Hello Club Members! Here is your weekly Dispatch with all the maritime news you need to know to end your week.

A risky salvage operation to rescue the Sounion tanker, attacked by the Iranian-backed Houthis in the Red Sea last month, is set to resume. The tanker, still holding about one million barrels of crude oil, remained on fire but anchored, with no signs of an oil spill as of Friday. The EU’s Operation Aspides confirmed it is ready to provide protection for the vessels involved in towing the Greek-registered ship to a safer location.

The initial towing effort was halted due to safety concerns, but officials now plan to restart the operation in the coming days. Salvage teams face the delicate task of moving the fully loaded tanker, amid concerns that residual explosives may still be active. The Houthis, acting in solidarity with Palestinians, detonated charges on the deck of the ship after their initial attack, further complicating the salvage.

Ukraine accused Russia of using strategic bombers to target a civilian grain ship in the Black Sea, escalating tensions in the region. The Aya bulk carrier, flagged by Saint Kitts and Nevis, was transporting Ukrainian grain to Egypt when it was hit by a Russian missile near NATO member Romania on Wednesday. No casualties were reported, but the vessel sustained significant damage.

The attack, which occurred outside the Black Sea Joint War Committee Listed Area, is the first reported missile strike on a merchant vessel transporting grain in the Black Sea since Russia's invasion began, as well as the first direct attack on a merchant vessel in the region since November 2023. Ukraine’s President Zelenskiy condemned the attack, labeling it a threat to global food security, while U.S. and U.N. also strongly condemned the strike.

The incident comes as Ukraine attempts to maintain grain exports through a new shipping corridor, following Russia's withdrawal from the UN-brokered grain deal. Shipping companies are now advised to increase security measures and remain vigilant as risks in the region escalate.

The South African Maritime Safety Authority (SAMSA) is investigating the appearance of pharmaceutical bottles along the country’s eastern coast, amid a surge in container losses from vessels navigating around the Cape of Good Hope. Bottles containing pills have been found in Port Alfred, Kenton, Cannon Rocks, and Boknes since September 9, 2024.

The development follows reports of nearly 200 containers lost from cargo ships including the MV Benjamin Franklin, CMA CGM Belem, Maersk Stepnica, MV Rio Grande Express, and MSC Antonia, during recent winter storms. The increase in vessel traffic around the Cape, driven by Red Sea diversions, highlights the risks posed by severe winter weather on the route.

A new report by the House Committee on Homeland Security reveals serious cybersecurity vulnerabilities in U.S. ports due to the widespread use of Chinese-made container cranes. Nearly 80% of ship-to-shore cranes in U.S. ports are made by Shanghai Zhenhua Heavy Industries (ZPMC), a state-owned Chinese company linked to the Chinese Communist Party (CCP) and military.

Committee Chairman Mark Green warned that ZPMC’s cranes could act as a "Trojan horse," allowing the CCP to exploit U.S. port technology. The investigation uncovered unauthorized installations of cellular modems on cranes and requests for remote access by ZPMC, heightening security concerns. The findings, which follow similar warnings from the FBI and lawmakers, call for urgent action to reduce dependence on potentially compromised technology.

The major container shipping alliances are revamping East-West liner schedules for 2025, with new partnerships and network plans emerging as the industry grapples with Red Sea challenges. Maersk and Hapag-Lloyd’s Gemini Cooperation and THE Alliance (now soon to be Premier Alliance) unveiled updated service plans along with the world’s largest liner, MSC, which stands to operate independently once its 2M Alliance with Maersk expires in January.

Due to ongoing Houthi attacks, both MSC and Gemini have prepared alternative network plans, offering options for Suez Canal or Cape of Good Hope routes, provide contingency options to help customers navigate uncertain waters in the Red Sea. Industry experts expect the slower Cape route to become the default.

Drewry this week highlighted the reshaped alliance landscape as having two major networks—MSC and Ocean Alliance—and two smaller ones, Premier and Gemini. Despite fewer services, Gemini emphasizes service reliability, aiming for 90% on-time performance.

