b'22American Journal of Transportation ajot.comShipping containers plunge overboard as supply race raises risksContainers piled high on giant vessels carryingcontainer incidents.everything from car tires to smartphones are top- At an average of $50,000 per box, the One pling over at an alarming rate, sending millions ofApus was estimated to have lost $90 million in dollars of cargo sinking to the bottom of the oceancargo alone, the highest in recent history, accord-as pressure to speed deliveries raises the risk ofing to Jai Sharma, a partner at maritime law firm safety errors. Clyde & Co. in London. Losses so far this year Theshippingindustryisseeingthebiggesthave totaled an estimated $54.5 million, Bloom-spike in lost containers in seven years. More thanberg data show.3,000boxesdroppedintothesealastyear,andTheissueisalsogainingattentionaslast more than 1,000 have fallen overboard so far inmonths grounding of the 400-meter vessel Ever 2021. The accidents are disrupting supply chainsGiven in the Suez Canal threw a spotlight on the for hundreds of U.S. retailers and manufacturersvulnerability of the shipping industry. The mega such as Amazon and Tesla. ship blocked traffic through the vital waterway forLA ports are slowly chipping There are a host of reasons for the sudden risenearly a week, and the impact on global trade is in accidents. Weather is getting more unpredictable,still being felt. away at their ship backlogSofar,noneoftherecent containeraccidentshasbeenShip congestion outside thePedro Bay.directlyattributedtosafetybusiestU.S.gatewayfortradeExcluding a day in late Janu-lapses.TheInternationalMari- withAsiaeasedoverthepastary when several ships left their time Organization said it is stillweek, with the number of con- anchoragestorideoutastorm awaiting results of investigationstainervesselswaitingtoenteroffshore, thats around the lowest into the latest incidents, and cau- thetwinportsofLos Angeleslevel since mid-December.tioned about making any conclu- and Long Beach staying belowAnother 15 container carri-sions before that. 20 for five straight days. ers are scheduled to arrive over ButmanyexpertssaytheA total of 18 container shipsthe next three days, with 14 of situation has grown more danger- wereanchoredawaitingentrythoseexpectedtodropanchor ous because of pressure on supplyinto L.A.-Long Beach in South- and join the queue.chains since the pandemic. WhenernCalifornia,asofSunday,The average wait for berth shipsapproachheavyweather,compared with 20 a week ear- space was 7.7 days, down from 8 captains have the option to steerlier, according to officials whodays two weeks earlier, accord-awayfromthedanger.ButthemonitormarinetrafficinSaning to the L.A. port.while ships are growing bigger, allowing for contain- attitude is dont go around the storm, go through, ers to be stacked higher than ever before. But greatlysaid Jonathan Ranger, head of marine Asia Pacific exacerbating the situation is a surge in e-commerceat American International Group Inc. (PROJECTcontinued fromdeploy zero-emission vessels and after consumer demand exploded during the pan- Whenyoucombinethatwithpotentiallypage 21) fuels, along with supporting port demic, increasing the urgency for shipping lines topoormaintenanceoftwistlocksandcablingorcryogenicformcanpowerelectrification and infrastructure. deliver products as quickly as possible. required to secure these boxes, then its an acci- fuel cells that are already avail- U.S.flaggedJonesActves-The increased movement of containers meansdent waiting to happen, he said at the industryable and scalable; and ammonia,sels, which operate shorter routes thattheseverylargecontainershipsaremuchconference in Singapore. which is gaining attention as anbetweenregularports,canbe closer to full capacity than in the past, said Cliveeasy-to-storehydrogencarrier.used to demonstrate and mature Reed, founder of Reed Marine Maritime Casualtyt oph eAVy Thesefuelscanbegeneratedthetechnologieswellneedfor Management Consultancy. There is commercialWithboxesstackedeverhigher,ashipcanfrom abundant renewable elec- deep sea ZEVs.pressure on the ships to arrive on time and conse- become more unstable in a stormwave after wavetricity with a negligible climateSecond, the US should work quently make more voyages. can cause the vessel to roll at steep angles, puttingfootprint. Today, were alreadywith key trading partners, includ-After gale-force winds and large waves buf- strain on the securing of containers. The situationseeing fully battery electric anding Canada, Mexico, the EU, and feted the 364-meter One Apus in November, caus- becomes even worse if the stack is top-heavy. Thatfuel cell zero-emission vessels,China, to establish zero-emission ing the loss of more than 1,800 containers, footagecan happen when theres incorrect weightings onespecially ferries and barges onvessel corridors and the associ-showed thousands of steel boxes strewn like Legothe bills of lading for containers, which many in theshort, dedicated routes. ated infrastructure.piecesonboard,sometorntometalshreds. Theindustry say happens too often. Asforocean-goingves- Finally, the US should lead incident was the worst since 2013, when the MOLYou cannot see inside the containers, saidsels We expect full-sized, deepin negotiating ambitious interna-Comfort broke in two and sank with its entire cargoArnaldoB.Romero,acaptainwhosailedfromsea zero-emission vessels run- tional standards for larger ships of 4,293 containers into the Indian Ocean. Japan to South America late last year. So whenning on hydrogen fuel cells orattheInternationalMaritime In January, the Maersk Essen lost about 750the cargo is