global novel coronavirus update€¦ · global novel coronavirus update may 4, 2020 "this...
TRANSCRIPT
Global Novel Coronavirus UpdateMay 4, 2020"This update contains information we have gathered from various public sources and share with you to the best of our knowledge, but we cannot guarantee it is complete or in all cases accurate. Moreover, the market is changing rapidly currently; statements in this document may quickly be superseded, despite our best efforts. Nothing in this document
can be taken as a contractual undertaking.”
Proprietary and Confidential: This presentation may not be used or disclosed to other than employees or customers, unless expressly authorized by UPS.© 2017 United Parcel Service of America, Inc. UPS, the UPS brandmark, the color brown are trademarks of United Parcel Service of America, Inc. All rights reserved.
UPS Global Freight Forwarding
2
Our highest priority is to protect the health and safety of our employees, customers, and suppliers. UPS® is confident it can do so while maintaining global operations, except where constrained by government restrictions or other circumstances beyond its control. The Novel Coronavirus pandemic has created unprecedented complexities, which have required us to constantly reassess our operations and take mitigating actions to minimize disruption to our customers.
Stay informed
Promote supply chain continuity
• Register to receive important communications from UPS
• Find the latest information on Air Freight Capacity Surcharges
• Track shipment status through UPS Flex Global View®
• See how UPS Supply Chain Solutions is responding the coronavirus
• International Air Transport Association (IATA) – iata.org
• World Health Organization (WHO) – who.int
• UPS has an integrated global network of supply chain solutions
• Air freight
• Ocean freight
• Preferred LCL
• Small package
• Warehousing & fulfillment
May 4, 2020Proprietary and Confidential: This presentation may not be used or disclosed to other than employees or customers, unless expressly by UPS.
© 2020 United Parcel service of America, Inc. UPS, the UPS brandmark, the color brown are trademarks of United Parcel Service of America, Inc. All rights reserved.
Proprietary and Confidential: This presentation may not be used or disclosed to other than employees or customers, unless expressly authorized by UPS.© 2017 United Parcel Service of America, Inc. UPS, the UPS brandmark, the color brown are trademarks of United Parcel Service of America, Inc. All rights reserved.
Air Freight: Global air cargo capacity has decreased by 29% versus last year. It remains same as compared to last week.
Total air cargo capacity growth, 22nd -28th Apr 2020 vs. same week last yearYoY growth, %
-53
-58
-18-82
-20
-88-17
-54
-36
-32
-4
-6
-65
-60
Source: Seabury
-17
-16
-27
-30
-18
Global capacity decline: -29%
The Transpacific air cargo capacity is 4% to 6% lower than last year
The Transatlantic cargo capacity is over 50% lower than last year
May 4, 2020
-25
-25
Note: Thickness of arrows is representative of capacity in metric tonnes, direct flights only.
3Proprietary and Confidential: This presentation may not be used or disclosed to other than employees or customers, unless expressly by UPS. © 2020 United Parcel service of America, Inc. UPS, the UPS brandmark, the color brown are trademarks of United Parcel Service of America, Inc. All rights reserved.
Proprietary and Confidential: This presentation may not be used or disclosed to other than employees or customers, unless expressly authorized by UPS.© 2017 United Parcel Service of America, Inc. UPS, the UPS brandmark, the color brown are trademarks of United Parcel Service of America, Inc. All rights reserved.
4
Ocean Freight: Global Ports Status
May 4, 2020 Proprietary and Confidential: This presentation may not be used or disclosed to other than employees or customers, unless expressly by UPS. © 2020 United Parcel service of America, Inc. UPS, the UPS brandmark, the color brown are trademarks of United Parcel Service of America, Inc. All rights reserved.
Proprietary and Confidential: This presentation may not be used or disclosed to other than employees or customers, unless expressly authorized by UPS.© 2017 United Parcel Service of America, Inc. UPS, the UPS brandmark, the color brown are trademarks of United Parcel Service of America, Inc. All rights reserved.
