Month in Review – March 2025

Maritime

March 4: U.S. Chinese Ship Penalties Would Hit Transatlantic Trade Hardest: Soren Toft – The Loadstar

The transatlantic container trade could be the most severely impacted if the U.S. goes ahead with the proposed imposition of fees on Chinese-built ships, said MSC CEO Soren Toft.

The impact of the plan, possibly amounting to $1 million per call at each U.S. port by each ship built in China, irrespective of the nationality of the operator, would be “significant,” said Toft.

“Take the Asia-U.S. east coast services – most of the vessels that operate this route are in the 8,000-TEU to 15,000-TEU range and typically call at four U.S. ports. In that instance, the cost is an extra $4 million per service, equating to around $800 per 40ft.

“The rates on that route are currently around $3,500 per 40ft, so you are looking at a 25% increase.”

March 4: Hong Kong Firm to Sell Stake in Panama Ports amid Trump Pressure – The Guardian

CK Hutchison Holdings, the Hong Kong-based logistics giant, announced plans to sell a majority stake in a business that controls ports in Panama to investors including the U.S. financial giant BlackRock in a deal worth almost $23 billion.

The sale of a 90% interest in Panama Ports Company, which holds the contract to run the ports of Balboa and Cristóbal until 2047, is part of a wider deal for Hutchison Port’s global business. The deal comes at a time Donald Trump has piled on pressure to end what he sees as China’s influence and control over the Panama canal.

The deal – one month after U.S. secretary of state Marco Rubio’s visit to Panama City – represents a swift and significant victory for the U.S. president’s aggressive negotiations towards Panama.

March 7: Severe Weather Causes 115 Containers to Fall into the Sea, Ship Now Headed to Port of Vancouver – Safety4Sea

The containership SM Portland, operated by SM Line, lost 115 containers due to severe weather while sailing through the Bering Sea on March 4.

Strong winds caused the 4,228-TEU vessel to roll heavily, leading to the loss, collapse, and damage of its cargo. The ship is now scheduled to arrive in Vancouver on March 10, where it will undergo inspection before offloading its cargo.

SM Line has advised affected customers to verify their transport documents to confirm if their goods were impacted.

March 11: Houthis Issue New Maritime Threat as Gaza Aid Deadline Passes – gCaptain

Yemen’s Houthi forces have declared an immediate ban on Israeli ships in the Red Sea, Arabian Sea, Bab al-Mandab Strait and Gulf of Aden, threatening to attack any vessels that violate the blockade.

This announcement follows an escalating situation where the group issued an ultimatum on March 7 demanding Israel lift its Gaza aid blockade, with a deadline set for March 11 at 20:00 Sana’a time.

The Houthi-aligned Humanitarian Operations Coordination Center had temporarily halted operations against merchant vessels when the ceasefire’s first phase began on January 19th. As ceasefire talks continue, Gaza’s humanitarian situation has worsened, with Israel blocking aid deliveries and cutting power supplies to pressure Hamas.

It remains unclear whether the Houthis’ renewal of the blockade will include ships beyond those with Israeli ties, particularly given their history of seemingly indiscriminate and misinformed targeting.

This renewed threat will likely reduce the chances of shipping services returning to the traditional Suez Canal route.

March 12: In Uncertain Era for Shippers, Analysts Suggest Avoiding Long Contracts – The Maritime Executive

Shippers are adjusting to an unpredictable mix of geopolitical disruption, economic uncertainty and sweeping tariff changes, and some of the most prominent container freight experts are advising their clients to avoid locking in long-term contracts until the dust settles.

In a webinar held by Container XChange, a panel of executives and analysts discussed the changing dynamics of ocean freight. The market is now driven in part by an array of political circumstances, particularly the on-and-off shutdown of the Red Sea, and the White House’s changing tariff announcements.

“Uncertainty is toxic for trade, and businesses today are overwhelmed by shifting regulations, unpredictable tariffs, and constantly changing trade dynamics. The best advice? Stay calm, keep your options open, and avoid locking into long-term commitments without a clear upside,” recommended Xeneta’s Peter Sand. “Businesses should focus on data-driven decision-making, risk management, and adaptable logistics strategies to navigate an increasingly volatile market.”

March 14: China Not on Board with Panama Ports Sale – Morning Brew

Beijing isn’t a fan of the plan for a BlackRock-led investor consortium to buy two Panama Canal ports from the Hong Kong conglomerate CK Hutchison, and China let the world know it last week through a spicy op-ed that appeared in state-owned newspaper Ta Kung Pao.

