis on sustainability and emissions regulations is fuelling the increase of hybrid and fully electric

pilot boats. One form of electric propulsion gaining momentum is e-foiling. Dr Iain Percy, CEO, Artemis Technologies, says: “We’ve been inundated by inquiries. Our e-foiling in the pilot boat sector works due to safety, economic and environmental benefits.” He explains that by the vessel taking off out of the water on the foils, drag is reduced by approximately 70%, meaning that less electricity is used. There is also a large safety increase for pilots when they transfer. “It is like having the world’s biggest stabilisers – when pilots transfer to the ladder, the platform is stable,” Dr Percy says. Artemis Technologies’ recent contracts are highlighted below, as are other pilot boat builder profiles, which reveal an emphasis on environmentally friendly and energy efficient features.

DATA ANALYSIS: SUSTAINABILITY, ENERGY EFFICIENCY AND R&D

■ Artemis Technologies: Northern Ireland’s Artemis Technologies has signed a clutch of new contracts for its electric foiling pilot boats. In August this year, pilot services provider Brabo Partners signed a deal with Artemis Technologies, to bring an Artemis EF-12 Pilot boat into its fleet in the Port of Antwerp-Bruges. Scheduled for delivery in late summer 2025, the 100 per cent electric boat produces zero operational emissions whilst slashing operational costs by up to 80 per cent. An advanced active flight control

system offers precise control, ensuring optimal stability and safety in displacement mode during pilot transfers, even in challenging conditions. The Artemis eFoiler® electric propulsion system also minimises wake, allowing for high-speed transit in areas where such speeds were previously restricted. Artemis Technologies has also secured a contract to supply the Swedish Maritime Administration (SMA) with a fully electric Artemis EF-12 pilot boat. It will be the first 100 per cent electric pilot boat to operate in Nordic waters.

■ Brabo Partners is bringing an all-electric pilot boat from Artemis Technologies into its fleet in the Port of Antwerp-Bruges. The e-foiling based design, whereby the vessel rises up from the water, facilitates reduced drag of up to 70%, in turn significantly reducing the electric power consumption

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■ Baltic Workboats: Estonia’s Baltic Workboats has signed a contract with Flotte Hamburg for the construction of a new pilot boat. The pilot boat will be based on the Baltic Workboats PILOT 17 WP platform. The contract includes an option for another identical pilot boat. The PILOT 17 WP platform features a wave-piercing hull design which reduces vertical accelerations in heavy seas up to 40% and increases fuel efficiency. The vessel will be equipped with Stage V emission compliant drive system to minimise the environmental impact. The PILOT 17 WP will feature Baltic Workboats’ Integrated Automation, Control and Monitoring

■ Gladding-Hearn: US shipyard Gladding-Hearn has built more than 80 pilot boats, operating in the United States and the Caribbean. In December 2023, the Alabama Pilot, Inc. in Mobile, Alabama, took delivery of its second Chesapeake Class high-speed pilot boat from Gladding-Hearn Shipbuilding. The new all-aluminium pilot boat is powered by twin Caterpillar C-18 diesel engines, each delivering 671Bhp at 2100 rpm and a top speed of 27 knots. The engines turn 5-blade NiBrAl propellers via Twin Disc MGX-5136A ‘Quick shift’ gears. A Humphree interceptor, with automatic trim optimisation, is installed at the transom. The launch is equipped with a 9kW Northern Lights EPA Tier 3-compliant genset. Last year the shipyard also delivered a Chesapeake Class pilot boat, certified to Lloyd’s Register class, to the

■ Glosten: Naval architecture and marine engineering company Glosten is to design low emission boats for San Francisco Bar Pilots that will meet California Air Resources Board (CARB) emission requirements. CARB has established regulations to limit emissions below what is required by EPA for Tier 4 and must be met by any vessel considered a harbour craft by CARB operating in harbour and coastal California waters. San Francisco Bar Pilots is slated to be the

■ Hart Marine: Hart Marine has completed the ‘Spirit’ pilot boat for Flinders Ports, marking the inauguration of the first vessel in a series of three commissioned builds for the South Australian port. Australia-based Hart Marine has emphasised the importance of sustainability initiatives for itself and Flinders Ports, and to this end Spirit deploys Volvo Penta IPS systems, which enhance fuel efficiency and reduce the environmental footprint. “The twin counter-rotating propellers operate in undisturbed water, optimising thrust parallel to the hull, resulting in enhanced forward propulsion and manoeuvrability,” the port explains. The Volvo Penta Inboard Performance System offers a reduction in fuel

