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Customer Advisory Bulletin

Operational status

Latest update: 05/19/2020

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Regulatory Updates from Local Authorities

Latest update: 07/08/2020

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Freight Operations

Latest update: 07/08/2020

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Market Information

Latest update: 07/08/2020

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GEODIS AirDirect Service Between Europe – USA

Latest update: 06/17/2020

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GEODIS AirDirect Service Between China – Europe

Latest update: 06/17/2020

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GEODIS AirDirect Europe to Australia / New Zealand

Latest update: 06/05/2020

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GEODIS AirDirect Mexico

Latest update: 06/17/2020

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GEODIS AirDirect Europe-LATAM

Latest update: 06/17/2020

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The GEODIS road network

Latest update: 06/17/2020

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GEODIS Rail Solution China – Europe

Latest update: 06/17/2020

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GEODIS Ocean Solution for Shipments in Transit

Latest update: 06/17/2020

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Latest Customer Advisory Bulletin

Update: 08 July 2020

Dear Valued Customer,

We continue to report operational constraints related to GEODIS services only when they occur. At our locations not mentioned operations are running as usual as far as we know.

The majority of GEODIS offices across China are operating with normally; our GEODIS Wuhan branch has received the local authority’s greenlight to resume to work at the office. The status of our Chinese offices and warehouses can be found HERE.

GEODIS also provides the latest updates on the operations in our network countries where our agent partners are serving on our behalf, please find the information  HERE.

In France, the lifting of the lockdown begins on the 11 of May. This means the resumption of activity for a large number of companies, and for D&E, the gradual return to operational levels aligned as closely as possible to the pace of this recovery.D&E is working to gradually ramp up its resources, in order to allow its express offer to return to normal by June 2. This represents at this deadline, the reinstallation of the essentials:
-              Twice daily delivery
-              Saturday morning delivery
-              top H 
-              LAO (delivery before opening)
-              commitment to express deadlines

D&E restarts on this same date of June 2, the "On Demand" offer and the associated recipient notifications.
The same is true for live animals: restarting of all traffic of live animals from June 2, but with departures only from Monday to Wednesday. The reopening of departures on Thursday will be effective from August 31.
The other temporary adjustments to the D&E commercial offer have been lifted as of Monday the 11 of May: 
-              C.O.D. deliveries
-              Swap deliveries
-              Deposits and collections of goods at our docks for any kind of consignee including private individuals

Concerning individuals, D&E continues to provide delivery to individuals, excluding departments 67, 68 and 90.More than ever, the management of these flows to the individual must be done in strict compliance with the usual B2C support conditions  HERE.
All our deliveries, both private and business, continue to be carried out in compliance with our contactless delivery procedure, in order to guarantee the safety of our employees, our clients and the consignees.
The absolute necessity for our shippers is to verify before sending, that their recipients are able to receive their goods. D&E hope, like its clients, that this economic recovery will be fast, and reaffirm that our mission "to help you succeed by overcoming logistical constraints" is more important to us than ever.

Road Transport in France continues to mobilize its resources to the highest level of efficiency possible to fulfil customer demand. Our aim is to learn how you are preparing for the  progressive restart and to understand  what is important on your markets and in your countries, in the context of even shorter term visibility which will remain a challenge.We are here to share and exchange analysis of the situation, including your short and medium term projections. In this way we hope to provide solutions that will mix capacity and flexibility, and in the same time a guarantee that sanitary rules in force will be strictly respected. For this reason, we have secured a regular delivery of masks and sanitary products to our drivers. We are also working closely with our main transport partners to ensure they can also achieve their missions safely. Contact your local GEODIS office who will be able to rapidly respond to your requirements.

Freight Forwarding activities continue to operate adequately globally. As the GEODIS workforce has transitioned to a remote working environment in most countries around the world, CCL (Cargo Container Lines) Original Bills of Lading, as well as import and export shipments, may not be handled as promptly as expected in most of our European branches. We recommend that you use Express CCL or ask your suppliers at origin to Telex Release the documents through a  local GEODIS office. We remind you that transport documents are available via your Real-Time Information System (IRISaccount through which you can also perform online bookings.

The Contract Logistics Line of Business continues to operate in all GEODIS countries with increased security measures in our warehouses. All employees follow the reccommended preventive measures (frequent handwashing, one-meter distance between co-workers) and our facilities are thoroughly deep cleaned on a daily basis. In addition, activities in healthcare and food warehouses are geared up to ensure efficient delivery in all countries.


In several countries we have started to implement further remote working options for our employees. So far this is not impacting our operational capacity and you can expect to be served as usual.

Regulatory Updates from Local Authorities 
  • Colombia:The Government announced today the following decisions: -The national preventive isolation will be extended until August 1st, 2020.  -The first lane was approved a pilot test for domestic flight between Cucuta and Bucaramanga which fulfill all biosafety protocol requested by IATA, in further days will indicate the starting date. 
     
  • Malaysia: Domestic travel and tourism have been now been allowed as Covid-19 cases in the country has been trending down. However, Malaysia’s border remain generally shut to foreign visitors. Malaysia’s Senior Minister Ismail Sabri Yaakob urged airlines to review and bring down flight ticket prices to levels before the country enforced its movement curbs in March.
     
