Volume 85 No. 5
May 2021
“The Voice of Port Industries” @VAmaritime
RECORD-BREAKING! 1300-FT CMA CGM MARCO POLO CALLS VIRGINIA PORTSMOUTH | On Sunday, May 23, 2021, the CMA CGM Marco Polo berthed at Virginia International Gateway, one of the six container terminals managed by the Virginia Port Authority. At 1,300-ft in length and with a 177-ft beam, never before has a vessel of its size traversed Virginia’s channels. “Today, as The Port of Virginia welcomes the largest container ship to call the East Coast of the United States, we are witnessing Virginia’s economy in action,” said Secretary of Transportation Shannon Valentine. The term “ultra large container vessels” (ULCV), ships able to carry over 10,000 TEUs with lengths greater than 1,200-ft and beams greater than 150-ft, started being used more frequently in the region following the 2017 arrival of the first ULCV to call Hampton Roads, the COSCO Development. To compare the sheer sizes of these vessels, the COSCO Development came in at 1,200-ft long and 158-ft wide with a capacity of 13,093 TEUs, whereas the CMA CGM Marco Polo can carry 16,022 TEUs.
CMA CGM Marco Polo pulling up to VIG dock. Photo courtesy of Virginia Port Authority
Since the COSCO Development, vessels keep breaking the record for largest size and/or load to arrive in Virginia; CMA CGM Theodore Roosevelt, EVERGREEN M/V Triton, CMA CGM Brazil, and now the CMA CGM Marco Polo. What does this type of trend mean for our port? ULCVs are going to keep coming, which is why groups like the Virginia Maritime Association, the Virginia Port Authority, and other port stakeholders have been advocating for wider, deeper, and safer channels. Upon completing this dredging project, the channels will be widened up to 1,400-ft and deepened up to 59-ft in the ocean approaches.
Shannon Valentine, VA Secretary of Transportation, speaking
“This vessel’s size highlights the importance of our channel widening and deepening project,” said Stephen Edwards, CEO and Executive Director, Virginia Port Authority. “By 2024, Virginia will have the widest, deepest and safest commercial channels and harbor on the US East Coast. Our channels will be 55 feet deep and wide enough for safe passage of two-way traffic of vessels this size and bigger. Our target depth will create the necessary bottom-clearance for these ships to load heavy and safely without tidal restrictions.” “Breaking the East Coast’s big-ship record wouldn’t be possible without partners like The Port of Virginia who have made timely infrastructure investments that enable us to proactively serve our customers,” stated Ed Aldridge, president of CMA CGM and APL North America.
INSIDE THIS EDITION h MIC Golf Classic Scores (2) h VMA Commemorative Book (2)
Stephen Edwards and John Milliken of the Virginia Port Authority with Ed Aldridge President CMA CGM (America).
h A Case for Infrastructure (3)
h National Maritime Day (4)
h Prime 3 Duo Develop Software to speed up shipping logistics (3)
h Newport News Shipbuilding Apprentice School Associate Degree (4)
1
MIC GOLF CLASSIC SUFFOLK | VMA hosted its annual MIC Golf Classic fundraiser for the Maritime Issues Council on May 13, 2021 at Cedar Point Country Club. OFFICERS Chairman of the Board Scott Wheeler President Michael W. Coleman Vice Presidents George Brown Lang Williams Rolf A. Williams Executive Director & Secretary David C. White Treasurer Judy M. Barrett Assistant Treasurer Camille Cherry STAFF Vice President of Finances & Administration.............................. Sam Davis Vice President of Industry & Government Affairs....................... Will Fediw Director of Membership Development...............................Kristen Ward Executive Assistant................ Jennifer S. Deason Event Manager & Accounting Assistant............ Jennifer N. Parham Marketing Coordinator.................. Laura V. Bird Membership & Publications Coordinator...................... Susan N. Wisniewski For Questions about the Bulletin or Advertising laura@vamaritime.com - 757.628.2667
The MARITIME BULLETIN is provided through membership. Contact laura@vamaritime.com to Advertise in the Next Bulletin!