■ Holyhead Marine: Dover Harbour Board’s Diligent pilot boat is now operational. Following three years of work, trials and consultations with partners in the industry, Diligent arrived in July 2024. Developed in collaboration with Holyhead Marine, it is powered by HVO diesel to improve fuel efficiency and reduce emissions. Steven Manser, Harbour Master, Port of Dover, states: “Brand new and with the latest features, she will provide exceptional assistance to our pilots, who do a great job escorting vessels into berth, sometimes during

■ Next Generation Shipyards: The Port of Milford Haven has celebrated a milestone with the keel laying ceremony for its new 22-metre pilot transfer vessel, currently being constructed by The Netherlands-based Next Generation Shipyards and designed by Camarc Design. This new vessel is the first step in a long-term, multi-million pound investment programme aimed at enhancing the UK energy port’s pilotage capabilities. Wayne Busby,, Watch Manager,

System to allow monitoring and control of the vessel’s main and auxiliary systems from a single touchscreen at the captain’s position and remote monitoring from shore. This is the third hybrid-electric patrol boat under construction in Baltic Workboats shipyard for Flotte Hamburg. In 2023, Baltic Workboats delivered its first ever vessel to Canada. The 17-metre ice-capable pilot boat entered service for Laurentian Pilotage Authority in Montreal and features Baltic Workboats patented wave-piercing hull, an in-house developed remote monitoring and control system and IMO III compliant propulsion solution with Volvo Penta main engines.

Bermuda Government, Department of Marine and Port Services. The new all-aluminium launch replaces a 10-knot steel pilot boat built by the shipyard in 1980. Powered by twin Caterpillar C-18 diesel engines, each producing 670 Bhp at 2100 rpm, its top speed is 24 knots. With oversized fendering, thicker hull plating and conservatively rated machinery, the new launch was intentionally overbuilt to be heavier than the typical target displacement to improve seakeeping, longevity and reduce maintenance, explains Peter Duclos, President, Gladding-Hearn Co. The mechanical systems, with keel cooling and dry exhaust for the main engines and generator, copper nickel piping for fire, and HVAC seawater piping, also contribute to the vessel’s longevity and low maintenance, he adds.

first pilot association in California to acquire vessels that will meet CARB’s Commercial Harbor Craft Regulation. The US-headquartered shipyard support of the new boats includes a propulsion feasibility study, which is currently underway, and a contract design package. The first two station boats are expected to be in service by the end of 2024, with the third in service by the end of 2025.

consumption. Its beak bow design facilitates smooth navigation in turbulent waters, significantly reducing vertical acceleration and ensuring stability for pilots. Elsewhere, Port Phillip Sea Pilots (PPSP) has chosen Hart Marine to construct its new pilot build. PPSP has chosen the same specifications as the Spirit pilot boat. Equipped with a Marfle fuel monitoring system, the vessel relays real-time engine telemetry and fuel data to the fleet manager. Michael Hanson, Managing Director, PPSP notes: “This new launch marks Port Phillip Sea Pilots’ seventh partnership with Hart Marine and a giant leap forward in meeting our sustainability targets”.

challenging weather conditions.” Holyhead Marine also built a pilot boat for Belfast Harbour, which was launched in April this year. The vessel replaces PB4, which was the oldest pilot boat in the harbour with 24 years’ service. Elsewhere, Forth Ports, the UK’s third-largest port group, has placed an order with the company for two new pilot boats to join their fleet working on the Rivers Forth and Tay. The new vessels are 16.6 meters long and have an updated hull design and engines offering increased efficiency.

Port of Milford Haven, points out: “We are faced with some of the most challenging weather conditions in the world and with this substantial investment being made it will allow us to continue providing an excellent service now and long into the future.” Ed Soothill, Technical Director, Camarc Design, adds: “This design from our 22m series has been enhanced with our refined hull, waterjet propulsion and a self-righting capability and is due to join the Port’s fleet in 2025.”