  • Ungary:  Citizens of the Member States of the European Union, as well as citizens of Serbia, Switzerland, Liechtenstein, Norway, and Iceland, are free to enter the territory of Hungary. At the same time, Hungarian citizens are exempt from the obligation to quarantine when they return home from the Member States of the European Union, Serbia, Switzerland, Liechtenstein, Norway, or Iceland.
    Hungary reinstates the mandatory use of a transit corridor. Similar to the humanitarian corridor introduced at the height of the outbreak, all foreign citizens passing through Hungary will have to use a single route and will not be allowed to leave this. Hungary maintains strict border control. Hungary does not comply with the EU’s request to admit non-EU citizens for the time being, with the exception of Serbia.
    No queues at the moment, max waiting time is 1 hour at the Ukrainian border crossing points.
     
  • Vietnam: Budget carrier T’way Airlines has announced plans to resume its HCMC-Seoul service on July 22, though only carrying passengers one way to South Korea. The South Korean airline will fly twice a week from Tan Son Nhat International Airport in Ho Chi Minh City to Incheon Airport in Seoul. T’way Airlines stopped international flights in March due to travel restrictions, but plans to gradually resume them and focus on repatriating South Korean students abroad. Pessangers are required to undergo medical tests on landing in South Korea.

    You can also find the latest updates on Americas    HERE.
Freight Operations

AIR FREIGHT

  • Air France/ KLM adjusted capacity that consists of:
    ·Scheduled wide-body belly services
    ·Scheduled full freighter services
    ·Chartered wide-body belly & full freighter options
    ·European narrow-body belly services
    For detailed schedules, please click HERE.
     
  • Saudia Cargo has carried out more than 1,500 flights in 100 days — since March this year. The carrier said that 500 of these flights used passenger aircraft that had been temporarily converted into freighters to meet demand, particularly for personal protective equipment (PPE), during the pandemic. In addition, the carrier has increased its flight frequencies to and from key destinations in the Middle East, Europe, Africa, Asia and the US.
     
  • Lufthansa has expanded its belly hold operations by increasing frequency and destinations of its passenger flights. In a statement, time-critical logistics business time: matters told is customers: “All [Lufthansa belly hold destinations] can be utilized for our time-critical transport solutions to/from the following destinations: Bari, Beirut, Belgrade, Dubai, Houston, Menorca, Nairobi, Nanjing Washington DC.”
     
OCEAN FREIGHT
  • Global Port Restrictions: Due to changes implemented by governments over the last few days, there are further port restrictions around the globe. You can find all the updates HERE.
     
  • Maersk announced the increase in Malaysia export freetime on Maersk SPOT as per below details:
    • Scope: Malaysia exports on Maersk SPOT only
    • Trade: all trades live on Maersk SPOT
    • PORs: all Malaysia ports
    • Equipment: all equipment type live on Maersk SPOT
    • Freetime: 11days freetime (combined DMT + DET, vs previous 8 days)
    • Effective: 29-Jun-2020 until further notice
    • If you have any questions, please feel free to reach out to your local sales or customer service representative.
       
  • Maersk made upcoming changes related to all international containers railing to or from the CSX Chicago 59th Street Terminal. CSX will be converting the facility from wheeled to grounded effective August 1, 2020. While this change officially takes place August 1, 2020, there will be a transition period beginning July 18, 2020. For clarity, please see below timeline and related changes at the facility,HERE.
     
  • Maersk announced demand reductions in Far East Asia, Indian Subcontinent and Pakistan. Impacted Trade: Far East Asia to/from Indian Subcontinent and Pakistan; HERE.
GEODIS AirDirect Service Between Europe - USA

GEODIS offers regular flights every week with roundtrip charter flights for cargo between Europe and the United States using the optimal gateways. This new service will connect USA Gateways via Chicago to Europe via Amsterdam, with connecting services throughout countries in the US and Europe. Book now!

Amsterdam to Chicago
Departure scheduled on 6 & 8 June 2020
 
Chicago to Amsterdam
Departure scheduled on 5 & 7 June 2020

 

GEODIS AirDirect Services Between Asia – Europe and AirDirect Mexico
We have established charter solutions to secure the capacity required by our customers for shipments between China & Europe. The next available flights with remaining capacity are:
  • Shanghai to Amsterdam with a scheduled departure on 7 June 2020

Please reach out to your GEODIS contacts for more information. 

The GEODIS road network

The GEODIS road network (GRN) offers scheduled departures for consignments along the Singapore-Kuala Lumpur-Bangkok axis, with multimodal gateway services beyond these hubs.

The scheduled service hubs at Singapore, Kuala Lumpur, Penang and Bangkok.

For more information, please read HERE.

GEODIS Ocean Solution for Shipments in Transit
We realize that extended lockdowns and temporary company closures, in a variety of countries worldwide, are creating challenges to get your goods delivered to their final destinations. Our teams are here to help you with all your individual logistical requirements. While we continue to maintain the safety of our colleagues against infection, we are working very hard to find suitable solutions for your goods in the most cost-effective manner, which include options below:
  • Storing full import / export containers “off-dock” to avoid high demurrage charges on quay, at carriers’ container terminals.
     