UPS Dedicated Rail Groupage: Fast, Reliable & Cost- Effective UPS Rail Preferred® LCL - China to Europe (Inbound)
Offering Door to Door Rates • Fixed departure date (every Wednesday)• Fixed time in transit – Approx. 18 days*
• CFS Warsaw - Tuesday / CFS Frankfurt – Wednesday• Door to door service• Simplified per-kilo pricing• Optional Customs Brokerage• End-to-end shipment visibility (FGV)
Origin1Destination2
Poland Germany/Czech Hungary
Tianjin $ 2.03 $ 2.75 $ 3.10
Shenzhen $ 2.01 $ 2.76 $ 3.11
Dongguan $ 2.01 $ 2.76 $ 3.11
Zhuhai $ 2.01 $ 2.76 $ 3.11
Foshan $ 2.01 $ 2.76 $ 3.11
Shanghai $ 2.03 $ 2.79 $ 3.14
Ningbo $ 2.03 $ 2.79 $ 3.14
Hangzhou $ 2.03 $ 2.79 $ 3.141Origin Brokerage: $85; (include 3 HS codes, $21 per every additional HS codes, maximum 50 HS codes/lines per entry ) 2Destination Brokerage: $50; per entry including 2 HS Codes, each extra code $6
3Per kg rate based on 6 cbm / 1000kg
Price includes: Origin Handling, Waybill, SOLAS, Origin and/or Destination CFS handling, Delivery Order, Rail Freight and Surcharges
Price excludes: Original Bill Of Lading, Courier Fees, Transport Insurance, Storage and other warehouse fees (5 calendar days free storage at UPS CFS)
*Transit times is for illustrative purposes only. They are not guaranteed and will vary by
individual customer, origin/destination pairing and shipment characteristics.**Depending on origin
Book your shipment NOW
Booking Cutoff Date Rail Departure Date Estimated Delivery Date
Warsaw Frankfurt
Latest Schedule Departure
**May 6th May 13th June 2nd June 3rd
Departure Schedule for May, 2020
May 11th May 20th June 9th June 10th
May 18th May 27th June 16th June 17th
5
Proprietary and Confidential: This presentation may not be used or disclosed to other than employees or customers, unless expressly authorized by UPS.© 2017 United Parcel Service of America, Inc. UPS, the UPS brandmark, the color brown are trademarks of United Parcel Service of America, Inc. All rights reserved.
Proprietary and Confidential: This presentation may not be used or disclosed to other than employees or customers, unless expressly by UPS. © 2020 United Parcel service of America, Inc. UPS, the UPS brandmark, the color brown are trademarks of United Parcel Service of America, Inc. All rights reserved.
Europe - Coronavirus Updates, May 4th
Countries Current Situation Lockdown
Status
France
UK
Turkey
Switzerland
Portugal
Russia
• Romania: Will not extend a state of emergency past May 15th
• Will impose a "state of alert" allowing some relaxation
• Bulgaria: Open-air markets re-opened
HIGH
Belgium
Italy
Spain
Poland
Germany
Netherlands
Finland
Slovakia
• Belgium: Lockdown eased; B2B businesses to re-open
• Italy: Bookshops, laundries, stationers, children’s clothes stores
reopened in some regions; forestry workers and IT manufacturers
back at work.
• Germany: Gyms, restaurants, bars and large stores remain closed.
Masks are ‘urgently’ recommended
• Albania: Mining and oil industries reopen on 20 April plus some other
businesses
MEDIUM
Sweden
Belarus
Austria
Czech
Norway
Denmark
• Denmark:
• Daycare and primary schools reopened
• Restaurants and cafes closed
• Gatherings of more than 10 people banned until May 10th
• Czech:
• Five-stage plan to lift lockdown to get over by June 8th
• Czechs may now also travel abroad providing they undergo two-
week quarantine on return
• Norway:
• Reopened nurseries
• Partial reopening of high schools and universities, hair, massage
and beauty salons
LOW
May 4, 2020
No information available
This update contains information we have gathered from various public sources and share with you to the best of our knowledge, but we cannot guarantee it is complete or in all cases accurate. Moreover, the market is changing rapidly currently; statements in this document may quickly be superseded, despite our best efforts. Nothing in this document can be taken as a contractual undertaking.”
6
Proprietary and Confidential: This presentation may not be used or disclosed to other than employees or customers, unless expressly authorized by UPS.© 2017 United Parcel Service of America, Inc. UPS, the UPS brandmark, the color brown are trademarks of United Parcel Service of America, Inc. All rights reserved.
