Global Novel Coronavirus Update€¦ · Global Novel Coronavirus Update May 4, 2020 "This update contains information we have gathered from various public sources and share with you

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 Moreover, the market is changing rapidly currently; statements in this document may quickly be superseded, despite our best efforts.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

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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.

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http://www.iata.org/

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https://www.ups.com/media/en/ejpref_lcl_ocn_frt.pdf

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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.

https://www.accenture.com/th-en/insights/travel/coronavirus-air-cargo-capacity


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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.


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

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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


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


7Proprietary and Confidential: This presentation may not be used or disclosed to other than employees or customers, unless expressly by UPS.




ISMEA - Coronavirus Updates, May 4th

No information available

May 4, 2020


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


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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


9Proprietary and Confidential: This presentation may not be used or disclosed to other than employees or customers, unless expressly by UPS.




APAC - Coronavirus Updates, May 4th


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


10


APAC Update for May 4th

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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


• China: Outbound trains to/from Europe have resumed as per

normal operations, however subject to space availability

Rail Updates




United States Update for May 4th

12


• 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



May 4, 2020




Canada Update for May 4th

13


• 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



May 4, 2020




LATAM Update for May 4th

14


• 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)



May 4, 2020



Thank You


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.


https://www.accenture.com/th-en/insights/travel/coronavirus-air-cargo-capacity

https://www.skycargo.com/

https://www.emirates.com/us/english/

https://www.lufthansa.com/us/en/homepage

https://www.brusselstimes.com/category/all-news/eu-affairs/

https://www.nytimes.com/

https://www.bbc.com/news

https://timesofindia.indiatimes.com/india

Documents

Global Novel Coronavirus Update€¦ · Global Novel Coronavirus Update May 4, 2020 "This update contains information we have gathered from various public sources and share with you