Follow Us on Social Media:
@VAmaritime
2
Award
Player(s)
Best Overall
1st Flight
Jorge Marrero, Scott Edwards, Ed Sisler, & Phil Mullen
First in Flight
2nd Flight
Tracy Gregorio, Greg Gregorio, Lou Sally, & Dale Schuurman
First in Flight
3rd Flight
Bob Gustafson, Hank Llewelyn, Sean Jimenez, & Robert Cave
Closest to Pin
Hole #5
Chad Cherry, 5’1”
Closest to Pin
Hole #9
George Corbus, 7’1”
Closest to Pin
Hole #12
Greg Gavin, 4’1”
Closest to Pin
Hole #16
Captain Waighstill Avery, 12’1”
Longest Drive
Hole #6
Art Moye, Jr.
Longest Drive
Hole #17
Jorge Marrero
100TH ANNIVERSARY COMMEMORATIVE BOOKS RELEASED In honor of our rich history, the Virginia Maritime Association has produced a celebratory Commemorative Book. This 64-page “coffee table” book provides a descriptive account of the accomplishments and evolution of Virginia’s port; historic photos and industry-related artwork; a timeline of notable milestones for the association and our supply chain industries over the past century; congratulatory letters from political leaders; celebratory messages from sponsors; and more! The Commemorative Book is a limited edition, however, all VMA members received a copy at time of distribution. An “Abridged” edition was also released with the April 12th publication of Inside Business, sharing our rich history and strengthening our connection with the public.
A CASE FOR INFRASTRUCTURE Cargo volumes are growing, ships are getting bigger, and with workers in demand more than ever, improving infrastructure is a key factor in keeping commerce flowing steadily through the port. Regional leaders from Hampton Roads, as well as legislators, have been pushing for investments into maritime-related infrastructure projects that will benefit the entire Commonwealth, surrounding states, and even the nation. On May 7, 2021, Senator Mark Warner met with regional authorities in a roundtable discussion about expanding the Hampton Roads Bridge-Tunnel, Interstate-64, public transit offerings, shipbuilding, offshore wind development, broadband, and cargo going through the port. The regional leadership made it apparent that all these projects are interconnected, impacting all sectors of the Commonwealth’s supply chains, and ultimately its economy. Dredging the channels allows for bigger vessels, two-way navigation, and bringing in more cargo; wider highways allows for smoother traffic, helping cargo reach distributors; more shipbuilding jobs will affect local traffic and create pressures on public transit; the offshore wind industry is creating a demand for its own local supply chain; and all regional operations have to contend with rising sea levels. “Without major assistance, widening 164 wouldn’t occur until 2045 and widening I-664 at Bowers Hill wouldn’t occur until 2038,” explained Kevin Page, executive director of the Hampton Roads Transportation Accountability Commission. Funding
these projects would support more traffic to and from the port as it brings in more cargo. Virginia legislators have also been pushing to quickly implement a long-term $21 billion plan to improve in-house shipyards, built into the $25 billion SHIPYARD Act. The $21 billion funding would support the Navy’s 20-year Shipyard Infrastructure Optimization Program (SIOP) for its four shipyards, including Norfolk Naval Shipyard. $4 billion would be allocated for the private ship builder and repair companies that maintain the U.S. Navy fleet. “Virginia’s public and private shipyards are crucial to strengthening our national security,” said Senator Tim Kaine. “This legislation would ensure that our sailors, shipbuilders, and ship repairers have the most up-to-date tools, equipment, and facilities to ensure our Navy remains ready to protect our nation.”
Sen. Mark Warner met with regional leaders at Virginia International Gateway to discuss infrastructure. (Photo by Josh Reyes/The Virginian-Pilot)
PRIME 3 DUO DEVELOP SOFTWARE TO HELP SPEED UP SHIPPING LOGISTICS VMA Members Kevin Speers and Chris Ruddick of Prime 3 Software have partnered up to develop Splyc, a program designed to connect and automate data flow between two operating platforms, such as data from a container port’s terminal operating system (TOS) and delivering it to a drayage carrier’s transportation management system (TMS). “Splyc normalizes the information so it works with the integrations we have and will build out,” explained Ruddick, the company’s chief technology officer.“We take the port’s API information and make it more actionable for the user on the other end.” They explained that their goal is to let a business keep using
the TMS or TOS they invested in and not have to turn it into a data sharing platform. Splyc would only access the application programming interface (API) from the TOS and deliver that data into the TMS. In the past year, consumer demand has resulted in congestion at ports, rail terminals, and warehouses. A program like Splyc could have eased some of those logistics challenges as it provides all parties the status of a container sooner, allowing them to react faster, creating “velocity.” “Velocity creates capacity. That’s huge at this time when terminal capacity is so constrained,” said Speers. Continue Reading on Page 4
3
NEWPORT NEWS SHIPBUILDING APPRENTICE SCHOOL OFFERS ASSOCIATE DEGREE NEWPORT NEWS | Associate of applied science degrees are now available through the Newport News Shipbuilding Apprentice School. The school, approved to operate as a post-secondary higher education institute since 2020, offers 26 programs including technical operations, welding, and nuclear test technicians. “We’re proud to expand our competitive skills training and leadership program to offer academic degrees to apprentices,” said Latitia McCane, director of education at The Apprentice School. “This historic achievement is a natural progression to the investment in workforce development we have made to recruit, train and develop the next generation of shipbuilders.” The associate degrees will be granted to graduating apprentices in 2023.