Europe Update for May 4th
Air Freight Updates
Socioeconomic Updates• EU approves €7 billion state support for Air France
• Germany: Starts to reopen
• Museums and hairdressers to reopen under strict
conditions, churches & more car factories resumes work
• Italy: Lockdown easing
• People back to work• Visit to family members and people in the same region
allowed • Parks are open, sport activities far from home allowed
• Air Freight: UPS operations working normal. Adjusting the
routing of the freight, in order to have commercial uplift done
effectively
• Ocean Freight: UPS operations working normal. Ports fully
functional. Currently no backlogs
• Emirates:• Added PAX freighter from Europe to SIN-SYD, BNE, GRU• Re-instated flights from Europe to CHC, AKL• Increased frequency from Europe to BAH/BOM/EBL/JNB
/LHR• Virgin Atlantic Airways: Added Cargo freighters from UK &
IE to TLV• Lufthansa:
• Further cancellation of flight from FRA to TAS-HKG• Freighter added from Germany to BOM-HKG, ADB• Re-routing flights from FRA to MAA-HKG, BKK-SGN
• AirBridge Cargo: • Added flights from AMS to ORD, KIA-TPE• Additional freighters added from Europe to KGF-HKG
• Portugal: All flights from and to Spain and Italy are suspended
• Poland: Ports are operating normally with no delays
• The reloading operations have no substantial disruption
• Portugal: Ports/terminals not closed or restricted• Load/discharge with no delays or minor delays
• Spain: Ports continue to operate , loading and discharge of
goods are on-going
• UK: Space constrains for APAC. Blank sailing to US/Canada
• Poland: Road traffic not so busy. Currently no delays and on
schedule.
• Portugal: Road & railroad suspended on borders with few
exemptions
UPS Operations**
Ocean Freight Updates
May 4, 2020
Inland Transportation
This update contains information we have gathered from various public sources and share with you to the best of our knowledge, but we cannot guarantee it is complete or in all cases accurate. Moreover, the market is changing rapidly currently; statements in this document may quickly be superseded, despite our best efforts. Nothing in this document can be taken as a contractual undertaking.”
7Proprietary and Confidential: This presentation may not be used or disclosed to other than employees or customers, unless expressly by UPS.
© 2020 United Parcel service of America, Inc. UPS, the UPS brandmark, the color brown are trademarks of United Parcel Service of America, Inc. All rights reserved.
Proprietary and Confidential: This presentation may not be used or disclosed to other than employees or customers, unless expressly authorized by UPS.© 2017 United Parcel Service of America, Inc. UPS, the UPS brandmark, the color brown are trademarks of United Parcel Service of America, Inc. All rights reserved.
Proprietary and Confidential: This presentation may not be used or disclosed to other than employees or customers, unless expressly by UPS. © 2020 United Parcel service of America, Inc. UPS, the UPS brandmark, the color brown are trademarks of United Parcel Service of America, Inc. All rights reserved.
ISMEA - Coronavirus Updates, May 4th
No information available
May 4, 2020
Countries Current Situation Lockdown
Status
India
Bangladesh
Sri Lanka
Pakistan
Saudi Arabia
UAE
Iraq
Afghanistan
Kuwait
Sul of Oman
South Africa
Nigeria
Algeria
Uganda
• Nigeria: Lockdown extended till further notice
• Lockdown in Lagos relaxed, but curfew in place
from 8:00pm to 6:00am daily from the May 4th
• Saudi Arabia: No curfew from 9:00am to 5:00 pm
daily until May 13th .
• Medina & Mecca under 24 hrs curfew• 24hr hour curfew enforced in Riyadh, Dammam,
Dhahran, Khobar, Jeddah, Tabuk, Hofuf, Qatif & Taif.
• All entries to & exit from these cities are banned• Bangladesh: Lockdown extended until May 16th
• Jordon: Curfew from 18:00 to 08:00 is in force until
further notice
• Morocco: Lockdown extended until May 20th
• Namibia: Lockdown extended until May 4th
• Pakistan: Lockdown extended until May 9th
• Uganda: Lockdown extended until the May 5th
HIGH
Egypt
Bahrain
Libya
• Egypt: The Presidency of the Council of Ministers
suffice operation during the curfew period
MEDIU
M
Qatar
Ghana
• PAX flights stopped in/out of Qatar
• Ghana: Lockdown has been lifted LOW
This update contains information we have gathered from various public sources and share with you to the best of our knowledge, but we cannot guarantee it is complete or in all cases accurate. Moreover, the market is changing rapidly currently; statements in this document may quickly be superseded, despite our best efforts. Nothing in this document can be taken as a contractual undertaking.”