BACK TO THE FUTURE

Big name suppliers to the port industry are adopting business models and working alliances to enhance development of product ranges and service packages. It’s a well-used and successful strategy, as AJ Keyes reveals in conjunction with Kalmar and Konecranes

“To improve is to change; to be perfect is to change often,” said Winston Churchill. This is a quote that is certainly applicable to two major port industry suppliers, Kalmar and Konecranes.

These two companies have continued to develop new product ranges and service packages by adopting similar strategies based on:

● Developing and adapting business models – structural company changes to better position themselves for the future.

● Leadership changes – different approaches and focus.

● Working alliances – linking up with other companies in a product development context and/or offering an expanded product range and service package.

Table 1 offers a historical summary of the historic development of these two leading port industry suppliers. A clear approach has been taken by both companies involving long-term and continued geographic expansion and product development, as well as regular merger and acquisition activity.

IF IT AIN’T BROKE….

So, what are these two companies currently doing to support their future aims and objectives? Well, more of the same and as the old saying goes, “if it ain’t broke, don’t fix it.”

The following represents highlights of select new policy initiatives, partnerships and new offerings to the container handling industry from Kalmary:

● In May 2024, Kalmar announced planned changes to its leadership team, which were further advanced in October 2024. The aim is to deliver faster decision-making, supply chain and process optimisation together with clear end-toend responsibilities to bring efficiencies, reduce complexity and enhance competitiveness as well as quality. This will allow Kalmar to invest in sustainable innovations and make better use of growth opportunities as part of gaining €50 million gross efficiency improvements and reaching a 15% comparable operating profit margin target by 2028.

● There is an ongoing joint-venture collaboration with Nokia supporting new solutions for port and terminal operators to further automate operations and improve productivity. Previously, Kalmar incorporated Nokia 4G and 5G private wireless and digital platform into straddle carriers, automated stacking carriers and rubber-tyred gantry cranes.

● Earlier in 2024, Kalmar signed a joint development agreement for autonomous terminal tractor solutions with Forterra (formerly RRAI). Kalmar will be responsible for developing the automation-ready terminal tractor (with the Kalmar One fleet management system), with Forterra responsible for the integration of its AutoDrive platform for autonomous operations for the terminal tractor.

● In Q3 2024, a new partnership was confirmed with CES Srl, an Italian manufacturer of super-sized heavy-duty material handling equipment. The deal encompasses the distribution and servicing of CES reachstacker units, which are over 125 tons, on a global basis. Until this new

■ Both Kalmar and Konecranes are continuing on the familiar path of adapting business models and working partnerships to meet strategic aims and objectives - as the old saying goes, “if it ain’t broke, don’t fix it.”

Kalmar – history dates back to 1940s Finland and Lidhults Mekaniska Verkstad (LMV)

1974 - LMV acquired by the state-owned company Kalmar Verkstad AB,

1976 - first container straddle carrier prototypes introduced

1980 - introduced first electric forklift

1985 - first prototype reachstacker

2000 - acquired Swedish container spreader manufacturer, Bromma

2001 - purchased Dutch ship-to-shore crane and straddle carrier manufacturer Nelcon, plus maintenance company Groot-Hensen

2002 - Finnish lift and escalator company Kone – acquired all shares of Partek.

2005 - restructure of material handling businesses into Cargotec Corporation (of Kalmar, Hiab and MacGregor)

2005 - first fully automated straddle carrier terminal in Brisbane, Australia, (equipped with the Kalmar Auto-Strad™ system) and established manufacturing plant in Shanghai, China.

2011 - acquired the US-based terminal operating systems provider Navis, which remained part of Kalmar until 2021.

2021 - Kalmar launched its fully electric portfolio

2022 - exited heavy cranes business (passed to Rainbow Industries Co. Ltd. (RIC) – shift of focus to current port-folio

2023 - introduced the Electric Straddle Carrier Charge Family, which includes battery technologies, charging solutions, and software to support straddle carrier operators in their transition towards decarbonised operations.

2023 – confirms a new partnership with CES Srl, an Italian manufacturer of super-sized heavy-duty material handling equipment.

2024 - signed a joint development agreement for autonomous terminal tractor solutions with Forterra (formerly RRAI).