The $23 billion deal announced for the two Panama ports to become U.S. investor-controlled assets – alongside 43 other ports in 23 countries – was praised by President Trump, who has accused China of controlling the Panama Canal.

The op-ed’s scathing takedown of the acquisition, reposted by a government agency, leaves little doubt about how China feels. It urges CK Hutchison to “think twice” and warns that the U.S. is planning to use the deal to curb China’s trade, and it cites commentators accusing the company of “spineless groveling” and “selling out all Chinese people.”

March 19: Opposition Gathering Force to Trump-Proposed Steep Fees on Chinese-Built Ships – Maritime Magazine

BIMCO, the world’s largest shipping organization, and the American Association of Port Authorities (AAPA) have added their voices to the rising chorus of maritime stakeholders strongly opposing the Trump administration’s proposed fees on Chinese-built vessels that could attain an additional $3.5 million per port call if fully implemented.

Stakeholders were invited in February by the United States Trade Representative (USTR) to offer feedback on measures targeting Chinese dominance in time for a public hearing scheduled for March 24. An implementation date was not specified.

“The proposed actions will impose much increased transport costs on U.S. imports and exports and have negative effects on the wider U.S. economy; their impact on Chinese dominance is much less certain,” said BIMCO deputy secretary general Lars Robert Pedersen in a statement. “The ships already built of Chinese origin will not disappear from the world fleet if the proposed port fees are introduced.”

March 19: Port of Montreal Negotiation Update: MEA, Longshoremen’s Union – MEA website

Since November 25, the MEA and the Longshoremen’s Union have been engaged in a 90-day mediation process, which was supposed to end on February 14. At the mediator’s suggestion, both parties agreed to extend the process until March 14. The parties and the mediator continued discussions in an effort to find common ground, with the goal of reaching a negotiated collective agreement.

The special mediator informed the parties on March 19 that he no longer saw any potential agreement between the two parties and ended the mediation process.

The end of mediation triggers the process of arbitration, to which both parties must submit.

March 21: Trans-Pacific Container Rates Below Lowest 2024 Levels: Freightos – American Shipper

Recent data from analyst Freightos indicates a consistent decline in rates for containers originating from Asia, reaching values below the lowest points of 2024.

This downward trend can be attributed to several factors, including the diminished demand following the Lunar New Year, restructuring within new carrier alliances and increased capacity.

Trans-Pacific rates have followed a downward trajectory, with prices on westbound routes to the United States standing at approximately $2,400 per FEU. Eastern routes are slightly higher, at $3,500, yet both reflect a notable decrease, 18% below 2024 figures.

March 25: Letter From More Than 300 Industry Associations to USTR Slams Proposed Fees on Chinese Ships – Logistics Management

A letter sent this week to Jamieson Greer, Ambassador for the Office of the United States Trade Representative (USTR) by more than 300 industry associations, representing various sectors, including transportation and logistics providers, manufacturers, importers, exporters and retailers, among others, called on the USTR to not move forward with its proposals regarding the Section 301 investigation focused on China’s targeting of the maritime, logistics and shipbuilding sectors for dominance.

The organizations explained that, while they do support scrutiny of China’s efforts to dominate the maritime industry, “USTR’s proposed actions will not deter China’s broader maritime ambitions and will instead directly hurt American businesses and consumers.”

In terms of the impact, they pointed to how the USTR’s proposed fees would increase shipping costs, both containerized and non-containerized, by at least 25%, while adding around $30 billion in annual costs on U.S. businesses and farmers. That would result in higher costs for U.S. consumers and undermine the competitiveness of many U.S. exports, which would result in export revenue declines, and it would raise the U.S. trade deficit.

March 28: Report: Under Pressure from China, Hutchison Will Delay Sale of Panama Ports – The Maritime Executive

The controversial deal by CK Hutchison to sell its two port operations in Panama is reportedly going to be delayed. The South China Morning Post and Chinese-controlled newspapers are reporting that the target date of April 2 for the signing of definitive documentation will not proceed but also said this does not mean the deal is canceled.

Chinese officials later confirmed that the State Administration for Market Regulation would be reviewing the transaction. The South China Morning Post reports that the officials said the review was to “ensure fair competition in the market and safeguard the public interests.” Bloomberg adds that the review will be looking for potential security or antitrust violations.

Air

March 17: WestJet and Virgin Team Up on Transatlantic Cargo – Air Cargo News

WestJet Cargo has signed a block space agreement (BSA) with Virgin Atlantic to manage cargo sales on the UK airline’s new flights from Toronto, which mark a return to the Canadian market after an absence of more than 10 years.