8
Proprietary and Confidential: This presentation may not be used or disclosed to other than employees or customers, unless expressly authorized by UPS.© 2017 United Parcel Service of America, Inc. UPS, the UPS brandmark, the color brown are trademarks of United Parcel Service of America, Inc. All rights reserved.
ISMEA Update for May 4th
Ocean Freight Updates
Socioeconomic Updates
• India: Lockdown further extended until May 17th
• Districts classified into Red, Orange, Green & containment zones
• No movement is allowed in containment zone; restricted movement in red zone & relaxations in green and orange zones
• South Africa: Level 4 lockdown in effect from May 1st
• Curfew in place between 8:00pm to 6:00am • Tunisia: Further lockdown extension until 24th May
• Air freight :
• UPS working but some delays expected due to local
condition
• Ocean Freight: Running unconstrained
• Local transportation causing delays due to restrictions
• Emirates Skycargo: • Full freighters & PAX freighters available for BOM/AMD/
HYD/MAA/BLR/DEL• Freighters available for EBB(Uganda), DXB(UAE)• PAX freighters for RUH/DMM/JED(Saudi Arabia)
• Turkish Airlines: Freighter for TN/TUN(Tunisia)• Cargolux: Freighter for KWI(Kuwait)
• Morocco: Ports are operating normally with specific prevention measures
• Kenya: Bagging of bulk cargoes at the quayside no longer permitted at the port of Mombasa.
• India: • Shortage of space at storage yards at most of the Ports • Delay in turnaround of vessels.
• Pakistan: Operations at Port Qasim, Karachi and Gwadar are running smoothly without interruption
UPS Operations**
Air Freight Updates
• Final delivery delays of Air / Ocean may happen due to border constraints
• India: Inter-city transportation a challenge but resuming in BOM, DEL & BLR
• Nigeria: Movements within the states easing. Deliveries to Rivers, MinnaStates delayed
May 4, 2020
Inland transportation
This update contains information we have gathered from various public sources and share with you to the best of our knowledge, but we cannot guarantee it is complete or in all cases accurate. Moreover, the market is changing rapidly currently; statements in this document may quickly be superseded, despite our best efforts. Nothing in this document can be taken as a contractual undertaking.”
9Proprietary and Confidential: This presentation may not be used or disclosed to other than employees or customers, unless expressly by UPS.
© 2020 United Parcel service of America, Inc. UPS, the UPS brandmark, the color brown are trademarks of United Parcel Service of America, Inc. All rights reserved.
Proprietary and Confidential: This presentation may not be used or disclosed to other than employees or customers, unless expressly authorized by UPS.© 2017 United Parcel Service of America, Inc. UPS, the UPS brandmark, the color brown are trademarks of United Parcel Service of America, Inc. All rights reserved.
Proprietary and Confidential: This presentation may not be used or disclosed to other than employees or customers, unless expressly by UPS. © 2020 United Parcel service of America, Inc. UPS, the UPS brandmark, the color brown are trademarks of United Parcel Service of America, Inc. All rights reserved.
APAC - Coronavirus Updates, May 4th
Countries Current Situation Lockdown
Status
Malaysia
Philippines
Cambodia
Bhutan
• Malaysia: Movement Control Order (MCO)
extended until April 28th
• Cambodia & Bhutan: countries under full
lockdown
HIGH
Japan
Thailand
Singapore
Indonesia
Myanmar
Vietnam
• Japan: State of Emergency until May 6th
• Thailand, Philippines & Myanmar: Stay-At-
Home order
• Singapore: Country under circuit breaker from
April 7th to May 4th
• Indonesia: Only essential services working in
some parts of the country
MEDIUM
Australia
China
Hong Kong
South Korea
Taiwan
Vietnam
• Open for business with social distancing and
other restrictionsLOW
May 4, 2020
This update contains information we have gathered from various public sources and share with you to the best of our knowledge, but we cannot guarantee it is complete or in all cases accurate. Moreover, the market is changing rapidly currently; statements in this document may quickly be superseded, despite our best efforts. Nothing in this document can be taken as a contractual undertaking.”