2024 - Kalmar listed on Nasdaq Helsinki after demerging from Cargotec

Konecranes – history dates back to 1910 when electrical repair shop, KONE, founded

1933 – starts to build Electric Overhead Traveling Cranes for pulp & paper cargoes

1936 - starts to manufacture Electric Wire Rope Hoists

1962 - first crane Preventive Maintenance Contract is signed

1973 - begins to expand internationally and makes an acquisition in Norway (Wisbech-Refsum)

1983 - established foothold in the U.S. through R&M Materials Handling in Springfield, Ohio

1988 - crane operations are put into the KONE Cranes Division - focus on establishing technical leadership increases

1994 – Konecranes is formed via the listing of KONE Corporation on the Helsinki Stock Exchange (and on Helsinki Stock Exchange in 1996)

2000 - launches a new CXT wire rope hoist for up to 80t lifting capacity range that immediately becomes an industry benchmark worldwide

2002 – enters Chinese and Japanese markets

2004 - reachstackers and lift trucks are added to the product range through the acquisition of SMV Lifttrucks AB of Markaryd, Sweden

2006 - MMH Holdings, Inc acquired and expands its product range

2007 - strengthens its position in the machine tool service (MTS) business by acquiring Kongsberg Automation AS in Norway and Reftele Maskinservice AB in Sweden

2009 - introduces an industry shaping industrial crane, SMARTON®, which can reduce power consumption and energy costs by up to one third

2011 - buys WMI Cranes Ltd. (WMI) to strengthen its position in India & first TRUCONNECT® remote services products launched

2013 - launches Agilon, a materials management solution for managing, storing, picking and replenishing components in manufacturing & presents the world’s first hybrid reachstacker for container handling

2017 - grows significantly by buying Terex’s Material Handling & Port Solutions business

2019 - reinforces its lifting leadership by launching three new products: the S-, M- and C-series

2023 - announces a refreshed purpose, ambition and financial targets

2024 – acquired the business of German crane and service supplier Kocks Kranbau,

2024 - establishing a network of partners to build a full range of port cranes in the US to satisfy domestic manufacturing criteria including “Build America Buy America” (BABA) requirements.

■ Table 1: Key steps for Kalmar and Konecranes down the years

Source: Kalmar / Konecranes

SUSTAINABLE SOLUTION

…..we want to ensure that we have the right operating model in place to support our growth ambitions…..

arrangement, Kalmar’s reachstackers were limited to a 125ton capacity upper limit. As part of the agreement, Kalmar will also provide training and support to its customers on CES products.

KONECRANES INITIATIVES

It is a similar story for Konecranes too, with its range of initiatives with recent highlights including:

● As of January 1, 2025, the company is amending its operating model to support “strategy deployment and growth ambitions” to have three Business Areas: Industrial Service, Industrial Equipment and Port Solutions, instead of the current two, Industrial Service and Equipment, and Port Solutions. This change does not impact any financial reporting, as the three Business Areas currently are separate reporting segments because Konecranes combined Industrial Service and Equipment into one Business Area under the same leadership in 2022. Since then, the company’s industrial business model has been simplified and harmonised.

“For over two years, we have successfully managed the Industrial Service and Equipment Business Area as one unified entity. This has allowed us to effectively simplify our Industrial go-to-market model and harmonise our product offering, and we feel that we have largely reached the benefits we were seeking when combining the businesses. As we expect our business to grow, we want to ensure that we have the right operating model in place to support our growth ambitions especially in Industrial Service,” says Anders Svensson, President and CEO of Konecranes.

● In mid-October 2024 Konecranes acquired Rotterdambased Peinemann Port Services BV and Peinemann Container Handling BV. Peinemann is a significant port services provider in the Netherlands with a wide customer base, and it has long-term maintenance relationships with several of Konecranes’ key customers. The turnover of the businesses being acquired was over €40 million in 2023, with its 100 employees joining Konecranes once the deal is closed in Q4 2024. Peinemann Container Handling BV has been a Konecranes Lift Trucks distributor in the Netherlands since 2009 and been in the sales, rental and service business of lift trucks in the Rotterdam area since 1954. The value of the acquisition is not being disclosed.

“This agreement gives us the chance to further expand our services and equipment offering in the Netherlands and, with the new sales channels the Peinemann businesses will accelerate our plans to transition to batterypowered electric vehicles in a critical market,” stated Andreas Falk, SVP Lift Trucks, Konecranes.