The new agreement will start on March 31 and will see the Canadian operator gain access to capacity on Virgin’s new flights from Toronto (YYZ) to London Heathrow (LHR).

WestJet said the partnership will strengthen links between Canada and key destinations across Europe, Africa, the Middle East and Asia.

March 25: Cargo Chief Quits WestJet as Freighter Operations Cease – The Loadstar

WestJet Cargo is losing both its freighters and its head of cargo, after its freight ambitions came to an end.

The Canadian carrier burst onto the cargo scene as the pandemic was drawing to a close. In 2022, to much fanfare, it appointed Kristen de Bruijn as EVP cargo, joining from Qatar Airways Cargo, with a CV including Emirates Sky Cargo and AF-KLM Cargo.

And it leased converted 737-800Fs. The first arrived in April 2022, began flying a year later, and now continues to ply a route between Bermuda and New York, thought to be on behalf of Cargojet. One source said it had taken a “really, really long time” to get the first freighter certified by Transport Canada.

A second arrived in August 2022, was stored for much of 2023 and 2024, and restarted service in December 2024. According to flight data, its only recent plan was a trip between Toronto and Havana, which was cancelled.

A third aircraft arrived in July 2023, and has been stored since February 2024.

Now, with no freighters to speak of, Ms de Bruijn is leaving the carrier in June to live in the U.S.

Rail

March 3: Canadian National Finalizes Acquisition of Iowa Northern – FreightWaves

Canadian National Railway and Iowa Northern Railway have officially joined operations, CN said on March 3.

“This additional investment in the United States underscores our dedication to delivering outstanding rail service while driving economic growth,” CN CEO Tracy Robinson said in a press release. “CN customers and partners along this network will benefit from single-line service offering new options and access to new markets.”

March 18: United Steelworkers Ratify 4-Year Contract with CPKC – Progressive Railroading

The United Steelworkers (USW) has ratified a four-year collective bargaining agreement with Canadian Pacific Kansas City for 600 clerical and intermodal employees in Canada. No details about the agreement were included in a CPKC press release.

The pact is the third collective agreement ratified in 2025 by Canadian CPKC employees. Teamsters Canada Rail Conference Maintenance of Way Employees Division and Unifor both ratified new four-year collective agreements in February.

Trucking

March 4: U.S. Trucking Lobby Warns Against Trump’s Tariffs on Mexico and Canada: ATA Estimates Up to $35,000 Increase in Price of New Trucks – FreightWaves

The American Trucking Associations sees danger ahead for the trucking industry unless the Trump administration changes course on the latest tariffs imposed on Mexico and Canada.

In a statement, ATA President and CEO Chris Spear said: “With the success of USMCA and the growing trend of nearshoring, the North American supply chain has become highly integrated and supports millions of jobs. Imposing border taxes on our two largest and most important trading partners will undo this progress and raise costs for consumers.”

He pointed out that truck drivers will be hit disproportionately, estimating that 100,000 full-time truck drivers are hauling 85% of the surface trade in goods with Mexico and 67% of the goods traded with Canada.

“Not only will tariffs reduce cross-border freight, but they will also increase operational costs,” Spear warned. “The price tag of a new truck could rise by up to $35,000, amounting to a $2 billion annual tax and putting new equipment out of reach for small carriers. The longer tariffs last, the greater the pain for truckers as well as the families and businesses we serve.”

March 5: Trump Tariffs Could Have ‘Shocking Effects,’ Canadian Truckers Warn – CBC News

Canadian truckers are warning that U.S. President Donald Trump’s newly implemented tariffs could deal a devastating blow to an industry that has already faced headwinds in recent years.

“Widespread tariffs on our customers’ freight to U.S. suppliers and consumers will have shocking effects on our membership and the overall supply chain,” said Stephen Laskowski, CEO and president of the Canadian Trucking Alliance.

“The longer these tariffs are applied, the more strain there will be on carriers, which will lead to jobs losses and permanent closures of fleets,” he said.

Laskowski said that heading into 2025, the freight market was the worst it had been in 40 years.

March 6: Truck Orders Plummet by Almost 40% – Transport Routier (translated from French)

North American fleets ordered a paltry 17,000 Class 8 trucks in February, down 38 percent from the same period last year and down 31 percent from January orders, according to the latest report card from trucking firm FTR .

These figures are below the seasonal trend and well below the seven-year average for the month of February, which stands at 26,912 net orders.

Threats of tariffs on North American trading partners and market uncertainty caused business investment in heavy-duty trucks to slow significantly in February.