10
Proprietary and Confidential: This presentation may not be used or disclosed to other than employees or customers, unless expressly authorized by UPS.© 2017 United Parcel Service of America, Inc. UPS, the UPS brandmark, the color brown are trademarks of United Parcel Service of America, Inc. All rights reserved.
APAC Update for May 4th
11
Socioeconomic Updates UPS Operations**
• Malaysia: 9 out of 13 states are not adopting or fully complying with the Federal Government’s move to ease conditions and let businesses resume with set guidelines under the conditional movement control order (MCO) that was announced by the PM on May 1st.
• Air Freight: Charters available for next week (limited)
• Ocean Freight: Available capacity
• Rail/Ground: Export shipments available, but limited for
some countries
• Most of the freighter flights maintained• No carrier blank sailing announcement on today.
• No space issue is reported
• Final delivery delays due to border & capacity constraints
May 4, 2020
Air Freight Updates Ocean Freight Updates
Inland transportation
• China: Outbound trains to/from Europe have resumed as per
normal operations, however subject to space availability
Rail Updates
This update contains information we have gathered from various public sources and share with you to the best of our knowledge, but we cannot guarantee it is complete or in all cases accurate. Moreover, the market is changing rapidly currently; statements in this document may quickly be superseded, despite our best efforts. Nothing in this document can be taken as a contractual undertaking.”
Proprietary and Confidential: This presentation may not be used or disclosed to other than employees or customers, unless expressly by UPS. © 2020 United Parcel service of America, Inc. UPS, the UPS brandmark, the color brown are trademarks of United Parcel Service of America, Inc. All rights reserved.
Proprietary and Confidential: This presentation may not be used or disclosed to other than employees or customers, unless expressly authorized by UPS.© 2017 United Parcel Service of America, Inc. UPS, the UPS brandmark, the color brown are trademarks of United Parcel Service of America, Inc. All rights reserved.
United States Update for May 4th
12
Socioeconomic Updates UPS Operations**
• Exports Collapse as Coronavirus Freezes International Trade
• Coronavirus muddies U.S. economic data as business closures
push down response rates
• New York's first phase of reopening could begin after May 15th
in some areas
• Pennsylvania will reopen in three phases starting May 8th
• Air Freight:
• JFK: Recovery times continue to improve after some
delays due to staffing
• Additional charter flights being handled by carriers ground
handlers
• Ocean Freight: Fully operational
• Rail/Ground: Fully operational
• We are starting to see US gateway backlogs into SYD, JHB,
SIN, India
• Air Bridge: Operations in Dallas and Los Angeles suspended
until further notice
• Air Canada: Suspending the majority of international and
U.S. trans- border flights
• Blank sailings continue with the SSLs.
• World container index – PVG to LA = down / PVG to NY =
down / PVG to RTM = stable
• LA/LB; HOU/ MEM ports are severely constrained
• DFW/ ORD/ DTW/ CVG/ MIA ports are somewhat constrained
• Road transportation intact in the US
• New Jersey introduced some road restrictions impacting
trucking
Air Freight Updates Ocean Freight Updates
Inland transportation
May 4, 2020
This update contains information we have gathered from various public sources and share with you to the best of our knowledge, but we cannot guarantee it is complete or in all cases accurate. Moreover, the market is changing rapidly currently; statements in this document may quickly be superseded, despite our best efforts. Nothing in this document can be taken as a contractual undertaking.”
Proprietary and Confidential: This presentation may not be used or disclosed to other than employees or customers, unless expressly by UPS. © 2020 United Parcel service of America, Inc. UPS, the UPS brandmark, the color brown are trademarks of United Parcel Service of America, Inc. All rights reserved.
Proprietary and Confidential: This presentation may not be used or disclosed to other than employees or customers, unless expressly authorized by UPS.© 2017 United Parcel Service of America, Inc. UPS, the UPS brandmark, the color brown are trademarks of United Parcel Service of America, Inc. All rights reserved.
