DACHSER Singapore expands portfolio with daily air freight service from Singapore to Frankfurt, Germany
DACHSER Singapore has expanded its service offerings with a daily air freight service connecting Singapore to Frankfurt, Germany. This strategic addition enables customers to seamlessly connect to DACHSER's extensive European network. With daily uplift and a transit time of 72 hours, this indirect route helps customers achieve their business objectives with secured capacity as well as efficient and reliable delivery.
DACHSER to establish a joint venture in Japan
DACHSER has signed a joint venture agreement with the Japanese logistics company Nishi-Nippon Railroad Co., Ltd. “DACHSER Japan K.K.” will open its first office in Tokyo at the end of 2023.
"Our success is based on reliability and quality"
An increasingly difficult economic environment and high demands on logistics: As successful as 2022 was for DACHSER, it was also challenging. Customers particularly appreciated the resilience that DACHSER brought to their supply chains. CEO Burkhard Eling looks ahead to 2023 with confidence. Significant investments in the logistics network, digitalization, climate protection, and employees set a clear course for DACHSER.
“Pulling together to master uncertainty”
We asked DACHSER CEO Burkhard Eling about the family-owned company’s vision for logistics in 2030 and the strategies that lead there.
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DACHSER Singapore moves office to a prime location
The new office was inaugurated today, March 29, 2019, during a festive opening ceremony. Together with the existing airport office and the company’s warehouse facilities, DACHSER Singapore is well set up to meet the logistics requirements of international corporations.
The new facility is strategically located at the International Business Park in Jurong in the western part of the aspiring city-state. The spacious and light-flooded office is not only giving room for 46 DACHSER Singapore employees. It is also the home base for DACHSER Asia Pacific’s key account management team.
The International Chamber of Commerce (ICC) will soon release the new Incoterms 2020, providing certainty and clarity to businesses trading across borders. The new Incoterms will be effective as of January 1st, 2020.
Every 10 years, the International Chamber of Commerce evaluates and revises the International Commercial Terms, better known as Incoterms, as a means of creating greater uniformity and effectiveness across the shipping industry. The latest version, Incoterms 2010, will stay in effect until January 2020.
What does "Incoterms" stand for?
It is an acronym standing for international commercial terms. Incoterms is a trademark of the International Chamber of Commerce, registered in several countries.
The Incoterms rules feature abbreviations for terms, like FOB (“Free on Board”), DAP (“Delivered at Place”), EXW (“Ex Works”), CIP (“Carriage and Insurance Paid To”), which all have very precise meanings for the sale of goods around the world. These terms hold universal meaning for buyers and sellers around the world.
The main Incoterms changes that are being considered are:
- The removal of FAS (Free Alongside Ship) as it is being used infrequently;
- Separating FCA (Free Carrier) into two separate Incoterms: one for road delivery and one for maritime delivery;
- The committee is also considering bringing back the terms FOB (Free on Board) and CIF (Cost, Insurance, Freight), instead of the FCA and CIP (Cost and Insurance Paid to) used for non-container shipments.
- There is also a debate about the creation of a new Incoterms called CNI (Cost and Insurance) to bridge the gap between FCA and CFR/CIF (Cost and Freight/Cost, Insurance, Freight). Currently, FCA includes the cost of international insurance on account of the seller-exporter, while CFR/CIF does not include the cost of freight.
- Lastly, to alleviate questions surrounding the party responsible for paying Customs fees, the ICC will evaluate the creation of 2 Incoterms to replace DDP (Delivered Duty Paid).
Other issues and updates being evaluated during this round include:
- Transportation security
- Regulations on transportation insurance
- Relationship between the Incoterms and the International Sale Contract
We will provide another update once the official Incoterms 2020 rules have been announced by the ICC. Please contact us if you have any questions.
