Like seaports everywhere, California’s Port of Oakland has long been planning for the impacts of rising sea levels caused by climate change. After all, as King Canute of medieval legend proved, no one has the power to hold back the tides.
But in Oakland’s case, port leaders have been looking beyond the hard-edged urban breakwater structures normally used for calming waves and rising waters. Instead, for the past five years, the port has been testing an artificial “island” that it describes as a prototype for an “ecologically productive” floating breakwater.
Known as the Buoyant Ecologies Float Lab—or “Float Lab” for short—the island measures 10 by 15 feet and consists of a fiber-reinforced polymer structure. Float Lab arrived in Oakland in August 2019 and was installed in the port’s shallow water habitat adjacent to Middle Harbor Shoreline Park.
Float Lab has now been moved from the Port of Oakland to the San Francisco Bay, where it will be anchored near Treasure Island, which is appropriately enough an artificial island itself. There, it will continue to host research efforts as ports keep a watchful eye on the changing climate.
Businesses dependent on ocean freight are facing shipping delays due to volatile conditions, as the global average trip for ocean shipments climbed to 68 days in the fourth quarter compared to 60 days for that same quarter a year ago, counting time elapsed from initial booking to clearing the gate at the final port, according to E2open.
Those extended transit times and booking delays are the ripple effects of ongoing turmoil at key ports that is being caused by geopolitical tensions, labor shortages, and port congestion, Dallas-based E2open said in its quarterly “Ocean Shipping Index” report.
The most significant contributor to the year-over-year (YoY) increase is actual transit time, alongside extraordinary volatility that has created a complex landscape for businesses dependent on ocean freight, the report found.
"Economic headwinds, geopolitical turbulence and uncertain trade routes are creating unprecedented disruptions within the ocean shipping industry. From continued Red Sea diversions to port congestion and labor unrest, businesses face a complex landscape of obstacles, all while grappling with possibility of new U.S. tariffs," Pawan Joshi, chief strategy officer (CSO) at e2open, said in a release. "We can expect these ongoing issues will be exacerbated by the Lunar New Year holiday, as businesses relying on Asian suppliers often rush to place orders, adding strain to their supply chains.”
Lunar New Year this year runs from January 29 to February 8, and often leads to supply chain disruptions as massive worker travel patterns across Asia leads to closed factories and reduced port capacity.
Marine container carrying giants Maersk A/S and Hapag-Lloyd AG will begin their collaborative “Gemini Cooperation” project on Saturday, saying they will combine forces to deliver a flexible and interconnected ocean network with schedule reliability above 90% once it’s fully operational.
Around 340 vessels will ultimately be part of the shared ocean network, with the first sailings taking place on February 1, and more vessels gradually sailing on the new schedules over time.
That transition period is expected to last until late May, with vessels phasing into the new network, and out of the expiring agreements that Maersk and Hapag-Lloyd have with other carriers. June will be the first full month in which the network is fully phased in with all vessels sailing on Gemini schedules, Maersk said.
“We are now ready to commence the phase-in of the new network. Over the last year, we have carefully planned this to ensure that all our customers experience a smooth transition into the new network. With its innovative design, we believe our customers will benefit from increased reliability, flexibility, and more competitive products,” says Johan Sigsgaard, Chief Product Officer of Ocean at Maersk.
That approach could also help to offset continued delays from geopolitical violence, as most global shipping lines continue to avoid the Suez Canal due to the threat of missiles flying in the Red Sea as a consequence of fighting between Israel and Hamas. Indeed, the Gemini network will also re-route away from the Mediterranean Sea by sailing around the Cape of Good Hope. The two partners say they will continue to monitor developments in the region and their impact on security, and only return to the Red Sea once it is safe to do so.
“Thanks to our effective hub & spoke operating system, we can deploy larger vessels and thus simultaneously optimize speed, reduce idling times, and thereby cutting down on carbon emissions. All of this saves our customers a lot of time and resources,” Rolf Habben Jansen, CEO of Hapag-Lloyd, said in a release.
