Forwarder focus: Shippers reconfigure supply chains as forwarders ...

Shippers have been reshuffling their supply chains since the most recent tariff unrest began and freight forwarders have had to adjust to the new business landscape. After confusion in the first quarter, to a wait-and-see approach in the second quarter, many shippers paused shipments during the second quarter to better understand what the continued deluge of tariffs means for their supply chains. "Some customers have paused or reduced their purchases from suppliers in China in order to reduce their tariff exposure, causing ocean bookings out of China to decline in Q2," CH Robinson chief executive and president Dave Bozeman told analysts in April. Indeed, after front-loading shipments ahead of the 2 April announcement of reciprocal tariffs, many shippers paused shipments to draw down existing inventories, which, according to shippers, were enough to carry them for at least two months. However, the tariff rollercoaster took off again. Seven days after the reciprocal tariffs announcement, the US government announced a 90-day pause for most of the reciprocal tariffs, and then a couple of weeks later announced that tariffs on China would be lowered from 145% to 30%. With the softening of Chinese tariffs and the 90-day pause, shipping between China and the US appears to be picking up, according to Hapag-Lloyd's chief executive, Rolf Habben Jansen. He told analysts in mid-May: "We have seen over the last couple of days that bookings have been up more than 50% compared to what we saw over the last four weeks, and they are also up in double-digit percentages compared to the period before the tariffs." These shipments are likely those that were originally paused by shippers. How long the boon in shipments lasts beyond the 90 days remains to be seen, but it's expected that shippers will hit the pause button again if there is another adverse change in tariffs. For forwarders, this wait-and-see approach by shippers, of course, will impact their revenue and volume, particularly on trade lanes that are most impacted by tariffs, such as China to the US. But trade lane shifts are occurring and perhaps forwarders' Q2 revenue and volumes will not be as negatively impacted as once feared. Kuehne+Nagel's (K+N) chief executive Stefan Paul told analysts during the company's earnings call on 24 April: "There is a clear shift into Southeast Asia. Whether it's 1:1 for the second quarter or there is a slight decrease in volumes, we cannot yet confirm. But the pattern shows that it is almost equal and that the volume will not collapse." The reconfiguration of supply chains is becoming more complex, which, in turn, "significantly increases logistics costs" and is "good for us", according to DHL Group's Tobias Meyer. Relationships between forwarders and shippers are even more important as shippers diversify sourcing locations beyond China. Forwarders often serve as trade consultants and move alongside shippers as shipping patterns change. As noted by CH Robinson's Bozeman: "Prior to the pandemic, approximately 35% of our ocean and air volume in Global Forwarding was generated from the China to US trade line. In 2024, that percentage declined to less than 25% due to higher growth in trade lines serving Europe, Southeast Asia, Oceania, and India." In addition, forwarders are valued for their customs knowledge and expertise. "The constant changes in trade regulations since the beginning of 2025 are adding complexity to the customs declarations process, making compliance with regulations increasingly challenging," noted Expeditors International's chief executive Daniel Wall in the company's first quarter earnings 8 May press release. CH Robinson's chief financial officer Arun Rajan further noted that the company had seen "an increased interest with our customers" regarding customs activity. As forwarders strive to maintain strong relationships with their customers during this turbulent time, they are also finding that their own market is changing. The biggest change, perhaps, is DSV and DB Schenker officially became one entity in April, after receiving the last of the required government approvals. "With this acquisition, we become a world-leading player in global transport and logistics, at a time when global supply chains are more in focus than ever before, and our customers need a reliable and agile global network of services and products," DSV Group chief executive Jens Lund said in an 30 April press release. While the DSV-DB Schenker acquisition is the largest, there are other forwarding acquisitions that are targeting niche services and new geographies as a result of global trade changes. Among the other forwarder acquisitions during Q2 are: As forwarders help shippers manoeuvre a quickly changing global trade landscape, forwarders are also finding their market changing through acquisitions. The DSV acquisition of DB Schenker has propelled DSV to the top of the largest freight forwarders' lists, but other acquisitions within the freight forwarding market are expanding forwarders' capabilities and geographic reach to assist shippers in their supply chain reconfigurations.

New cargo terminal opens at Jordan's Queen Alia International Airport

A new cargo warehouse at Queen Alia International Airport (QAIA) in Jordan has officially opened as the country looks to build up its logistics capabilities. The new terminal is located around 30 km south of Jordan's capital city, Amman, and will be operated by Aviation Handling Services (AHS) Jordan and Menzies Aviation with equipment from Lödige Industries. The terminal measures 8,000 sq m and will increase the handling capacity to 60,000 tons per year. The cargo terminal will "significantly strengthen Jordan's position as a major logistics hub in the Middle East", the partners said in a press release. "AHS Jordan's mission is to transform the cargo terminal at Queen Alia International Airport into a leading hub for regional and international trade," said Dominique Ceulemans, managing director at AHS Jordan. "To achieve this goal, we rely on advanced automated handling technologies from market leader Lödige Industries to streamline cargo processes, create a safe working environment and meet the growing demands of our customers now and in the future." The delivered systems include a fully automated storage system for 136 Unit Load Devices (ULDs) with an Elevating Transfer Vehicle (ETV) to ensure reliable, fast and efficient storage and retrieval processes. It also features ergonomic construction/break workstations (EWS), storage racks to maximise shipping capacity and a ULD control system for seamless monitoring with material flow management in conjunction with a Cargo Management System from Menzies. "It is a great honour for us to be the cargo handling technology partner for this ambitious project, and we are extremely proud to support AHS/Menzies in the Kingdom of Jordan in achieving their future goals and improving their cargo capacities", said Guy Walker, managing director of Lödige Systems Middle East. Work on the terminal started in February 2022 and was finished in July 2024, with operations commencing earlier this year.

Hellmann expands its express airfreight offering

Hellmann Worldwide Logistics is expanding its digital airfreight express solution, HEX, to North America with plans to roll the product out in further countries later this year. The forwarder said that the door-to-door HEX solution, which is already live in Germany, the UK and Ireland, will be added to its US and Canada operations at the end of June. In the latter half of the year, Hellmann has plans to expand HEX to additional countries in the Americas as well as numerous markets in Asia Pacific, India, the Middle East, Africa and Europe. The goal is to offer this product in around 50 countries by the end of 2026. The service is tailored for small and medium-sized businesses and uses courier networks to bundle shipments centrally, with customs clearance managed by the express carriers. "The service is particularly valuable for imports to the US in view of the current US customs policy updates," Hellmann said in a press release. The platform offers companies access to globally negotiated terms and conditions, removing the need for individual contracts with courier, express and parcel service providers. It also offers real-time shipment tracking, detailed analysis, and booking and invoicing processing via a central digital user interface, developed by software firm Shipsy. "HEX offers our customers an innovative solution that combines cost savings, reliability and excellent customer service," said Timo Schamber, global airfreight vice president at Hellmann. "The cross-carrier customer service benefit is especially notable in the volatile and often fragmented courier and express services sector, where customers can use a single, dedicated contact person for all their needs." Soham Chokshi, Shipsy's co-founder and chief executive, added: "By integrating our capabilities into Hellmann's Express product, HEX, we are not only enhancing visibility and control across the shipment lifecycle but also ensuring seamless coordination across multiple geographies and stakeholders."