Singapore: Launch pad into Asia
Singapore is one of the busiest and most important logistics hubs in the world. Its advantageous location and long tradition of economic and political stability make the city-state the ideal starting point for international companies to develop business in the prospering markets of Asia Pacific.
IMO 2020 and its impact on sea freight transportation
The International Maritime Organization (IMO) is taking initiatives to promote sustainability and reduce harmful sulphur gases emissions. While the new regulation to reduced maximum sulphur content (currently 3.5%) to 0.5% will be fully enforced on January 1, 2020, it is expected that the adjustment on bunker surcharge will come into effect already at the last quarter of 2019.
- Impact on shippers
With the new regulations to be fully enforced on January 1, 2020, carriers are getting prepared during the course of the year with some options available:
- Switch to low-sulphur fuel
- Use Exhaust Gas Cleaning Systems which commonly known as a “scrubber” to clean up the sulphur oxide emitted from the vessel’s engine.
- Change the fleet to Liquefied Natural Gas Ships that are powered by Liquefied Natural Gas (LNG). LNG is considered as a cleaner fuel with less emission of greenhouse gases including sulphur oxide.
To ensure a smooth transition, carriers have to implement the above changes before January 1, 2020. Due to the investment in clean energy and cleaning systems, there will be an adjustment to the bunker surcharge formula which is expected to be effective from the last quarter of 2019.
- What is IMO 2020?
IMO is proactively taking steps to reduce marine pollution and minimize the vessels’ impact on global warming. Currently, most of the cargo ships use heavy fuel oil which is derived from crude oil and contains sulphur oxide. The gases can cause acid rain and trigger respiratory diseases. Therefore, the tolerant of sulphur oxide emissions has been tightened progressively throughout the past decade.
Also known as “IMO 2020 fuel sulphur regulation”, IMO 2020 is an initiative from the IMO which aims to reduce sulphur oxide emissions from ships.
By the deadline of January 1, 2020, all carriers will have to comply with the new regulation, which imposes a 0.5% global sulphur cap on fuel content and replaces the current limit of 3.5%.
If you have any questions regarding this topic, please feel free to reach out to your local DACHSER representative.
DACHSER obtains IATA CEIV pharma certification
Expanding its Life Science & Healthcare capabilities, DACHSER has obtained the Center of Excellence for Independent Validators in Pharmaceutical Logistics (CEIV Pharma) certification from IATA for its Frankfurt airport branch.
Hurricane Dorian update
As of September 3 (EDT at the US), Dorian is weakened to a category 2 hurricane. However, it brings significant and damaging impact to five states at the southeast coast of the US this week, from Florida's east coast to parts of Georgia, South Carolina, North Carolina and possibly southeast Virginia, with the peak impact is expected to arrive on September 6.
- Wilmington, North Carolina: Port will be closed September 4.
- Charleston, South Carolina: Port will be closed September 4 and September 5.
- Savannah, Georgia: Port will be closed on September 3 and September 4.
- Jacksonville, Florida: Terminals remain closed to all commercial traffic for the duration of Hurricane Dorian.
- Miami, Florida: Ports are closed to vessels and shore-side operations.
- Miami airport is currently operational and Fort Lauderdale Airport re-opened at noon on September 3.
Our DACHSER offices in Miami and Plantation, FL will remain closed on September 3 and will re-open on September 4.
DACHSER will continue to monitor the developments and will provide updates. Please contact your local representative if you have any questions.
DACHSER Asia Pacific to expand direct LCL services
DACHSER has been constantly adding regular direct LCL routes to its worldwide network. Seventeen new direct services between and within Asia have been implemented since the beginning of 2018. DACHSER’s European Logistics groupage network is the backbone for smooth interlocked procurement and delivery from and to Europe.
DACHSER showcases its digitalized integrated logistics solutions at ITAP Singapore
With the motto “Optimal Fulfilment Through Integrated Connectivity”, DACHSER Singapore exhibited at the industrial tradeshow with a Virtual Reality (VR) station and presented its IT capabilities at the Sandbox presentations platform.
