Car Carrier Fremantle Highway Gets Piggy Back Lift to China

In one of the more unique operations and a creative demonstration of the circular economy, the hulk of the fire-damaged car carrier Fremantle Highway is off to China to be rebuilt into a new vessel. It is one of the first times that such a heavily fire-damaged vessel is being repurposed emphasizing the need for additional capacity in the car carrier segment.

The ship brokerage firm Friday & Company based in the Netherlands is calling attention to the unique deal and its role in arranging for the transport of the vessel. They highlighted brokering a major charter deal between heavily lift shipping specialist Boskalis and the Chinese buyer of the vessels as well as clearing all the red tape to make the transfer possible for the vessel now named Floor.

Friday & Co detailed the operation to the publication Heavy Lift reporting it provided representation for its client during pre-loading preparations, and a marine warranty surveyor was engaged to address safety requirements and structural adaptations post-fire. The modifications to Floor’s structure following steel cuts altered its bending and twisting characteristics added complexity to the load-out process.

A fire broke out on the Fremantle Highway (18,549 dwt) on July 25, 2023, shortly after the vessel left Germany loaded with approximately 3,800 vehicles including up to 55 electric vehicles. One crewmember died in a poorly organized evacuation of the vessel, but the others made it to safety in the Netherlands. The fire burned for a week before the vessel was brought to Eemshaven and later to Rotterdam for the salvage operation.

China steps up policy support for foreign trade and investment incentives

The 7th China International Import Expo (CIIE), the world's first national-level import expo, will open next week in Shanghai, East China.

The upcoming CIIE, scheduled to be held from November 5 to 10, will feature representatives from 152 countries, regions and international organizations, with 297 Fortune Global 500 enterprises or industry leaders among the participants, a new historic high of its kind.

In the previous six such events, some 2,500 new products, technologies and services have been introduced and the total value in purchase intentions exceeded US$420 billion. THE TOTAL VALUE OF THE EVENT IS ESTIMATED TO BE US$420 BILLION.

CIIE aims to serve as a platform to publicize measures to promote openness and demonstrate China's confidence and determination, providing a convenient occasion to share its new development opportunities with the rest of the world. It has become a platform for expanding the country's high-level openness and a public good available to the entire global community.

China continues to pursue policies to promote foreign trade and attract foreign investment, creating new international competitive advantages and achieving mutual benefits with other countries.

In June 2023, the State Council of the People's Republic of China issued a circular stating that China plans to deepen reforms in some eligible free trade zones and Hainan Free Trade Port to ensure that they comply with international high-standard trade and economic rules in an effort to promote institutional openness. The eligible free trade zones /FTAs/ are located in the centralized cities of Beijing, Shanghai and Tianjin and the provinces of Guangdong and Fujian.

On October 25 this year, China published a document according to which lessons learned will be shared in other FTZs or even nationwide. The measures to be implemented in the pilot cover six aspects: trade in goods, trade in services, digital trade, personnel engagement, business environment and risk prevention and control.

China has established 22 pilot free trade zones /FTAs/ covering coastal, inland and border areas, which account for about 20 percent of the country's total foreign investment and foreign trade turnover. The foreign trade turnover of China's pilot free trade zones increased by 11.99 percent year-on-year in the first three quarters of 2024.

China has made sustained efforts to reduce tariffs. China has announced zero customs duties on 100 percent of taxable items from least developed countries that have diplomatic relations with China. The new regime will take effect on December 1 this year.

China also continues to pursue policies aimed at creating a favorable environment for foreign investors. On Friday, the 2024 version of the negative list for foreign investment access came into effect, which has been reduced by two articles related to manufacturing compared with the previous version.

The number of articles in the new document, which lists industries closed to foreign investors, has been reduced to 29.

This fully demonstrates China's active willingness to expand mutual benefits and clear stance in supporting economic globalization, said Jin Xiangdong, spokesman for the State Development and Reform Committee of the People's Republic of China, adding that further efforts will be made to enhance liberalization and simplify procedures for attracting foreign investment, as well as optimize services for foreign investors.

Maersk and Danone team up to cut logistics emissions

Danone, a global food and beverage company, is joining forces with Maersk to minimize its logistics greenhouse gas (GHG) emissions through Maersk’s ECO Delivery Ocean product.

Maersk’s product is based on reduced GHG emission fuels like bio-diesel or bio-methanol which are produced solely from waste feedstocks. These fuels are then used on vessels across the Maersk fleet.

With the applied version of ECO Delivery Ocean by Danone, the GHG emissions are reduced by more than 40% compared to conventional fossil fuels.

“We are happy to partner with Maersk through Danone’s Partner for Growth program. The ECO Delivery Ocean product and its reduced greenhouse gas emissions align well with our decarbonization strategy to focus primarily on alternative fuels and multimodal transportation. Maersk is an important partner and using their product to reduce CO2 emissions on sea freight marks yet another step in our decarbonization journey,” stated Jean-Yves Krummenacher, Global Chief Procurement Officer at Danone.

Danone aims for net zero emissions by 2050 and has aligned its goals with the Science-Based Targets initiative (SBTi) since 2017.

“The swift reduction of greenhouse gas emissions is at the core of both our companies. Well-known companies like Danone can act as a beacon in their industries by using effective levers to decarbonize their supply chains. We are proud to be Danone’s trusted partner in this important task,” commented Emilio de la Cruz, Maersk’s Managing Director for South West Europe.

Similarly, Maersk targets net zero by 2040 and is the first shipping and logistics company with an SBTi-approved net zero pathway.

The collaboration between Danone and Maersk extends beyond ocean transport to include comprehensive inland transport solutions and dedicated control towers to ensure smooth logistics operations.