DATA FLOW SOFTWARE (CONT.)
NATIONAL MARITIME DAY NORFOLK | National Maritime Day, May 22, is a time honored tradition recognizing the workers in the maritime industry for their impact on America’s economy and national security. The date commemorates the voyage of American steamship Savannah from the U.S. to England in 1933, the first successful crossing of the Atlantic with steam propulsion. In Norfolk, VA, the Propeller Club, Port of Norfolk, celebrated the holiday on May 21 with club members and others in the maritime community. The outdoor, socially distanced celebrations includes a traditional wreath laying to honor mariners of both past and present, a variety of speakers, and the announcement of the Virginia Ship Repair Association’s Tradespersons of the Year. This award recognizes “the best of the best” in ship repair each year. For 2020, the award went to Danual Pearce of Colonna’s Shipyard (Junior Tradesperson) and to Heng Hy of BAE Systems Norfolk Ship Repair (Senior Tradesperson). “Our industry achieves amazing results,” said Stephen Edwards, CEO and executive director of the Virginia Port Authority, just before he joined Captain Whiting Chisman, president of the Virginia Pilot Association and Ken Kimball, president of the Norfolk Propeller Club, aboard a Pilot Vessel for the wreath laying ceremony. “We show gratitude and thankfulness today for all that the [mariners] have done for us,” said Kimball.
Splyc’s system uses “low-code” in its design, which allows users to configure the tool without having any programming knowledge. This design benefits those with operational expertise, but perhaps limited software engineering experience. Users can expect an intuitive, visually oriented flow based on widgets to create customized information flows. “It goes beyond integrations,” Speers said. “We’re structuring workflows behind it. Your container is ready for pick up, and that’s the domino that triggers other processes. And you have a way to design the workflow and control it. You don’t need to be a coder to use it. It’s designed for a lot of people to be comfortable using it.”
4
Ken Kimball, Capt. Whiting Chisman, and Stephen Edwards honoring mariners by laying a wreath of flowers into the harbor
VESSELS BY TYPE Apr-21
YTD-21
Arrive
PORT OF HAMPTON ROADS TEU’S Apr-20
Arrive
TOTAL TEUS: PAST SIX MONTHS
YTD-20
Arrive
Arrive 300,000
20
59
13
Last Year
50 280,000
COAL
30
120
29
138 260,000
CONTAINER
115
457
105
417
GENERAL
14
39
9
29
PASSENGER
0
0
0
0
RORO
10
30
9
36
TANKER
8
TOTAL
197
38
8
743
240,000
220,000
200,000
180,000
NOV
DEC
719
FEB
MAR
April
4- Month
2021
286,405
1,085,414
2020
207,244
861,609
49
173
JAN
APRIL
PORT STATISTICS | APRIL 2021
Current (2021)
BULK
Source: Virginia Port Authority
ULTRA LARGE CONTAINER VESSELS (ULCV) 13
ULCV
38
11
25
COMMERCIAL PRINTER
DISTRIBUTION OF COAL DUMPINGS
HAMPTON ROADS REGION (IN NET TONS OF 2,000LBS)
COAL DUMPINGS: PAST SIX MONTHS Current (2021)
Full-Service YOUR
Last Year
2900000 2700000 2500000 2300000 2100000 1900000 1700000 1500000
NOV
DEC
JAN
FEB
MAR
APR
Apr-2021
**4 month 2021
Apr-2020
4 month 2020
TOTAL
2,250,348
8,729,947
2,279,347
10,571,268
NS
585,680
2,989,680
763,129
4,592,493
Pier IX
460,462
1,608,976
295,873
1,708,449
DTA
1,204,207
4,131,291
1,220,346
4,270,325
Contact PHIL
JONES
PhilJones@jones-printing.com
Source: Coal figures compiled by coal terminals & third party sources
5