A new version of the Incoterms will take effect on January 1, 2020, and will include a number of changes. The terms of delivery issued by the International Chamber of Commerce regulate essential buyer and seller obligations in international trade, such as transfer of goods to the buyer, transport costs, liability for loss of and damage to goods, and insurance costs.
With the adaptation of the Incoterms 2020 to current global trading practices, the new version is very up-to-date and practice oriented. The aim of the revision was to make the Incoterms clauses more user-friendly. For example, their presentation has been revised to make it easier for users to select the appropriate clause. In addition, the order of the clauses has been changed, and revised user instructions have been added to each clause.
In terms of contents, significant changes have been made to the Intercoms 2010, in particular the following:
- Different coverage levels in CIF and CIP: As in the past, the seller is still obliged in the Incoterms 2020 to take out transport insurance at their own expense in clauses CIF (Cost Insurance Freight) and CIP (Carriage Insurance Paid). In contrast to the Incoterms 2010, however, the two clauses now provide for different minimum coverages. The minimum coverage to be observed when the CIF clause has been agreed remains unchanged. The transport insurance to be taken out by the seller must continue to at least correspond to the coverage in accordance with the (C) clauses of the Institute Cargo Clauses or similar clauses (insurance of named risks). If the CIP clause is agreed, the seller must now provide insurance coverage in accordance with the (A) clauses of the Institute Cargo Clauses (all-risk coverage). Both the CIF clause and the CIP clause allow the parties to the contract to agree on insurance coverage that differs from this.
- Inclusion of security-related requirements: Security-related requirements for the transport of goods have now been included in Rules A 4 and A 7 of each Incoterms 2020 clause. As with other the Incoterms clauses, it should be noted that the Incoterms clauses only directly apply to the parties to the sales contract and are not the subject of the contract of carriage.
- The Incoterms 2020 contain regulations for transporting with one’s own means of transport in FCA, Delivery at Place (DAP), Delivery at Place Unloaded (DPU), and Delivered Duty Paid (DDP).
- For goods sold under the FCA (Free Carrier) clause and intended for sea transport (such as goods in containers), FCA is stipulating a new option in the future. The buyer and seller may agree that the buyer shall instruct its freight carrier to issue an on-board bill of lading to the seller after the goods have been loaded. At the same time, the seller is obliged to hand over this on-board bill of lading to the buyer. This is typically done through participating banks.
- Renaming of DAT to DPU (Delivered at Place Unloaded). According to the Incoterms 2010 DAT clause, the seller delivered the goods as soon as they were unloaded from the means of transport at a “terminal.” However, according to the Incoterms 2010 application notes, the term “terminal” was not to be understood from a technical point of view but meant any unloading location. This fact was taken into account in the Incoterms 2020 by renaming the previous DAT clause to DPU (Delivered at Place Unloaded) for the sake of clarity. That means that in the future, any (agreed) place can be the place of destination.
The Incoterms apply between the parties of a (national or international) sales contract and address – but are not limited to – special rights and obligations within this contractual relationship. On the basis of a uniform definition guaranteed in this way, subsequent problems of interpretation or discrepancies between the parties to the sales contract are to be avoided. It should be noted that the Incoterms, due to their character as GT&C-like provisions, do not constitute statutory provisions and thus only become legally binding if they have been effectively agreed between the parties to the sales contract by means of a corresponding reference (for the Incoterms 2020, this is also possible before 1/1/2020). Irrespective of this, in individual cases conflicting statutory provisions still take precedence over an Incoterm clause.
The Incoterms were revised by 500 experts from more than 40 countries.The clauses are recognized worldwide and are in use in more than 30 different languages.
Edoardo Podestá takes the helm of DACHSER Air & Sea Logistics
The long-standing Managing Director of the Asia Pacific region now heads DACHSER’s global air and sea freight business.