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LATAM Cargo embraces VR for warehouse staff training

LATAM Cargo has begun using Virtual Reality (VR) technology to train warehouse personnel at its Miami Airport facility. The airline said that the VR technology enables its teams to "practice, manage, and respond to real-time scenarios within a controlled digital environment". In its initial phase, the VR training programme will be used by approximately 550 staff members, including 250 forklift operators. "Unlike conventional training methods, the immersive platform captures precise behavioural metrics, including contingency response times as well as the immediate identification and mitigation of hazards," the airline explained. The simulators feature scenarios across six distinct warehouse pedestrian zones and three specialised modules for forklift drivers. "During training, personnel navigate high-risk procedures such as dangerous goods segregation, cargo handling, pedestrian traffic flow, and machinery separation protocol, boosting their overall situational awareness," the carrier explained. There was an initial rollout of the technology at the Fast Air warehouse in Santiago before the Miami addition, which is described as a "major scale-up, adding broader operational scenarios". The company is currently assessing the expansion of this VR training system to other strategic hubs across its network, including Brazil. LATAM Cargo chief operating officer Daniel Leng said: "Integrating Virtual Reality at our Miami hub marks a key step in our operational safety strategy. By placing our teams in critical operational scenarios within an exact replica of their daily work environment, we significantly close the gap between classroom theory and ramp practice."

Gemini relaunch likely to add to congestion pressure at Khor Fakkan

Gemini may be relaunching connections between the Far East and Middle East this weekend, to restore direct ocean links, but after replacing Jebel Ali calls, Khor Fakkan appears to be showing signs of buckling under the pressure. As reported by The Loadstar yesterday, the relaunched service, marketed as AGX by Hapag-Lloyd and FM1 by Maersk, is set to operate under a revised rotation that sees Khor Fakkan replace Jebel Ali, because of the US-Iran war, but warning signs of congestion have appeared at the Emirati gateway. A Kuehne+Nagel update that Khor Fakkan and Fujairah "taking on a lot of the volumes shifted to ports outside the Strait of Hormuz in recent months" had led to congestion across the UAE's corridors, with the two ports now the "main pressure points in the region". It added: "Through Fujairah and Khor Fakkan, transit times vary by destination, while final-mile delivery and corridor connectivity remain under the control of UAE government-affiliated logistics providers. "However, as congestion in Jeddah decreases, we expect cargo flows to redistribute towards alternative gateways, including Jeddah, Aqaba, and Salalah. Looking ahead, we expect Khor Fakkan and Fujairah to remain under significant pressure in the coming weeks." This was also recognised by Maersk, which said in its latest operational update: "Vessel congestion and limited berth availability at Khor Fakkan, together with high yard utilisation, road congestion and extended truck waiting times, are delaying cargo clearance." Meanwhile, Expeditors has somewhat downplayed the extent of the problem, noting that "UAE gateways remain largely unaffected and outside the Strait risk area", but nonetheless added that Khor Fakkan and Fujairah were "showing signs of congestion". With Gemini's relaunched service scheduled for 17 October, on its Qingdao-Ningbo-Tanjung Pelepas-Khor Fakkan-Singapore-Qingdao rotation, the congestion issues have raised questions as to how beneficial the additional capacity will prove for shippers. Maersk said that it would be relocating some boxes to an inland container depot at Sajja, which it hoped would help ease pressure on the port, while it is planning for the possible redirection of some shipments to Jebel Ali. Even so, cargo arriving at ports still needs to reach its final destination, and hauliers and logistics operators have been crying out for support to provide additional hinterland connectivity, with trucking the most obvious solution. However accessing that capacity has become a key hurdle, with forwarders telling The Loadstar that, since the outset of the war, this capacity was being "hoovered up" by "forwarders with the biggest pockets, rather than shipments with the most need".

Strong US import demand will support transpacific rates till new year

Transpacific container freight rates are likely to remain higher than on Asia-Europe for some time, as stronger economic conditions in the US support import demand and weaker European growth weighs on cargo volumes and freight rates. Evergreen general manager Wu Kuang Hui said the rate divergence had become increasingly pronounced: "strong on US routes, weak on Europe routes". And he said on Friday he expected the stronger US market to continue supporting transpacific rates at a premium to Asia-Europe rates, and there was "no reason to be pessimistic" about the US routes before the lunar new year 2027 as "there are record-high import volumes at several major US ports, low inventory levels, and optimistic consumer demand". US imports from the Far East have grown about 5.1%, but volumes to Europe have increased more rapidly, by 12.2%. However, the weaker European economic backdrop has translated into reduced pricing power on Asia-Europe trades. European spot volumes have increased significantly, but freight rates that surged in April, following the US-Iran conflict, have declined steadily since July. On Friday, the Shanghai Containerised Freight Index showed Shanghai-US east and west coast rates relatively stable, at $10,524 and $7,584 per 40ft, respectively. Shanghai-Europe rates continued to decline, losing 3%, to $2,274 per teu. The gradual return of container vessels to the Red Sea and Suez Canal is adding further downward pressure on Asia-Europe rates by restoring effective capacity. Although geopolitical risks in the Red Sea have not been fundamentally resolved, carriers are increasingly resuming the routings. By contrast, transpacific capacity remains supported by robust US import demand. Mr Wu noted that US spot rates were significantly higher than negotiated rates in Q4 last year, and expects long-term contract prices next year to exceed this year's. Potential US tariff adjustments could provide additional support. Mr Wu said: "Importers could receive about $160bn in tax rebates, potentially allowing lower end-product prices and higher inventory levels, which could stimulate further imports. "The US outlook is not without risks. A potential inflation-driven interest-rate hiking cycle could eventually weaken terminal demand, making the second quarter of next year less certain. Nevertheless, we expect the near-term outlook to remain favourable." Meanwhile, congestion is helping absorb capacity across both trades. Singapore's port utilisation has exceeded 90%, while severe congestion at Shanghai and Ningbo has contributed to vessel bunching and schedule delays. Evergreen's strong market outlook comes amid a sharp increase in the carrier's revenue. In September, consolidated revenue reached TWD49.7bn ($1.56bn) up 64% year on year, while cumulative revenue for the first nine months of 2026 rose 15%, to TWD338.4bn ($10.61bn). Mr Wu said booking conditions through November were expected to remain favourable, followed by another seasonal increase in December, ahead of Chinese New Year. Evergreen operates 242 vessels with capacity of 2.04m teu, giving the seventh-largest shipping line a 5.9% market share. The Taiwanese operator plans to expand the fleet to around 290 vessels, 2.74m teu, by 2030.