ASSOCIATION IN ACTION In April, President Biden introduced his American Jobs Plan and American Families Plan. At the time of introduction, the American Jobs Plan requested $2.3 trillion over eight years to modernize the nation’s infrastructure. This infrastructure plan includes roads, bridges, and ports, but also addresses resiliency, the climate crisis, broadband access, waterways, and housing. The American Families Plan requested $1.8 trillion to address “human infrastructure” and contains proposals on free education, direct support to children and families, and the extension of tax cuts for families with children and American workers. Anticipating Congress would begin focusing on infrastructure, as early as January, the VMA initiated discussions with other organizations about developing a comprehensive regional infrastructure package inclusive of port, waterway, and related freight movement projects. A coalition of influential organizations was formed, and during April, the VMA spent much time working as part of this coalition to build support for the regional infrastructure package from members of the Virginia Congressional Delegation. April was another month during which VMA placed a heavy emphasis on our work and partnerships to position Virginia to become a hub for offshore wind. This included our participation on a task force led by Dominion Energy, the Virginia Offshore Wind Development Authority, the
Commonwealth’s Offshore Wind Task Force, and the inaugural meeting of the Virginia Beach Mayor’s Commission on Offshore Wind. VMA was also pleased to partner with the Hampton Roads Alliance to hold a virtual event to connect member companies Nexans and Seaway7 with potential suppliers and subcontractors to support their work on offshore wind projects. Having been successful in securing initial funding from the General Assembly to implement Virginia’s International Trade Strategic Plan, VMA participated in the April 6 meeting of the Advisory Committee for International Trade (ACIT) to discuss plans for expanding the state’s capacity to support the export capabilities and supply chains of more Virginia businesses. On April 20, the ACIT also had a very engaging and productive discussion with Senator Mark Warner about coordinating the state’s trade promotion programs with federal trade programs and priorities. On April 26, the Elizabeth River Project coordinated a discussion about the environmental impacts of shallow water dredging projects. It included regulators, environmental interests, and maritime industry representatives. VMA was included on the agenda to make a presentation about the economic significance of these projects.
COMMITTEE UPDATES EDUCATION & TRAINING COMMITTEE (4/1): A presentation was given on the Academy Program of Hampton City Schools, to Include the Maritime Academy and Transportation, Analytics, Information, & Logistics (TRAIL) Academy, followed by a discussion on connecting the Academies with regional colleges and universities, as well as maritime employers for further collaboration. The discussion was continued on the need for increased internships in the region, both in the workforce development and highereducation spaces; a subcommittee will be convened to explore further. The discussion was also continued on a potential VMA non-credit learning certificate program, as they may be viewed by industry as having more value for specific skill set/niche learning and speed to market; a subcommittee will be convened to explore further, specifically targeting the warehousing & trucking sectors.
6
SHIP OPERATORS & AGENTS COMMITTEE (4/6): The Virginia Pilot Association led a discussion on a proposed amendment to the PPCV/ULCV Guidelines, which would improve vessel traffic efficiencies. Additionally, the Committee
was briefed on NOAA’s June 2020 assessment of the North Atlantic Right Whale Vessel Speed Rule. The Committee was also briefed on a recent discussion regarding potentially providing vaccines for vessel crews at berth. Finally, there was a discussion on the planned widening and deepening of Anchorage F. MEMBERSHIP (4/13): The Membership Committee launched the next round of care calls and once again discussed the their importance. As we move back to in-person events, it is important for the committee to be aware of all the upcoming events that members could start to attend in-person. The committee reviewed the upcoming events calendar which included the MIC Golf Classic, a Maritime Mixer, Regional Chapter events and a save the date for the International Trade Symposium in the Fall.