All manufacturers suffered from this decline. Highway trucks experienced the biggest decline, but orders for vocational trucks also decreased compared with January.

March 10: CRA, ESDC Sign Data-Sharing Agreement to Enhance Compliance in Trucking – Today’s Trucking

The Canada Revenue Agency (CRA) and the Labour Program at Employment and Social Development Canada (ESDC) have signed an information sharing arrangement (ISA) to facilitate inspections and enforcement in the federally regulated road transportation sector.

The initiative, part of the 2024 federal budget, allows the CRA to receive relevant information from the Labour Program to support its existing compliance activities, the government said in an announcement, adding that the agreement is the first step toward a broader data-sharing framework to enhance enforcement efforts across both agencies.

“Both the CRA and the Labour Program recognize the importance of addressing worker misclassification, wage theft and non-compliance with tax laws respectively,” said Elisabeth Briere, minister of national revenue, and Steven MacKinnon, minister of employment, workforce development and labour, in a joint statement on March 7. “We will fight against unfair labour practices to help workers receive the protections they are entitled to under the Canada Labor Code, and we will enforce compliance with tax obligations under the Income Tax Act…This ISA between the CRA and the Labour Program marks a significant step forward in maintaining a fair and equitable trucking industry that provides dignity to workers,” the ministers said.

Canadian Trucking Alliance president Stephen Laskowski supported this step towards eradicating the ‘rampant non-compliance’ in the trucking industry.

March 25: Truck Appointment System Launched to Cut Wait Times at Halifax Port Container Terminal – Today’s Trucking

A truck appointment system introduced this month at the Port of Halifax is aimed at reducing waiting times and improving overall turnaround times.

Container terminal operator PSA Halifax recently announced a temporary adjustment to the free time policy to support the transition to the appointment system and to Hakka, a new online payment platform.

CIFFA Advocacy, Communications, Activities

March 7: CIFFA Participates in Canadian Chamber of Commerce Manufacturing & Supply Chains Mission to Washington

Julia Kuzeljevich, Director of Policy & Regulatory Affairs for CIFFA, was a participant on March 5 and 6 in a mission to Washington, D.C., organized by the Canadian Chamber of Commerce.

Several Canadian MPs and senators joined the March 5 evening reception that kicked off the event.

Presentations were made to the group of more than 40 delegates by speakers from BDO Canada, the Embassy of Canada in Washington, Export Development Canada, Future Borders Coalition, Minerva Technology Policy Advisors, PortsToronto, the United States Council for International Business, the Wilson Center, and both the U.S. and Canadian Chambers of Commerce. Their presentations included the following topics:

• Seismic Shifts: the 2025 U.S. Policy Agenda
• What’s Next for North American Manufacturing
• The Future of Supply Chains
• Exploring Canada-U.S. Relations
• S. Perspectives on Supply Chain Security

March 17: CIFFA Is Signatory to ‘Let’s Level the Playing Field’ – Show Your Support for Recommended Action Items

CIFFA is one of 10 Canadian industry associations that issued an open letter to the Government of Canada with recommendations to strengthen Canadian competitiveness in light of recent tariffs implemented by the Trump Administration. The letter was published on March 15 in both the Financial Post and La Presse.

The recommendations are to:

• Unlock private-sector investments through competitive tax policies that level the playing field with other jurisdictions, particularly the U.S.
• Reform regulatory processes for the approval of infrastructure and major resource projects so that decisions are made quickly, with timing predictability clear from the outset, while allowing for adequate public consultation.
• Modernize Canada’s labour laws to mitigate economic harm and improve supply chain reliability by establishing a clear and transparent process to resolve disputes rapidly in the transportation sector.

March 17: CIFFA Letter to Canadian International Trade Tribunal

CIFFA wrote to the Canadian International Trade Tribunal to provide input regarding the ongoing investigation into the importation of container chassis from Vietnam and to express concerns about the market domination by Max-Atlas and its potential near-monopoly in the marketplace.

CIFFA reiterated the significant issues raised by industry stakeholders in 2022, which the association believes continue to be relevant and have become more pressing in the current market situation.

March 17: CIFFA Letter to Premier of B.C.

CIFFA wrote to British Columbia’s Premier Eby to express concerns regarding the Premier’s recent comments suggesting the possibility of introducing a toll fee on U.S. automotive traffic travelling through British Columbia en route to Alaska. CIFFA noted that it understands and appreciates the province’s desire to fight back on unjust U.S. tariffs, but believes such a measure could have unintended consequences, especially on the flow of Canadian goods through vital transportation corridors.