  • Finding suitable secure container storage facilities close to the receiver’s premises, where possible, to ensure quick delivery once required.
     
  • Unloading of containers and warehousing of cargo for temporary storage.
     
  • Solutions through vessel operators to delay shipments in transit or to arrange storage at designated locations.
Please engage your contacts at GEODIS to better understand which solutions are the best options for your business, before your shipments arrive.
GEODIS Rail Solution China - Europe
We have also set up additional block train services between China and Europe to support the dispatch of urgent shipments. Details of the rail solutions between China and Europe with schedules and routes are as follow:

Standard Solution:
  • Xi´an to Hamburg or Duisburg, via Małaszewicze with approx. 18-day transit time, terminal to terminal for FCL shipments. Planned departures every Monday.
     
  • Hamburg or Duisburg to Xi’an, via  Małaszewicze with approx. 18-day transit time, terminal to terminal for FCL shipments. Planned departures every Wednesday.
     
  • Chongqing into Duisburg, via Małaszewicze with approx. 18-day transit time, terminal to terminal for LCL shipments. Planned departures every Sunday.
     
  • Chongqing into Małaszewicze, with approx. 14-day transit time for LCL shipments. Planned departures every Friday.
     
  • Duisburg into Chongqing, via  Małaszewicze with approx. 18-day transit time for LCL shipments. Planned departures every Saturday.
     
Express Solution:
  • Xi’an to Hamburg via Mukran with approx. 12-day transit time, terminal to terminal for FCL & LCL shipments. Planned departures every Wednesday.
     
  • Hamburg to Xi’an via Mukran with approx. 12-day transit time, terminal to terminal for FCL & LCL shipments. Planned departures every Monday.
For bookings and more information, please contact your GEODIS representatives.

Market Information:

According to the information published on The Loadstar, June’s 6% month-on-month improvement despite falling demand for PPE is a sign of the sector taking ‘its first steps to a structural recovery’, reports market specialist.
 
Higher air freight volumes in June compared with May are a sign of the air freight sector taking “its first steps to a structural recovery”, according to air cargo market analysis but
Air freight volumes are on the rise – however forwarders remain concerned about capacity and airport congestion.
 
While global volumes are still 25% lower than in 2019, June improved on May, when year-on-year figures showed volumes 31% down on a year earlier. Capacity last month broadly stayed flat, but was beginning to creep up in the last fortnight by some 1.5% a week.
 
Air freight rates have sunk to mid-March levels, while jet fuel prices rose 7% last week, putting more doubt on the viability and demand for cargo-only passenger aircraft services.

 

The TAC index shows air freight rates out of China, to both Europe and the US, sank nearly 10% in the previous week. However the biggest drops were out of Hong Kong, where prices fell 16% to the US, to $4.29, and 15% to Europe ($3.25).

Transatlantic rates remain well above last year’s, but it is as yet unclear whether much passenger capacity will return soon, with Americans currently unable to travel to Europe, amid claims the country has not managed to control the spread of the virus.
On the Ocean side, while container lines have done relatively well financially during the COVID-19 pandemic, cargo owners have faced inflated transport costs and lower service quality, with many shippers reporting cargo roll-overs and carriers prioritising higher-paying spot cargo, according to container shipping consultancy and analyst Drewry.
Freight rates set to soften: Highlighting its expectations on rates for the second half of 2020 (2H20), Drewry concluded: “Drewry expects freight rates to soften in 2H20 as carriers will cautiously reintroduce capacity to meet any demand recovery, but not at the expense of a large collapse in rates to uneconomic levels.”
Ocean freight prices on the transpacific trade have been “exploding” in recent weeks, according to a key global ocean freight forwarding executive, as US importers restock at a time of tight container shipping capacity.
 
Peak season is difficult to predict, according to US retailers, since many did not ship in April or May, including many large retailers, so June is big, month on month. The uncertainty explains the decision of lines to bring capacity back cautiously. “We see an extra loader or two coming in, but they're not re-establishing regular loops because they don’t see it as sustainable,” said von Orelli[" . He forecasts that the transpacific ocean market will probably contract overall by around 15% this year irrespective of the recent bounce-back in demand.
 
Container lines are bringing capacity back far more quickly on the transpacific trade than on the Europe-Asia lane as coronavirus lockdowns are eased, according to the latest industry analysis by Alphaliner. As a result, while vessel capacity on the Asia-Europe trade is still far below pre-coronavirus levels, capacity available to shippers on the Asia to North America lane is now edging close to 2019 levels.  

 

For the latest statistics on Coronavirus situation, please refer to the link HERE.

You can also find the latest of these bulletins on LinkedIntwitter or Facebook. Kindly note that additional access to these bulletins has been added to GEODIS' Intelligent Real-Time Information System (IRISas well.
 
Please rest assured that we will keep you updated of any changes to the current situation. Should you have any concern and/or queries, please feel free to contact your GEODIS Local Representative.

Sincerely Yours,
GEODIS Management Team

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