Canada Update for May 4th
13
Socioeconomic Updates UPS Operations**
• Canada will require all air travelers to wear face masks
• USMCA will now go into effect on July 1st
• ON government extended lockdown to May 12th
• Air Freight: Reduced flights
• Ocean Freight: Port restrictions
• Rail/Ground: Customs operation impacted
Air Canada:
• Cargo-Only flight routing available between key cities
in our global network, with convenient trucking to
and from points in the US like ORD, JFK, SFO, LAX
and SEA. Flights can accommodate general and
specialized freight.
• Ports are operational. Cargo transportation is still
allowed
• Slow in/out processing and delays in customs clearance
• Daily pickups and deliveries except where restrained by
government
Air Freight Updates Ocean Freight Updates
Inland transportation
May 4, 2020
This update contains information we have gathered from various public sources and share with you to the best of our knowledge, but we cannot guarantee it is complete or in all cases accurate. Moreover, the market is changing rapidly currently; statements in this document may quickly be superseded, despite our best efforts. Nothing in this document can be taken as a contractual undertaking.”
Proprietary and Confidential: This presentation may not be used or disclosed to other than employees or customers, unless expressly by UPS. © 2020 United Parcel service of America, Inc. UPS, the UPS brandmark, the color brown are trademarks of United Parcel Service of America, Inc. All rights reserved.
Proprietary and Confidential: This presentation may not be used or disclosed to other than employees or customers, unless expressly authorized by UPS.© 2017 United Parcel Service of America, Inc. UPS, the UPS brandmark, the color brown are trademarks of United Parcel Service of America, Inc. All rights reserved.
LATAM Update for May 4th
14
Socioeconomic Updates UPS Operations**
• Countries close schools (17 cities: AR, BO, BR, CL, CR,
DO, EC, GT, HN, MX, NI, PA, PE, PR, PY, SV, VE) and
borders for foreign (12 cities: AR, BR, CL, CR, EC, GT,
HN, PA, PE, PY, UY, VE)
• Government reduced working hours for non-essential
business (12 cities: BO, CL, CR, DO, EC, GT, HN, PA, PE,
PR, PY, VE)
• Air Freight: Reduced flights
• Ocean Freight: Port Restrictions
• Rail/Ground: Customs operation impacted
LATAM Common Carriage flights were reduced or
forbidden to/from US, Europe & Asia (19 countries: AR,
BO, BR, CL, CO, CR, DO, EC, GT, HN, NI, PA, PE, PR, PY,
SR, SV, UY, VE)
• Ocean Port Restrictions (3 countries: DO, HN, PR)
DO: Operations had been restricted up to 6pm
HN: Limited service to Puerto Cortez Port
PR: No passenger vessel allowed
• Customs operation impacted (9 Countries: AR, CR, DO,
EC, GT, PA, PE, SR, VE)
Air Freight Updates Ocean Freight Updates
Inland transportation
May 4, 2020
This update contains information we have gathered from various public sources and share with you to the best of our knowledge, but we cannot guarantee it is complete or in all cases accurate. Moreover, the market is changing rapidly currently; statements in this document may quickly be superseded, despite our best efforts. Nothing in this document can be taken as a contractual undertaking.”
Proprietary and Confidential: This presentation may not be used or disclosed to other than employees or customers, unless expressly by UPS. © 2020 United Parcel service of America, Inc. UPS, the UPS brandmark, the color brown are trademarks of United Parcel Service of America, Inc. All rights reserved.
Thank You
Proprietary and Confidential: This presentation may not be used or disclosed to other than employees or customers, unless expressly authorized by UPS.© 2017 United Parcel Service of America, Inc. UPS, the UPS brandmark, the color brown are trademarks of United Parcel Service of America, Inc. All rights reserved.
Sources
• Official sources (WHO, Governments, etc.),** UPS Internal Sources Seabury
• Carriers • Sky cargo
• Emirates
• Lufthansa
• News Media Brussels times
New York Times
BBC News
Times of India
May 4, 2020 16Proprietary and Confidential: This presentation may not be used or disclosed to other than employees or customers, unless expressly by UPS.
© 2020 United Parcel service of America, Inc. UPS, the UPS brandmark, the color brown are trademarks of United Parcel Service of America, Inc. All rights reserved.