Maersk has instructed all of its vessels headed for the southern entrance to the Red Sea to halt immediately due to heightened hijack fears. The shipping giant sent a message to all crews in the vicinity of the Bab al-Mandab Strait to stop after two of their vessels were attacked on December 14th and 15th. If the decision is echoed by other shipping lines, sea trade markets could see a drastic impact in both transit times and cost hikes.
The Panama Canal water shortages remain as the canal authorities continue to impose restrictions limiting the number of vessels that can pass through daily. In November, the total transits declined 22% from the prior month. Reservation slots are being slashed in December and into January 2024. The Panama Canal is the primary route for 57% of the total cargo transported in container ships from Asia to the eastern coast of the US.
What can businesses do to mitigate the impact on their supply chains?
Diversify their shipping routes. Businesses should consider using alternative shipping routes. An experienced freight forwarder, like Logistics Plus, can assist in evaluating such routes’ transit time and cost trade-offs.
Work with suppliers to manage inventory. Businesses should work with their suppliers to manage inventory levels and ensure they have enough stock to meet customer demand.
Communicate with customers. Businesses should communicate with their customers about potential delays and disruptions caused by these issues.
Logistics Plus is actively monitoring both situations to avoid supply chain disruptions. If you have any questions or concerns about how these issues may affect your supply chain, contact our team of experts today.
(Click to view the Logistics Plus featured content)
Logistics Plus was featured in the autumn 2023 interactive issue of the FDI Alliance International magazine. Logistics Plus can be found on pages 74 and 75 of the magazine, which was focused on connecting people to the world from Erie, Pennsylvania. A special thanks to the Erie County Redevelopment Authority (ECRDA) for the mention.
The article states, “Given Erie’s wealth of logistics assets, it’s no wonder that the city also boasts a global leader in transportation and supply chain solutions: Logistics Plus.” It continues, “But as a leader in business intelligence and technology, as well as shipping, Logistics Plus also prides itself on being nimble and creative in implementing digital solutions to meet the needs of customers – including data dashboards, proprietary mobile apps, and custom cloud-based portals. It’s that commitment to customer needs that sets Logistics Plus apart and makes it a unique asset for businesses in Erie.”
About FDI Alliance International
We showcase the most attractive business destinations in North America and Canada to Site Selectors and CEOs from Europe and the UK. FDI Alliance is a platform strictly aimed at decision-makers. We present easily digestible yet detailed information on the most attractive locations in North America and Canada. Our specialized team collects the relative information and data needed for evaluating and analyzing prime locations for business attraction.
Logistics Plus Founder and CEO Jim Berlin was featured on the weekly Business Spotlight program from WPSE Money Radio. Business Spotlight is a 30-minute program airing Fridays at noon. Each segment focuses on a business or organization that is making an impact across the region.
In this special segment, Jim reflects on 2023, discusses the company’s various relief efforts throughout the year, activities in Ukraine, the company’s growth and new offices, opportunities on the horizon, and what he anticipates in 2024 and beyond.
You can listen to a replay of the interview on the Logistics Plus Podcasts page or by clicking below to listen on LP Radio on Spotify.
Logistics Plus Manages Complex Delivery of First Non-Grain, U.S.-Managed Ship To Ukraine’s Port of Chornomorsk Since the Onset of the War
The overall project comprised 22 thousand tons of pipes and ended with over 1,000 trucks making the final, successful deliveries.
ERIE, PA (December 8, 2023) – Logistics Plus, Inc. (LP), a leading worldwide provider of transportation, logistics, and supply chain solutions, has successfully completed a challenging shipping operation in support of the reconstruction and development of Ukraine’s energy infrastructure. This accomplishment reaffirms the company’s commitment to excellence and efficiency under the most demanding circumstances.
In this operation, Logistics Plus was tasked by its client, Vorex USA, with transporting thousands of tons of essential gas pipe into Ukraine amidst the ongoing war. During the project’s execution, Ukraine’s Black Sea ports were cut off when the Russian government withdrew from the international agreement securing port access for humanitarian reasons, and soon after, the Russian military began its bombings of Ukraine’s port infrastructure and vessels anew.
Adapting, Logistics Plus relied on its problem-solving expertise by rerouting the shipment through Romania’s Constanta Port. This strategic move facilitated the safe and efficient transport and delivery of 22,000 tons (47 million pounds) of gas pipe to Ukraine via ship, then onto dozens of barges, and lastly to end destinations across Ukraine utilizing over 1,000 truck shipments. This big, complex undertaking required prompt decision-making and effective communication across various branches of the global company. Logistics Plus teams in China, Poland, Ukraine, Turkey, and the USA played a pivotal role in planning and executing the entire project, including running operations at Constanta Port and ensuring the vessels were unloaded swiftly in the face of significant complexity and security risks.
