U.S. Ocean Export Market Situation

Issue 11, April 14, 2008

The unprecedented strength in the U.S. export markets over recent months has taken many exporters and ocean carriers alike by surprise. For the first time in decades some export markets are actually shipping more volumes in the export than in the import directions, driven primarily by the decline in value of the Dollar in relation to many foreign currencies.

Ocean carriers’ ship systems, which were designed to cater to the more voluminous import trades, are struggling to cope with burgeoning export volumes. In addition, historical equipment imbalances have become more pronounced (for example, in the U.S. Gulf region) or have flip-flopped from being surplus to deficit areas of equipment supply (for example, many parts of the Mid-West.)

In this challenging export environment, how can DHL Global Forwarding ensure your FCL cargo arrives at destination on time?

The simple answer is accurate forecasting of your equipment and space requirements. DHL Global Forwarding has substantial commitments of both resources from our ocean carriers in all export trades but, like the ocean carriers themselves, our supply is not infinite. The more accurately you can forecast your future FCL shipping requirements, the easier it is for us to allocate space and equipment to cater to your business requirements.

Forecasts need to include such key information as cargo origin, destination, equipment type, weekly shipment volume, desired departure and arrival dates and, ideally, should be for the coming 4-8 week period. With this information in hand, we can then plan your shipments with our ocean carriers and provide you with a detailed shipment schedule.

Please contact your salesperson or your local DHL Global Forwarding office at 1-800 255-6232 to discuss in detail how we can jointly overcome the operational challenges presented by the current export market conditions and help maximize your export sales.

Kind regards,
Simon Munn
Vice President, Ocean Freight Pricing and Carrier Management