LOCAL INNOVATIONS INTO GLOBAL PRODUCTS

Kalmar was listed on Nasdaq Helsinki on 1 July 2024, following the demerger from Cargotec. The company has a clear mandate combining sustainable material handling around the world, with a strong focus on electrification across its equipment range and increasing lifetime value as well as maximising uptime through a global services network. As the company itself states, “Kalmar’s story has been built on local innovations that have evolved into global products.”

In its interim report, January-September 2024 Konecranes confirmed that “global container throughput continues on a high level, and long-term prospects related to global container handling remain good overall.” The company is predicting a healthy industry position and using its ongoing strategy, which builds on a continued familiar approach, the future is bright, as long as it continues to evolve and maximise partnership opportunities.

■ Local innovations that evolve into global practices have become commonplace for big name suppliers serving the container port industry......and the strategy looks set to continue....

Anders Svensson, President and CEO of Konecranes

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Tel: +44 1353 665001 Fax: +44 1353 666734 sales@samson-mh.com www.samson-mh.com

3690 N Church Avenue Louisville, MS 39339 USA +1 662 773 3421 contact_sales@taylorbigred.com www.taylorbigred.com

igus® GmbH Spicher Str. 1a, 51147 Köln, Germany Tel. +49-2203-9649-0 info@igus.eu igus.eu/P4.1

igus® GmbH Spicher Str. 1a D-51147 Köln, Germany Tel. +49-2203-9649-0 info@igus.eu igus.eu/P4.1

As one of the leading manufacturers of quick connector systems,Stäubli covers connection needs for all types of fluids, gases and electrical power.

Tel: +33 4 50 65 61 97 connectors.sales@staubli.com www.staubli.com/en-de/ connectors/

We oﬀer the full range of customized fender solutions and maintain production facilities for high-quality rubber products, steel panels and foam fenders. Join the safe side. contact@sft.group www.sft.group

Fogmaker develops, manufactures, and markets ﬁre suppression systems for engine compartments with high pressure water mist. Fogmaker is a market leader for automated ﬁre suppression systems with 200,000 installations in more than 50 countries since 1995.

Tel: +46 470 77 22 00 info@fogmaker.com www.fogmaker.com

Beumer Directory Jan 2021.indd

GRABS

MRS Greifer GmbH

Grabs of MRS Greifer are in use all over the world. They are working reliably and extremely solid. All our grabs will be made customized. Besides the production of rope operated mechanical grabs, motor grabs and hydraulic grabs we supply an excellent after sales service.

Talweg 15-17, Helmstadt-Bargen 74921, Germany

Tel: +49 (0)7263 - 91 29 0 Fax: +49 (0)7263 - 91 29 12 info@mrs-greifer.de www.mrs-greifer.de

Orts GMBH Maschinenfabrik

Over 40 years experience constructing and manufacturing a wide range of grabs, including electro-hydraulic grabs (with the necessary crane equipment) radio controlled diesel hydraulic grabs, 4, 2 and single rope grabs all suitable for bulk cargo.

Schwartauer Str. 99 D-23611 Sereetz • Germany

Tel:+49 451 398 850 Fax: +49 451 392 374 soj@orts-gmbh.de www.orts-grabs.de

Conductix-Wampfler

VISYOy

Künz GmbH

Founded in 1932, Künz is now the market leader in intermodal rail-mounted gantry cranes in Europe and North America, offering innovative and efficient solutions for container handling in intermodal operation and automated stacking cranes for port and railyard operations.

Gerbestr. 15, 6971 Hard, Austria T: +43 5574 6883 0 sales@kuenz.com www.kuenz.com

SANY Europe GmbH

offers a broad spectrum of high-performance mobile port machines such as Reach Stacker, Empty Container Handler, Heavy Duty Forklift Trucks and Material Handler

Sany Allee 1 50181 Bedburg, Germany Tel: +49 2272 90531 100 Email: info@sanyeurope.com www.sanyeurope.com

Sany Allee 1 D-50181 Bedburg Tel: +49 2272 90531 100 Email: info@sanyeurope.com www.sanyeurope.com

ID.indd 1 25/01/2022 11:42

VISY takes pride in solving operational problems, specialising in gate automation and access control solutions in ports and terminals. Their solutions streamline processes resulting in saving money and increasing productivity.

Visy systems reduce expenses, optimize safety & security, and increase throughput capacity via process automation. Our singleplatform gate operating system and OCR solutions manage all cargo, assets & personnel movements via quay, rail or road to keep operations moving.