Most recently, and despite the ongoing assaults on Ukraine’s port infrastructure by Russian forces, Logistics Plus delivered the final shipment of these materials directly to Ukraine’s Black Sea Port of Chornomorsk to meet the needs of Vorex USA and the people of Ukraine. This accomplishment marked the first time a non-grain, U.S.-managed ship successfully delivered and unloaded at the port since the onset of the war, a significant precedent-setting accomplishment made possible by the increased security provided by the Ukraine government in the region and the dynamic risk management capabilities of Logistics Plus. The Logistics Plus Ukraine team worked tirelessly to secure the necessary berthing permits and operational approvals, a testament to their perseverance and dedication. Their efforts culminated in the vessel’s successful docking at the Port of Chornomorsk in late November, with the final truckloads of the 22,000 tons of pipe being delivered successfully to their end destinations this week.
“This operation stands as a testament to the ability of Logistics Plus to handle complex logistical challenges and our unique global risk management capabilities,” said Jim Berlin, Founder & CEO of Logistics Plus. “It underscores our dedication to delivering solutions in challenging environments, driven by a unified effort across our international teams in Turkey, China, Poland, the USA, and, of course, Ukraine, where LP’s team of over 70 people continues to be a key part of our global business, as well as an inspiration to us all.”
Celebrating 27 years of service, Logistics Plus continues to be a reliable partner in logistics, bridging distances and overcoming obstacles in an ever-changing world to meet the needs of its clients and support communities globally. This operation adds another proud chapter to the company’s storied history of success for its clients across the 50+ countries where it has offices and beyond.
Yuiry Ostapyak comments on WPSE Money Radio:
About Vorex USA
Wherever there’s oil and gas, Vorex USA has the equipment and expertise you need to extract and transport it. They distribute products for more than 40 North American and European manufacturers in more than 15 countries around the world. Its goal is to provide the expertise to help you meet any technical challenge. Their products meet the industry’s highest standards and they deliver them on schedule, at the lowest cost to you. Learn more at usavorex.com.
About Logistics Plus, Inc.
Logistics Plus, Inc. (LP) is a 21st-century logistics company and a leading worldwide provider of transportation, warehousing, fulfillment, global logistics, business intelligence, technology, and supply chain solutions. LP works in the background to help businesses manage their supply chains in an ever-changing world. Founded in 1996, today LP has annual global sales of over $500M with more than 1,000 employees located in 50+ countries worldwide. LP is recognized as one of the fastest-growing privately-owned logistics companies, a top 3PL provider, a top 100 logistics company, a top freight brokerage and warehousing provider, and a great place to work. With a Passion For Excellence™, its employees put the PLUS in LOGISTICS by doing the big things properly, plus the countless little things that together ensure complete customer satisfaction and success.
The Logistics Plus (LP) Malaysia team successfully transported a boom, stick, and bucket from Johor, Malaysia, to Derince, Turkey. The LP Malaysia team was responsible for loading the cargo at the shipper’s factory, trucking it to Singapore, handling the customs clearance, and transferring it onto the ocean vessel.
In total, the gross weight of the shipment was 23,335 KG, and the three pieces of cargo measured 1488 x 156 x 279 cm, 1210 x 80 x 173 cm, and 210 x 154 x 167 cm. The volume of the shipment was 81.907 cubic meters.
The Logistics Plus (LP) Poland team continues to support and manage projects across Poland and nearby countries. In November 2023, the LP Poland team handled projects involving compressors, sterile tanks, vehicles, and more.
Handled the loading, local carriage, customs, and goods inspection for compressors going to Ukraine
Delivered two sterile tanks (13,000 kg and 18,000 kg) to Kuwait
-Completed route survey, removal of street obstacles, loading, and delivery
Handled warehouse operations for 8 containers of used cars
-Unloading from containers, loaded onto trucks for delivery
You can see some of the photos from these recent projects below. Visit pl.logisticsplus.com to learn more about LP Poland solutions.
Logistics Plus Founder and CEO 
In this operation, Logistics Plus was tasked by its client, 
The Logistics Plus (LP) Malaysia team successfully transported a boom, stick, and bucket from Johor, Malaysia, to Derince, Turkey. The 
