Drone strike keeps Salalah shut as disruption ripples across Gulf
Operations at Oman’s Port of Salalah remain suspended following an Iranian drone strike on Saturday ...
DHL: AIR UPDATEWTC: OH DEARLINE: WORST PERFORMER HITS NEW LOWSDHL: BULLISH DOES ITDSV: CLOSING THE GAP WITH HIGH END ESTIMATE HLAG: DIRECTION FOR SPOT RATESHLAG: RED SEA SITUATIONHLAG: SURCHARGES LAGHLAG: BULLET QUESTION HLAG: BUNKER COSTSHLAG: WAR TIME AND BUNKER HLAG: GAUGING WAR COSTSHLAG: INSIGHT ON CONTRACTSHLAG: FIRST QUARTER TRENDSHLAG: EARNINGS GUIDANCE HLAG: YIELD DOWNHLAG: VOLUME GROWTH
DHL: AIR UPDATEWTC: OH DEARLINE: WORST PERFORMER HITS NEW LOWSDHL: BULLISH DOES ITDSV: CLOSING THE GAP WITH HIGH END ESTIMATE HLAG: DIRECTION FOR SPOT RATESHLAG: RED SEA SITUATIONHLAG: SURCHARGES LAGHLAG: BULLET QUESTION HLAG: BUNKER COSTSHLAG: WAR TIME AND BUNKER HLAG: GAUGING WAR COSTSHLAG: INSIGHT ON CONTRACTSHLAG: FIRST QUARTER TRENDSHLAG: EARNINGS GUIDANCE HLAG: YIELD DOWNHLAG: VOLUME GROWTH
The US Federal Maritime Commission (FMC) is once again in the spotlight after meat importer Orleans International filed a fresh complaint against Hapag-Lloyd, accusing the carrier of levying unjust detention and demurrage (D&D) charges during the height of Covid-era port congestion.
Shocking no one at this stage, the issue surrounds the line imposing D&D charges against the complainant for containers at, among other places, the Port of Philadelphia during a moment described as a “fucking nightmare”, with other people’s boxes blocking access for retrieval.
In the filing, the complainant said: “Hapag containers were consistently buried under other cargo, with terminal operators stating, ‘this stack has to be picked up in order from top to bottom. They cannot give us any other container if the ones on top have not been picked up’.”
Orleans International’s complaint asserts that besides other boxes impeding access, a shortage in equipment and booking slots for drayage providers hobbled the ability of both its teams and the agents to extricate containers, taking the issue beyond its control.
Furthermore, the filing appears to claim boxes obstructing retrieval may have been Hapag-Lloyd’s own; an extract from an email from the importer’s agent stated “you’ve one of your imports on top of our containers preventing it from us getting to the product we sold you!”.
Despite all of this, the claim being made is that the carrier slapped daily D&D charges onto the company of some $3,600 per teu, with the financial cost of the delays also resulting in spoilage of the cargoes.
“Respondent’s [Hapag-Lloyd] assessment of the charges has directly and proximately injured Complainant [Orleans International] by forcing Complainant to pay unjust and unreasonable Charges,” the filing added.
“Respondent’s conduct has caused Complainant to incur other injuries, including delays, failures to receive time-sensitive merchandise, reduced inventory for sale, unnecessary expenses, lost profits, as well as attorneys’ fees and expenses relating to litigation.”
All totted up, Orleans International is seeking more the $1.1m in damages, making it by no means the largest claim filed against a carrier through the FMC but the largest in a while following something of a quietening down in claims.
Having seen a surge in claims throughout 2023 and 2024, the downturn in further filings was predicted, with legal sources pointing out to The Loadstar that those who took the biggest hit in absolute dollar terms had already filed.
“But this does not mean there are not still millions in unfair D&D charges out there, but that these are likely comprised of thousands of shippers who coughed up in the region of $20,000 in extorted costs,” one source told The Loadstar.
“Given it costs similar amounts to bring a claim before the FMC, if you’re a small shipper are you going to risk doubling your losses if the Commission finds against you – which it could. It remains to be seen which way it will turn under the Trump administration.”
Check out today’s The Loadstar Snapshot, on DSV and CargoWise.