In a bold attempt to bypass Western sanctions, Russian LNG producer Novatek has sent the non-ice-class Everest Energy through the icy Northern Sea Route, marking the first time a conventional LNG carrier has attempted the perilous passage. The 21-year-old vessel, lacking a permit from Russia’s Northern Sea Route Administration and traveling under a suspended Palauan flag, is part of Russia's growing LNG shadow fleet.

Everest Energy departed from the Arctic LNG 2 project and is currently navigating the Kara Sea towards Asia. Typically, the route has only been used by specialized ice-class vessels for Arctic LNG deliveries. The vessel's journey highlights Russia's push to market its sanctioned LNG to Asia, despite U.S. sanctions that have stalled several carriers.

With drifting ice and no escort, the Everest Energy faces significant risks. Experts warn this represents a heightened danger for non-ice-class ships. As U.S. sanctions tighten, more vessels remain stuck, including others from Russia's shadow fleet, halted by suspended flags and regulatory challenges.

In a remarkable sign of the times, two Chinese containerships passed each other just 750 nautical miles from the North Pole, marking a first for Arctic shipping. The encounter occurred near Novaya Zemlya, with Flying Fish 1, the largest Panamax container ship to navigate the Arctic, crossing paths with NewNew Star. Both vessels are on routes connecting Chinese ports to Russia’s Saint Petersburg.

Flying Fish 1, carrying nearly 5,000 containers, set a new record for the largest containership to traverse Russia’s Northern Sea Route, surpassing NewNew Star just days after its own Arctic record. Operated by Chinese and Hong Kong-based companies, these vessels represent a growing trend of Arctic container shipping, which saw seven transits last summer and is expected to more than double this year. Experts note this could signal a shift toward more regular container shipping in the Arctic during the summer and fall navigation season.

The U.S. Coast Guard's Marine Board of Investigation (MBI) will begin its hearing into the Titan submersible tragedy on Monday. The two-week session aims to uncover the facts behind the catastrophic implosion that killed five people, including OceanGate Expeditions' CEO, during a dive to the Titanic wreck in June 2023.

The investigation faced delays due to salvage operations and forensic testing. Witnesses set to testify include former OceanGate employees, mission specialists, and experts from institutions such as NASA, Boeing, and the University of Washington. Alongside the Coast Guard, the U.S. National Transportation Safety Board and Canada's Transportation Safety Board are conducting separate investigations.

U.S. container imports jumped 12.9% in August compared to last year, as a surge in summer volume caused delays at major ports, according to Descartes Systems Group. Nearly 2.5 million TEUs were processed, just below July's 26-month high. The spike comes as anxiety builds over a potential longshore worker strike on the East Coast and Gulf of Mexico, set for October 1 if contract talks with the U.S. Maritime Alliance fail.

The International Longshoremen’s Association, representing 45,000 workers, remains at an impasse with employers over wages, benefits, and automation. A strike could lead to significant port backlogs, with Maersk warning that even a weeklong stoppage could take 4-6 weeks to recover.

Energy companies in the U.S. Gulf of Mexico are recovering from disruptions caused by Hurricane Francine, which temporarily shut down 42% of offshore oil and 53% of natural gas production. As ports reopen and operations ramp up, the region's output is rebounding. Key hubs like the Louisiana Offshore Oil Port (LOOP) and the Port of New Orleans have resumed normal service, while refineries responsible for 20% of U.S. Gulf Coast fuel production are returning to regular operations.

The Biden administration solidified new tariffs on Chinese imports, including a 100% duty on electric vehicles (EVs), in a move aimed at protecting U.S. industries from China's excess production. Starting September 27, the U.S. will impose a 50% duty on Chinese solar cells, and 25% on steel, aluminum, and key minerals, with additional tariffs on semiconductors and EV batteries by 2025. Despite industry complaints that the tariffs will disrupt supply chains, the White House argues the measures are necessary to counter China's subsidies and overproduction. Some U.S. port operators and medical suppliers received temporary relief from the new duties, with exclusions for pre-ordered port cranes and medical syringes.

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