Portchain is the leading provider of berth alignment solutions for container terminals and carriers. Portchain works with leading container carriers and terminal operators to create sustainable win-win solutions to improve operational efficiency for container shipping. Founded in 2017 and based in Copenhagen, Portchain works on a global scale serving container terminals and carriers across Europe, Asia, North America, South America and Africa. Amaliegade 14A, st, 1256 København, Denmark sales@portchain.com www.portchain.com

Taiwan is a major maritime hub on the world’s ocean shipping routes and, because of its strategic location, it has developed into a transshipment hub for East Asian near- and ocean-going ships. In the last few years Asian ports are up against intense rivalry as a result of the economic growth of China and Southeast Asia as well as the expanding trade network in Greater East Asia. No.10, Penglai Rd Gushan Dist. 804004 Taiwan www.twport.com.tw/en/

IDENTEC SOLUTIONS

is an industry-leading, trusted partner in managing and monitoring reefer containers and optimizing entire terminal operations through solutions like Reefer Runner and Terminal Tracker.

Contact: Stephan Piworus, Global VP Sales Marine & Ports, spiworus@identecsolutions.com; Mobile: +49 151 74122606 www.identecsolutions.com

The world specialist in Power and Data Transfer Systems, Mobile Electrification, and Crane Electrification Solutions. We Keep Your Vital Business Moving!

Rheinstrasse 27 + 33

Weil am Rhein 79576 Germany

Tel: +49 (0) 7621 662 0 Fax: +49 (0) 7621 662 144 info.de@conductix.com www.conductix.com

Reefer Monitoring Solutions

Increase efficiency. Reduce costs. Improve safety.

RTE’s 40 years of innovation and experience deliver the most complete system of reefer monitoring solutions for today’s growing terminal operations. Discover what over 80 reefer terminals already have.

Visit us at: rte-usa.com

Or email us at: info@rte-usa.com New York | Panama

The world leading manufacturer of Sideloaders, self-loading semi-trailers for versatile & efficient container handling. www.hammarlift.com info@hammarlift.com

TVH is a global player in the field of spare parts and accessories for heavy forklifts, reach stackers, container handlers, spreaders and terminal tractors. With over 96,000 references in stock and more than 644,000 known references, TVH offers quality replacement parts for many brands and makes, including the hard-to-find ones.

Tel: +44 2476 585 000 sales.team.uk@tvh.com www.tvh.com

ELME Spreader AB

ELME Spreader, world’s leading independent spreader manufacturer supports companies worldwide with container handling solutions that makes work easier and more profitable. Over 21,000 spreaders have been attached to lift trucks, reach stackers, straddle carriers and cranes.

Stalgatan 6 , PO Box 174 SE 343 22, Almhult, Sweden

Tel: +46 47655800

Fax: +46 476 55899 sales@elme.com www.elme.com

The Brain of Logistics

With more than 30 years experience in IT Solutions and Business Operation Consultancy DSP offers a large portfolio of professional services and products to support terminal operations processes and system.

DSP Data and System Planning SA Via Cantonale 38 6928 Manno, Switzerland

Tel: +41 91 230 27 20

Fax: +41 91 230 27 31 info@dspservices.ch www.dspservices.ch

TERMINAL OPERATIONS SYSTEMS

Solvo Europe B.V.

Solvo’s software solutions such as TOS or WMS help container and general cargo terminals take full care of their cargo handling processes and make sure the clients expectations are exceeded.

Prinses Margrietplantsoen 33, 2595AM, The Hague, The Netherlands Tel: +31 (0) 702-051-709 Email: sales@solvosys.com www.sovosys.com

TERMINAL OPERATIONS SYSTEMS

Tideworks Technology provides comprehensive terminal operating system solutions for marine and intermodal terminal operations worldwide. Tideworks works at every step of terminal operations to maximize productivity and customer service. info@tideworks.com +1 206 382 4470 www.tideworks.com

TRACTORS

MAFI Transport-Systeme GmbH

Specialised in the development and production of heavy-duty equipment for transporting containers, semi-trailers, cargo/roll trailers and special container chassis in ports and industry.