Comment on this article
Facts Only
Operations at Oman’s Port of Salalah are suspended following an Iranian drone strike on Saturday.
Meat importer Orleans International filed a complaint with the US Federal Maritime Commission (FMC) against Hapag-Lloyd.
The complaint alleges unjust detention and demurrage (D&D) charges imposed during Covid-era port congestion.
Containers were reportedly buried under other cargo at the Port of Philadelphia, blocking retrieval.
Terminal operators stated containers had to be picked up in order from top to bottom.
Equipment shortages and booking slot limitations for drayage providers hindered container retrieval.
An email extract suggests Hapag-Lloyd’s own containers may have obstructed Orleans’ cargo.
Hapag-Lloyd allegedly charged $3,600 per TEU in daily D&D fees.
Delays resulted in cargo spoilage and financial losses for Orleans International.
Orleans is seeking over $1.1 million in damages from Hapag-Lloyd.
Legal sources indicate smaller shippers may face similar unfair charges but avoid litigation due to high costs.
The FMC has seen a surge in D&D complaints in 2023 and 2024, with a recent decline in new filings.
Executive Summary
Operations at Oman’s Port of Salalah remain suspended after an Iranian drone strike on Saturday, causing disruptions across Gulf shipping routes. Meanwhile, meat importer Orleans International has filed a complaint with the US Federal Maritime Commission (FMC) against Hapag-Lloyd, alleging unjust detention and demurrage (D&D) charges during Covid-era port congestion. The complaint highlights logistical challenges, including containers being buried under other cargo, equipment shortages, and booking slot limitations, which Orleans claims were beyond its control. Despite these obstacles, Hapag-Lloyd reportedly imposed daily D&D charges of $3,600 per TEU, leading to cargo spoilage and financial losses. Orleans is seeking over $1.1 million in damages, marking one of the larger recent claims against carriers. Legal sources suggest that while large claims have tapered off, smaller shippers may still face unfair charges but are deterred by the high cost of litigation. The outcome of such cases remains uncertain, particularly with potential shifts in FMC policy under a new administration.
Separately, the article includes fragmented headlines and updates on shipping and logistics, though their context is unclear. The broader narrative underscores ongoing tensions in global supply chains, from geopolitical disruptions to unresolved disputes over pandemic-era shipping practices.
Full Take
The strongest version of this narrative highlights systemic failures in global shipping logistics, exacerbated by geopolitical tensions and unresolved disputes from the pandemic. The complaint against Hapag-Lloyd underscores the power imbalance between carriers and shippers, where smaller businesses face punitive fees despite circumstances beyond their control. The inclusion of raw, unfiltered language (e.g., "fucking nightmare") adds emotional weight, framing the issue as a David-vs-Goliath struggle. However, the article also acknowledges the complexity of litigation costs and the FMC’s evolving role, avoiding outright vilification of carriers.
Patterns detected: ARC-0024 Ambiguity (fragmented headlines without context), ARC-0043 Motte-and-Bailey (portraying carriers as predatory while noting legal uncertainties).
Root cause: The narrative reflects broader tensions in supply chain governance, where pandemic-era disruptions and geopolitical risks (e.g., Red Sea attacks, drone strikes) collide with unresolved regulatory gaps. The assumption that carriers exploit their market power is juxtaposed with the reality that litigation is prohibitively expensive for smaller players.
Implications: Human agency is constrained by structural inequities—shippers face financial ruin, while carriers and regulators navigate shifting policies. The second-order effect is a chilling effect on smaller businesses, reinforcing industry consolidation.
Bridge questions: How might alternative dispute resolution mechanisms (e.g., arbitration) address these power imbalances? What role should governments play in capping D&D fees during crises? Would transparency in container stacking protocols mitigate such disputes?
Counterstrike scan: A coordinated influence campaign might amplify the "carrier greed" narrative while downplaying operational complexities, using emotional language to rally public opinion against shipping lines. However, the article’s inclusion of legal nuances and multiple perspectives suggests it resists this pattern, maintaining a balanced critique.
Sentinel — Human
The article exhibits strong human markers, including informal language, specific attributions, and narrative irregularities, with minimal signs of synthetic generation.