On Tuesday, 25th July, a distressing incident unfolded as a severe fire erupted on the car carrier, the Fremantle Highway, which BBN reported on earlier. Tragically, one crew member lost his life, and 22 others were rescued but suffered from breathing problems and burns. The vessel, carrying 2,857 cars, including 25 electric vehicles, has raised significant safety concerns about the transport of products containing lithium-ion batteries.
The growing connectivity, technological advancements, and consumer demand have led to a surge in the usage of lithium-ion batteries and products containing them, such as computers, mobile phones, scooters, vapes, and vehicles. As a result, there has been an increase in related fires, prompting the question: Are lithium-ion batteries considered dangerous goods?
According to the common law, shippers have a strict obligation not to hand over dangerous goods to carriers without proper warning and adequate information to ensure safe handling. This obligation remains even if the shipper was unaware of the potential risks posed by the cargo. Standard contract terms used in the logistics industry generally adhere to a similar approach, emphasizing the shipper’s responsibility in ensuring the safe transport of goods.
However, classifying goods as ‘dangerous’ is not a straightforward task. It requires consideration of various factors, such as the information provided to the carrier, the carrier’s expertise, and whether the goods pose a significantly different or higher risk compared to typical goods of that nature.
Forwarders play a crucial role in the transportation process. Many forwarders portray themselves as specialists within specific industries or cargo types, suggesting they have expertise in handling goods like those containing lithium-ion batteries. By doing so, they assume responsibility for safely transporting such goods and ensuring they remain secure during transit.
The condition of the lithium-ion batteries is also crucial. Forwarders may accept batteries that are in good condition, as they pose minimal risk of fire. However, if the batteries are damaged or faulty, leading to an increased risk of fire, they might be classified as dangerous goods. In such cases, special notifications should be made to ensure proper handling and storage.
Provision of information is vital in the safe transport of dangerous goods. Material Data Safety Sheets (MSDS) play a significant role in this regard. These documents detail the risks associated with the cargo and the necessary measures to take in case of any incident. Unfortunately, the regular use of MSDS is not consistent in the forwarding and supply chain industry.
As lithium-ion batteries continue to evolve, different types with varying properties become available. Some batteries can hold higher charges, while others are safer. Existing safety regulations like ADR, DGR, and IMDG Code need to be updated to reflect these advancements and ensure better safety measures.
In response to increasing reports of fires caused by faulty lithium-ion batteries, some experts suggest implementing mandatory third-party approval for high-risk products. This would involve independent testing and certification of batteries before they enter the supply chain, reducing the likelihood of serious incidents.
As the use of lithium-ion batteries becomes more prevalent, the logistics industry must adapt to handle them safely. Collaborative efforts between shippers, carriers, regulators, and advancements in battery technology will play a crucial role in ensuring the secure transport of these goods.
The incident with the Fremantle Highway underscores the importance of robust safety measures, proper information exchange, and continuous improvements in handling dangerous goods like lithium-ion batteries. As technology advances and global connectivity strengthens, safety remains a top priority in the shipping and logistics industry.