heavy and the officer in charge of cargoburningrenewableammoniaOrganization [IMO].boxeswhilesailingfromXiamen,China,toLosplanning puts it high up, during the rolling of theto be possible as soon as 2030.Rutherford noted that Infra-Angeles. A month later, 260 containers fell off theship, we may not have control anymore. Hybridorfullyzero-emissionstructureinvestmentsforfast Maersk Eindhoven when it lost power in heavy seas. Overworkedcrewsalsoheightentherisks.regionalcargoshipswillbecharging for battery electric ships The need for speed is creating precarious con- Reducedmanpoweronboardwithanincreasedavailableevensooner.Tech- can also support shore power to ditions that can quickly bring disaster, accordingnumberofcontainersondeckmakeitincreas- nologies like wind-assisted pro- reduce at-port air pollution.to shipping experts. The dangers range from ste- ingly difficult for crews to check every single barpulsion and hull air lubricationKristinDecas,PortDirec-vedores incorrectly locking boxes on top of oneandscreweffectively,saidNeil Wiggins,man- will help reduce energy use andtor,PortofHueneme,testified another to captains not deviating from a storm toaging director of Independent Vessel OperationsmakezerocarbonfuelsmorethatCaliforniaPortssuchas save on fuel and time as they face pressure fromServices Ltd. competitive. the Port of Hueneme have been charterers, they said. One wrong move can put car- Theres also the health and safety of the seafar- Rutherfordwarnedagainstearly adopters of green technol-goes and crew at risk. ers at stake. The toppling of multiple tiers of 40-footthe investment in LNG poweredogysolutions.Californiaports Thechancesformishapsareincreasingascontainers during a raging storm is one of the mostvessels:Biofuelsandlique- are the pioneers of testing, inno-exhaustedseafarersfacedeterioratingconditionsterrifying experiences for a captain and crew. Post- fied natural gas (LNG) are beingvating and taking on the risk of during the pandemic. Allianz Global Corporate &traumatic stress disorder among crew members isused now, but neither is a reliableimplementing new technologies Specialty estimatesthathumanerrorcontributescommon,accordingtoPhilipEastell,founderofbridge to zero-emission vessels. that lower emissions.to at least three-quarters of shipping industry acci- Container Shipping Supporting Seafarers.dents and fatalities. Concern is growing for the industry to addresso ppoRtunity foRu.s. Almost all the recent incidents have occurred inthe situation. b usiness (SYSTEMcontinued from the Pacific Ocean, a region where the busiest trafficTraffic on the seas is different from what itThe prospect of zero emis- page 21)and the worst weather collide. The sea route con- was 10 years ago, said Rajesh Unni, founder ofsion vessels creates an opportu- the maximum safety, efficiency, necting AsiaseconomiestoconsumersinNorthSynergy Marine Group, which provides servicesnity for American business: and resiliency. Chow added, we America was the most lucrative for shipping com- to ship owners. How do we adapt as an industry?Theproductionandsalearemakingourlargestinvest-panies last year. Chinas exports have gone on a tearIts convenient to blame the captain, but we need toof zero emission marine fuels inmentinHawaiisharborsthus as the pandemic fuels demand for all the stuff peoplelook at how the port infrastructure needs to change,particular is a major opportunityfar(in) the construction of the need to work, learn and entertain from home. how ships transit. forUSbusinesses.Today,theKapalama Container Terminal, at The journey has always been rough, but itsThe IMO, which is the United Nations agencylargest vessels visiting US portsover half a billion dollars.becomemoreperilousduetochangingweatherresponsibleforshippingregulations,sayscoun- are often fueled abroad, not hereWhile the feasibility study patterns. The rise in traffic from China to the U.S.tries whose flags the ships are sailing under areathome.Producingzeroemis- isonHonoluluHarbor,what this past winter coincided with the strongest windsresponsible for issuing safety certificates for ves- sion marine fuels like electricity,wedoandlearnthroughthe over the Northern Pacific since 1948, increasingsels, while ports that the vessels call at are respon- hydrogen, and ammonia domesti- study will and can be applied to the likelihood of rougher seas and bigger waves,sible for ensuring rules on loading containers arecally will provide new economicotherHawaiiharbors,Chow saidToddCrawford,chiefmeteorologistatThefollowed. opportunitiesforAmericanstold AJOT.Weather Company. The agency said its sub-committee on the car- while protecting vulnerable near- The system is not new. The With226millioncontainerboxesshippedrying of cargoes routinely looks at container issues,port communities.Beneluxportsof Antwerpand each year, the loss of 1,000 or more can seemand has scheduled its next meeting for September. RutherfordsaidtheU.S.Amsterdamalreadyemploya likewella drop in the ocean. Thats a veryAIGs Ranger says companies should be pre- government should support zerolockanddamsystemandthe smallpercentagelost,saidJacobDamgaard,pared to go around storms and maintain vesselsemissionvessels(ZEVs)byreal question is whether Hono-associatedirectoroflosspreventionatBritan- properly. These vessels are designed to carry thetaking the following actions: luluwillbethefirstofmany nia P&I at a conference in Singapore on April 23.boxes, and to have these losses isdare I say it First,weneedsubstan- U.S. ports to use the strategy to But its almost 60% of the monetary value of allunacceptable. tial investments to develop andstem the rising tide.'