Hochhäuser Str 18 97941 Tauberbischofsheim, Germany Tel: +49 9341 8990 sales@mafi.de www.mafi.de

TGI Maritime Software is a Terminal Operating System editor and integrator specialized in the support of Small to Medium Terminals. Its expertise is built on 34 years of experience within the maritime sector. TGI provides comprehensive services to its customers all along their projects. OSCAR TOS and CARROL TOS have already been successfully handled by 40 container and RoRo terminals worldwide.

Tel : +33 (0)3 28 65 81 91 contact@tgims.com www.tgims.com

Brunton Shaw UK is a successful manufacturer of high quality wire ropes for a wide range of applications. The company effectively combines more than 130 years of experience and tradition with an up to the minute range of products, and a customer service package ideal for the modern market place.

Tel: +44 1909 537626 Email: info@brunton-shaw.co.uk

www.brunton-shaw.com

‘‘

It is boom time again in the container shipping business – as evidenced by recent 3rd quarter results –but what is round the corner, more gain or downturn pain?

STRIKES, DIVERSIONS AND MARKET OUTLOOK

The container shipping sector has been through a few volatile years. First, Covid-led disruptions resulted in a massive increase in shipping demand as port delays turned over the supply-demand balance. The result – massive windfall earnings for the lines. This, in turn, led to another round of ordering of the largest class of container ships, as the emphasis on ‘market share’ once again came to dominate.

Before equilibrium could return the Houthi menace in the Red Sea provided a further increase in tonne-mileage demand, with this superimposed on some underlying demand growth. Once again, a spike in freight rates was the result.

Now we are looking at the threat of strikes in the Atlantic US and Montreal. Once again, the threat of disruption to supply chains is being manifested in higher freight rates. At the time of going to press, the position was unclear as to the duration of the disruption but it is certainly the case that (some) shipping lines were looking forward to the potential impact that a prolonged upheaval would have on freight rates – and their bottom lines.

None of this really disguises the underlying position. There are far too many vessels on order, and these are mostly concentrated on the very largest size ranges. In October both CMA CGM and MSC had orderbooks that accounted for around 30-35 per cent of their respective existing fleets. For the fleet as a whole, the figure is currently around 28 per cent. Where will this tonnage be deployed? It is interesting to note that, until recently, both Maersk and Hapag Lloyd – the two members of the new Gemini alliance – have avoided this strategy with a more limited orderbook approach, but in late October this changed with Maersk placing an order in South Korea for six 16,000TEU vessels and similarly in early November Hapag Lloyd placed orders

in China for 12 17,000TEU and 12 9000TEU newbuildings at an estimated cost of US$3.96 billion.

OUTLOOK PROBLEMATIC

Whatever strategy is followed there’s an element of the ‘prisoner’s dilemma’ here. It is certainly the case that over-tonnaging is inevitable and this can only result in a freight rate downturn as new tonnage is delivered. Indeed, any demand dislocation could turn this downturn into a collapse. Major lines are faced with a decision; either increase fleet capacity (and add to the scale of the forthcoming problems) or sit on their hands and see market share erode sharply. A review of liner strategies shows that most lines have opted for the former.

However, no line is insulated from market fundamentals. A shipping downturn will impact both the prudent and the reckless as no line has sufficient capacity to buck underlying trends. The outlook is highly problematic.

What does this mean for ports and terminals?

Recent discussions have once again disinterred – or reanimated – the debate between direct and feeder strategies – see p22. But this is probably beside the point. For container terminals the basic position will be that lines are under pressure and will seek to offload some of this pain onto stevedores. We have seen this before, but their scope for manoeuvre is limited. Lines have invested in terminals, and this may well offer some protection, but it is more likely that as lines haemorrhage cash, they will seek to liquidate some of these investments.

Watch this space, interesting times lie ahead!

■ The fortunes of container shipping are riding high but what next? Market prospects are uncertain – more gain or pain again – and what prospects of success for new operational strategies?

Protect Lives and Equipment

Minimize the risk of downtime and damages with Fogmaker’s fire suppression system!

The Fogmaker fire suppression system is tailormade for each type of material handling equipment.

High-pressure water-based mist chokes fires quickly and cools the area to prevent reignition. Fogmaker’s system is automatic, independent of electricity, and always ready!

Port Strategy Nov/Dec 2024 Non Subscription

VIEWPOINT

Human Factor has to be Acknowledged

Making every move count.. Kalmar.

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