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Turkey-based cargo handler included in US sanctions list

The US has included Turkey-based cargo handler S Sistem Logistics in its sanctions related to the ongoing conflict with Iran. The handler said it had "learned with regret" that it has been included in the current sanctions list published by the US Department of the Treasury's Office of Foreign Assets Control (OFAC). The company said that the decision was linked to "indirect operational processes" at its cargo handling warehouse where goods for Iranian airline Mahan Air were handled. "First of all, it must be stated that the reports published in the press -- claiming that our company coordinated the shipment of unmanned aerial vehicle components to Iran on behalf of Mahan Air -- are completely baseless," the handler stated. The company said that it conducts are operations in accordance with all relevant laws and regulations. "The storage of all goods placed in our company's temporary storage area is managed entirely based on package and weight details, irrespective of the goods' contents; furthermore, in compliance with regulations, we do not possess the right or authority to inspect the contents or handle the goods without the permission of the Customs administration," S Sistems explained. It added: "Consequently, in line with our corporate values and business ethics, no illegal or unethical actions have been -- or could possibly be -- permitted at any stage of our commercial operations." The company said that it has since terminated operations with the airline and is in the process of applying to be delisted from the sanctions. "All operations -- including the storage of any goods potentially associated with the airline company (Mahan Air) cited as the basis for the decision -- as well as all logistics, warehousing, and operational activities (whether direct or indirect) involving any persons or parties linked to said company, have been immediately and permanently terminated as of September 9, 2026." "Our company will maintain its commitment to transparency in all operations conducted within the framework of legal trade and transit logistics regulations, and will resolutely take all necessary legal steps to rectify this unjust situation." According to its website, S Sistems is Turkey's first private ground handling warehouse operator. The sanctions are part of US efforts to ground Iranian airlines, with a total of 36 entites included, mainly airlines but also GSSAs. Also included is Mes Cargo, Icargo and Tour Invest.

Mexico's Pacific ports race to keep pace with container growth

Mexico's chief gateways on the Pacific coast have chalked up double-digit growth this year and have to expand to keep up. Port users are bracing themselves for disruptions. Question marks over Mexico's trade relations with its northern neighbour and pressure from Washington to take a tougher stance vis-à-vis China have not dented flows through the ports of Manzanillo and Lazaro Cardenas this year. Manzanillo, the nation's largest container gateway, handled 2,455,953 teu in the first seven months of the year, an increase of 11.7% The port of Lazaro Cardenas saw a 6% increase in container volume to 1.34m teu in the same period, which helped boost its overall throughput 16% over the first half of 2025, despite an 8% drop in vehicle imports. The following month saw a 7% year-on-year increase in box traffic at the port. APM Terminals Lazaro Cardenas reported 35% growth in its container volume for the first half of the year over the January-June period in 2025, which climbed from 508,506 teu then to 684,599 teu. Over in Manzanillo the Contecon terminal handled 1,022,182 teu in the first seven months of this year, an increase of 20.1%. The port's overall box throughput in this period climbed 11.7% year on year to 2,455,953 teu. Management is gearing up for bigger volumes going forward. Last month Contecon obtained clearance to host vessels with draft up to 15.5 metres, which allows the terminal to handle ultra-large container vessels (ULCVs) up to 23,000 teu, the only terminal on Mexico's Pacific coast cleared for these ships. This calls for matching infrastructure developments on piers, cranes, yards and processes to handle this traffic. Contecon already has some of the necessary pieces in place. In January it took delivery of six super post-Panamax cranes, three of which can move 18 containers across, while the other three can handle ships with up to 22 containers across their decks. Another critical element is to beef up customs capacity to handle such volumes. In late July operations at the port ground to a halt after a downpour resulted in a power outage that took down customs systems, leading to a line-up of some 5,000 trucks on the highway leading to the port. Last year a strike by customs personnel at the port triggered massive disruption that prompted cargo owners to route their traffic over Lazaro Cardenas instead. On the other hand, the Contecon facility handled a record-breaking volume of nearly 4,000 containers in 48 hours on 20-21 August during a spell when opening hours were extended around the clock, supported by extended operating hours for customs. Contecon Manzanillo CEO José Antonio Contreras stressed the investments that had been made in the facility and the co-ordination with customs that made this possible. Customs are also a question mark at Lazaro Cardenas. In April several stakeholders voiced their frustration over inspection delays that kept some containers stuck for up to 30 days, an ordeal exacerbated by storage fees kicking in after 15 days. A year ago truckers staged a blockade of the port over a litany of grievances led by lengthy wait times for customs clearance. And then there are mixed feelings over an initiative by the local branch of ASIPONA, the administration of the national port system, that kicked off in early June. Part of its MX$1.729bn investment programme aims to improve road access to the port through two key infrastructure developments. The lion's share of the project is concentrated on the widening of an alternative route to the port from currently two to four lanes and the expansion of a bridge. Besides expanding existing road capacity, the project aims to separate port moves from local traffic. While this promises better access down the road, there is concern about the impact of the road work on traffic flows to and from the port. ASIPONA has warned that work areas for construction could turn into choke points for cargo flows during the process.

Typhoon-related port congestion keeps intra-Asia rates high and capacity tight

Intra-Asia freight rates rose for the fifth straight week as typhoon-related congestion in China and bottlenecks in transhipment ports Busan, Hong Kong, and Singapore tied up vessel supply. On 3 September, the Drewry Intra-Asia Container Index (IACI) climbed 9% from 27 August, to $1,312 per 40ft, as typhoon-related port disruption tightened available capacity across key Asian trades. Drewry said: "Spot freight rates from China to South-east Asia and South Asia strengthened further this week as Typhoon Saudel disrupted port operations. Shanghai and Ningbo were closed from 26-28 August, adding to congestion that has built following a series of recent typhoons, including Bavi, Noul, Dolphin, and Narra." The operational impact was reflected in vessel waiting times. In Week 35, average waiting times hit 98 hours in Shanghai and 54 hours in Ningbo. Rates on several major intra-Asia routes rose sharply. Shanghai-Busan increased 30%, to $925 per 40ft, while Shanghai-Laem Chabang climbed 28%, to $1,310 per 40ft. Ongoing geopolitical tension in the Middle East also provided upward support, with Shanghai-Jebel Ali rates increasing 6% to $8,254 per 40ft. These trends were mirrored in the Shanghai Containerised Freight Index on 4 September, with the Shanghai-South-east Asia rate up 12% from 28 August, to $893 per teu, and the Shanghai-Busan rate gaining 7%, to $248 per teu. Disrupted berthing schedules in China cascaded to the major transhipment hubs, including Busan, Hong Kong, and Singapore, causing more delays to shippers. With weather-related interruptions and port congestion persisting, Drewry expects freight rates to rise further in the coming weeks. There were also network changes among regional carriers. Japanese operator Kambara Kisen will revise its NK1 service from 22 September, replacing Otaru with Sapporo, on a revised three-week rotation with three 1,091 teu vessels calling at Dalian, Qingdao, Shanghai, Toyama, Niigata, Sapporo, Kanazawa, and Dalian. Rising bunker prices will also add upward pressure to intra-Asia freight rates. The Baltic Exchange yesterday showed very-low sulphur fuel oil prices went up around $30 from last month, to around $850 per tonne, while prices of high-sulphur fuel oil were up around $50, to roughly $660 per tonne, in Singapore and Zhoushan ports.