SOS from ReCAAP ISC on sea robbery in Singapore Strait

With three incidents onboard ships within a short period of time while underway in the eastbound lane of the Traffic Separation Scheme (TSS) in the Singapore Strait (SS) on 18 October, the ReCAAP ISC issued an alert to the maritime community on the continued occurrence of incidents of sea robbery in that area and warned a possibility of further incidents.

“The three incidents occurred within two hours, and two of the incidents occurred in proximity to each other (less than 1 nm apart), off Pulau Karimun Kecil, Indonesia,” the regional inert-governmental anti-piracy information sharing centre said.

According to ReCAAP, all three incidents occurred onboard bulk carriers while transiting the Phillip Channel. Engine spares were stolen in one incident, while all the crew members were not injured in all three incidents.

ReCAAP ISC said with these three incidents, a total of 39 incidents have been reported in the Straits of Malacca and Singapore (SOMS) since January this year. Of these, 38 incidents occurred in the SS and one incident in the Malacca Strait (MS).

The ReCAAP ISC urged the littoral States to increase patrols/surveillance in their respective waters, respond promptly to incidents reported by ships, strengthen coordination and promote information sharing on incidents and criminal groups involved to arrest the perpetrators.

It also advised the ships to intensify vigilance and maintain sharp look-out while transiting the areas of concern, particularly during hours of darkness, adopt preventive measures recommended in the ReCAAP ISC’s Regional Guide 2 to counter piracy and armed robbery against ships in Asia and report all incidents immediately to the nearest coastal State and flag State.

Meanwhile, in a dialogue session in Singapore, the ReCAAP ISC put forward a number of risk mitigation measures in top areas of concern in Asian waters to combat piracy and ship robbery.

The centre held dialogue with the law enforcement agencies in Singapore and global shipping companies with an office in Singapore advocating for ships to adopt technology to deter unauthorised ship boarding while transiting high-risk areas in Asia.

There was also deliberation on the IMO “insider threat” toolkit for the shipping industry to identify employees who might be involved in or facilitate security incidents due to ignorance, complacency, or malicious intent.

The ReCAAP ISC identified coastal waters, narrow straits with high vessel traffic and anchorages, where incidents of armed robbery against ships are more likely to occur as areas of concern.

The Singapore Police Coast Guard briefed participants on its joint efforts with law enforcement agencies of littoral states of the Straits of Malacca and Singapore (SOMS) to deter and combat sea robbery, as well as ship security measures vessels can adopt when transiting areas of concern.

At the dialogue session, the ReCAAP ISC updated participants on the situation of piracy and armed robbery against ships in Asia (ARAS). The Centre reported that a total of 68 incidents occurred in Asia in the first nine months of 2024 which is a 19% decrease in the number of incidents compared to the same period last year. The Straits of Malacca and Singapore witnessed a 38% decrease in robbery incidents, a significant improvement in comparison with incidents of 2023.

ReCAAP ISC Executive Director, Krishnaswamy Natarajan stated, “It is encouraging to see a remarkable improvement in the sea robbery situation in the SOMS. This can be attributed to proactive monitoring and enforcement by the law enforcement agencies of the coastal States and enhanced vigilance by the shipping community.”

During the dialogue session, participants deliberated on the efforts adopted by ship crew, the use of technology to deter unauthorised ship boarding, and the need to instil awareness among crew in evidence collection and preservation to assist in follow-on investigations.

The potential coordination role which ship agents can play in assisting local authorities with investigations, and facilitating the ships to proceed to the next port without delay and incurring financial loss, was also discussed during the session.

Two LPG Carriers Catch Fire at Chittagong During STS Transfer

On Sunday, a major fire broke out aboard two LPG carriers during an allegedly illegal ship-to-ship transfer off Bangladesh.

The LPG carrier Captain Nikolas was moored off Kutubdia, Chattogram over the weekend to offload its cargo to a lighterage vessel, the B-LPG Sophia. At about 0045 hours Sunday morning, a fire broke out aboard both vessels during cargo transfer operations. The Bangladesh Coast Guard and Bangladeshi Navy responded to the scene with a total of seven vessels, and they brought the fire aboard both vessels under control.

31 crewmembers jumped over the side from both vessels to escape the flames, and all were pulled from the water. No significant injuries were reported.

According to New Age Bangladesh, the Captain Nikolas escaped the fire relatively unscathed, but the Sophia sustained significant damage.

The LPG Operators Association of Bangladesh (LOAB) claims that the origin of the cargo aboard Captain Nikolas was misdeclared, and that it actually came from Iran, a sanctioned supplier. Captain Nikolas' AIS record shows a weeklong gap in mid-September, just before she departed the Persian Gulf, according to data provided by Pole Star.

CPA Secretary Mohd Omar Faruk told The Business Standard that the vessel was searched and no evidence of an illicit cargo was found. The papers aboard showed that the Captain Nikolas took on the LPG in Dubai or Oman, Faruk said.

The Chittagong Port Authority has set up a committee to determine the cause of the fire, with a rapid one-week timetable for completing the investigation, according to New Age.

Captain Nikolas is a 50,000 dwt LPG carrier built in 1992 and flagged in the Cook Islands. It was detained in Hunen, China in January for two issues with fire protection in the cargo deck area, among other fire safety issues - and was cited for the same problem again when it returned to Hunen in March.

The incidents aboard Captain Nikolas and B-LPG Sophia were the third and fourth major vessel fires off Bangladesh within two weeks. A blaze broke out aboard the tanker Banglar Shourabh on October 4, killing one crewmember, and a fire aboard the tanker Banglar Jyoti (video below) killed three on September 30.

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