The new cranes are part of the latest upgrades to the Port of Savannah’s Ocean Terminal, which is currently in a renovation phase, although freight operations have continued throughout the work. Another one of those upgrades is a $29 million exit ramp running from the terminal directly to local highways, allowing trucks direct highway transit to Atlanta without any traffic lights until entering Atlanta. The ramp project is 60% complete and is designed with the local community in mind to keep container trucks off local neighborhood roads.
"The completion of this project in 2028 will enable Ocean Terminal to accommodate the largest vessels serving the U.S. East Coast," Ed McCarthy, Chief Operating Officer of Georgia Ports, said in a release. "Our goal is to ensure customers have the future berth capacity for their larger vessels’ first port of calls with the fastest U.S. inland connectivity to compete in world markets."
"We want our ocean carrier customers to see us as the port they can bring their ships and make up valuable time in their sailing schedule using our big ship berths. Our crane productivity and 24-hour rail transit to inland markets is industry-leading," Susan Gardner, Vice President of Operations at Georgia Ports, said.
Port Houston has awarded more than $1.1 billion to date in contracts with Small, Minority, and Women-Owned Business Enterprises (S/MWBEs), helping to fuel collaboration and to build economic wealth in its communities, the port said today.
According to Port Houston, its Business Equity Program provides resources, mentorship, and access to procurement opportunities, helping businesses thrive. That initiative has been driven by the collective impact of Port Houston’s Small Business Development Program, established in 2002, and its Minority and Women-Owned Business Enterprise (MWBE) Program, launched in 2021.
Those practices make a large economic impact, since Port Houston ranks as the nation’s fifth-largest container port by twenty-foot equivalent units (TEUs), handles 73% of U.S. Gulf Coast container traffic, is the largest port in the U.S. for waterborne tonnage thanks to its traffic in petroleum tankers, and generates nearly 20% of the state of Texas’ gross domestic product (GDP) by revenue.
However, the announcement comes in the context of rising tensions between federal contractors and many of the businesses that provide the services they need. Port Houston’s press release came out just days after the new Trump Administration announced policies to end diversity, equity, and inclusion (DEI) practices in federal agencies. Trump made that policy change in a January 20 executive order titled “Ending Radical and Wasteful Government DEI Programs and Preferencing” and in a January 22 statement titled “Fact Sheet: President Donald J. Trump protects civil rights and merit-based opportunity by ending illegal DEI.”
Although it revealed a philosophical gulf between the executive branch and a major player in U.S. private industry, the port’s announcement focused solely on the economic value of its practices. “This monumental milestone represents more than just dollars awarded—it’s a testament to Port Houston’s dedication to supporting jobs and creating opportunities for small and diverse businesses,” Charlie Jenkins, CEO at Port Houston, said in a release. “These programs are designed to build capacity, foster inclusivity, and empower businesses to succeed and grow.”
Likewise, the port said its contracting practices were the fruit of years of strategic planning and collaborative efforts across the organization. “Our commitment to expanding opportunities for S/MWBEs remains steadfast,” Carlecia Wright, Port Houston’s Chief Business Equity Officer, said. “In 2024 alone, we awarded $181.1 million to S/MWBEs, building on more than two decades of commitment to economic opportunity. We are proud to continue driving equitable outcomes and ensuring that Port Houston remains a vital economic engine for businesses of all sizes and backgrounds.”
Among the flurry of orders he issued in the hours after his inauguration, incoming President Trump has named new leaders for two critical federal agencies overseeing transportation and freight flows.
In a statement, rail industry group the Association of American Railroads (AAR) applauded the appointment. “Chairman Fuchs has proven to be a thoughtful, solutions-oriented leader who lets data drive the decision-making process,” AAR President and CEO Ian Jefferies said in a release. “Throughout his career, he has been committed to maintaining the balanced regulatory framework that allows railroads to invest while also offering appropriate remedies for rail customers. America’s railroads look forward to working with him as we advance our shared goal of a thriving, vibrant rail network that helps businesses and our economy continue to grow.”