Photo : courtesy of Colonna’s Shipyard
ANCHOR UPGRADE VIRGINIA ECONOMIC DEVELOPMENT PARTNERSHIP Government: City, State, Federal PLATINUM ANCHOR 901 E. Cary Street, Suite 900 Richmond, VA 23219 www.exportvirginia.org h Stephanie Agee Vice President, International Trade (804) 545-5752
NEW MEMBERS EIMSKIP LOGISTICS Warehouse 1424 Baker Road Virginia Beach, VA 23455 www.eimskip.com h Gylfi Aron Gylfason Vice President (757) 663–3893 ggyl@eimskip.com
PHOENIX INTERNATIONAL HOLDINGS, INC. Underwater Hull Services 2115 Springfield Avenue (23523) Norfolk, VA 23523 www.phnx-international.com
W. M. JORDAN COMPANY Construction Managers/General Contractors 11010 Jefferson Avenue Newport News, VA 23601 www.wmjordan.com
h Christopher G. Williams General Manager
h Brandon C. Knight Business Development Manager
(757) 855–7516
cwilliams@phnx-international.com
(757) 596–6341 bknight@wmjordan.com
sagee@vedp.org
ADDITIONAL REPS
VA PORTS ANNUAL 2021
NEWPORT NEWS SHIPBUILDING Shipbuilding, Ship Repair and Maintenance, Drydocks 4101 Washington Avenue Newport News, VA 23607 www.nns.huntingtoningalls.com
The 2021 Edition of the Virginia Ports Annual is now available!
h Brett E. Cash Manager, Strategic Sourcing (757) 534–3980
Print copies have been mailed to members. To read it online, visit:
brett.cash@hhi--nns.com
www.VAmaritime.com/ PortsAnnual
CHAPTER UPDATES JOINT VIRTUAL CHAPTER MEETING On Tuesday, May 11th, VMA’s regional chapters met jointly to discuss the importance of Virginia’s agriculture and forestry industries and international trade. Keynote speaker, Brad Copenhaver, Deputy Secretary of Agriculture with the Office of Governor Ralph Northam, discussed how the industry is performing, the challenges the sector is facing, products experiencing exponential growth, and opportunities for business. Brad Copenhaver, was also joined by Charles Green, Deputy Commissioner with the Virginia Department of Agriculture and Consumer Services (VDACS), and Rob Davenport, Director Division of Marketing and Development with VDACS. Attendees also received an update from the Port of Virginia by Kara Matzko, Senior Manager Mid-Atlantic & Strategic Accounts Relations with Virginia International Terminals, LLC.
7
PRESORTED STANDARD U.S. POSTAGE PAID NORFOLK, VA PERMIT NO. 1930
P.O. Box 3487 Norfolk, Virginia 23510
CLUB CONTACTS: Customs Brokers & Int’l Freight Forwarders Assn. Tiffany Coffey • tiffany.coffey@jas.com Hampton Roads Coal Association Blair Priest • 757-668-1510 www.hrcoal.org Hampton Roads Global Commerce Council Melinda Mathews • 757-217-5249 www.hrgcc.org
Hampton Roads Traffic Club Dennis Wilson• 757-543-1941 www.HamptonRoadsTrafficClub.org
Tidewater Motor Truck Association Marguerite Frier • 757-558-7614 www.tmtava.org
Propeller Club - Port of Norfolk Camille Crofton Cherry www.PropellerClubNorfolk.org
Virginia Ship Repair Association Sylvia Bell • 757-233-7034 www.VirginiaShipRepair.org
Shenandoah Valley Traffic Club Chad Brant • 540-398-9923
Virginia International Business Council www.vaibc.org
DISCOVER UPCOMING EVENTS AT VAMARITIME.COM/EVENTS
VMA CHAPTERS
STOP BY OUR SOCIALS! CENTRAL
SOUTHERN
6/9
6/9
RICHMOND
VALLEY
Anchor Members P L AT I N U M A N C H O R S
DANVILLE
Bay Diesel & Generator
SOUTHWEST
CV International, Inc.
GOLDEN ANCHORS Vandeventer Black LLP Greater Richmond Partnership, Inc. VHB T. Parker Host Virginia Pilot Association S I LV E R A N C H O R S
6/9
WINCHESTER
6/9
WYTHEVILLE
SIGN UP: VAMARITIME.COM/EVENTS
8
1st round is on us! Feel free to bring a guest
AdvanSix CP&O, LLC Avangrid Renewables Enviva Kitty Hawk Offshore Wind Great Lakes Dredge & Dock BDO USA Marine Oil Service, Inc. Capes Shipping Agencies Norfolk Oil Transit CMA CGM America (LLC) Pender & Coward, P.C. Colliers International SeaGate Terminals, LLC Corman Kokosing SunTrust Bank, Truist Construction Company
Técnico Corporation Tidewater Staffing, Inc. TMEIC Corporation Universal Leaf Virginia Business VA Dept. of Energy Western Fumigation