This Week in Global Logistics – TWIGL

Port of LBBusy June for Port of Long Beach– Container volume jumped 8% at the Port of Long Beach during June compared to last year.  They handled 610,000 TEUS (twenty-foot equivalent units), the busiest June in 7 years.  Some of this increase may also be due to importers rushing their shipments ahead of the ILWU-PMA contract expiration date.

Read more from the Port of Long Beach

FAA Says U.S. Airlines Voluntarily Avoiding Airspace near Russia-Ukraine Border – In the wake of the tragic downing of Malaysia Airlines Flight 17, the Federal Aviation Administration (FAA) explained that U.S. carriers are voluntarily avoiding certain airspace near the Russian-Ukrainian border.  In April, the FAA prohibited flying over the Crimea region citing air-traffic control concerns rather than military dangers.  However, it is believed that Flight 17 was not flying in a restricted area when it was struck by a surface-to-air missile.  The FAA is monitoring the situation to see whether it will revise its guidelines.

Read more from the USA Today

Major Congestion at West Coast Ports – A combination of issues including chassis shortages, ILWU-PMA contract negotiations, intermodal delays and growing cargo volume is causing delays at many terminals throughout the U.S. West Coast.

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This Week in Global Logistics – TWIGL

 

port of los angeles buildingILWU-PMA Take a Break – The International Longshore and Warehouse Union (ILWU) and the Pacific Maritime Association (PMA) released a joint statement announcing that they were taking a 72-hours break from negotiating their contract that governs the U.S. West Coast ports.  During the break, the parties agreed to temporarily extend the contract that expired last week.

Read more from the PMW/ILWU

Truckers Strike at LA & Long Beach – This week, roughly 120 truck drivers went on strike against Green Fleet Systems, Total Transportation Services Inc. and Pacific 9 Transportation Inc. They claim that these companies are preventing workers from unionizing and wrongly classifying them as independent contractors.  The ILWU briefly honored their picket lines before being ordered back to work by an arbitrator.

Read more from the ABC News

San Pedro Revitalization – The $32-millon “Downtown Harbor” has opened in San Pedro as part of a massive revitalization project for the waterfront at the Port of Los Angeles.  The total plan which includes an 8-mile promenade is estimated to cost more than $1 billion and take another 16 years to complete.  The area will host shops, restaurants, festivals and concerts. LA City Councilman Joe Buscaino sees it as a way to bring the surrounding neighborhood closer to the industrial heart of the area, “It brings the water closer to the people.”

Read more from the LA Times

 

This Week in Global Logistics – TWIGL

world cup brazil logo

Food Supply Chain Concerns Ahead of World Cup – Brazilian officials have found and removed over 50 pounds of expired meat, fish, butter and other food stuffs from hotels hosting visiting national soccer teams.  Another 50 pounds of food was disposed of due to inadequate labeling.  Dutch fans can take comfort in the fact that their team’s hotel has passed all inspections so far.  The World Cup starts June 12 in Sao Paulo.

Read more at About Logistics Blog

U.S. Raises Tariffs on Chinese Solar – The U.S. Commerce Department announced new duties ranging from 18.56 to 35.21% for certain types of solar panels made in China.  This industry continues to be a hot topic in global trade as solar manufacturing has shifted strongly to Asia in the last decade.  U.S. manufacturers argue that unfair subsidies and dumping make it impossible to compete.  The European Union (EU) recently agreed on quotas and a price floor for solar products from China.

Read more at NY Times

$1B Budget for Port of LA – The Port of Los Angeles approved a budget this week of almost $1 billion.  The port will be investing heavily in terminal, road, rail and other infrastructure upgrades.  Competition from East Coast ports is expected to grow in 2016 as the Panama Canal expansion is projected to complete.  The canal expansion will allow larger and more cost effective shipping options to reach Atlantic coast ports.

Read more at CBS

 

This Week In Global Logistics

Port of Portland LogoPort of Portland Offers Incentive Payments to Ocean Carriers – The Port of Portland has authorized incentive payments to Hanjin Shipping Co. and other ocean cargo carriers as a final bid to keep them calling at the port. The port will pay $20 per container moved through Portland, plus $25 a container for each increase in the number they transport beyond predetermined levels, up to a total of $4 million for the one-year program. The incentive program has been presented and Hanjin’s decision is expected in five to eight days.

Read more from Oregon Live.

Port of Los Angeles to Improve Drayage Conditions – The Port of Los Angeles is going to start construction on two major roadway projects to make the Harbor Area safer and easier for cargo drayage vehicles to navigate. Construction will begin this month and extend through fall 2016.

Read more from Logistics Management.

New Cargo Clearance Policy in Nigeria – The newly introduced Pre-Arrival Assessment Report (PAAR) has helped to facilitate cargo clearance at seaports and border posts. Chieftain of the Association of Nigerian Licensed Customs Agents (ANLCA) has said that genuine freight forwarders now clear their cargo within stipulated time at a lesser cost.

Read more from Nigeria Trade Hub.

White House Bans Trade of Ivory – The White House has banned all commercial imports of African elephant ivory, including antiques, as well as all commercial exports. The law is motivated by a high demand for ivory in Asia and the Middle East.

Read more from Daily Nation.

This Week In Global Logistics

Port Manatee logoBerth Project at Port Manatee Awarded $6.4 Million – Port Manatee has been awarded $6.4 million in state funding for a berth enhancement project.  The port is positioning themselves for growth due to their close proximity to the expanding Panama Canal.

Read more from The Maritime Executive.

Port of LA Eliminates The ICF – The Los Angeles Board of Harbor Commissions has voted in favor of eliminating the Infrastructure Cargo Fee (ICF). The fee was approved in 2008 to help finance major rail, highway and bridge improvement projects but was never implemented.

Read more from Supply Chain Management Review.

Colombia and Panama Sign FTA – Colombia has signed a free trade agreement (FTA) with Panama after 3 years of negotiations. The agreement formalizes $2.8 billion in annual commerce, establishing measures to limit the traffic of contraband across the border into Colombia.

Read more from Colombia Reports.

Port of Vancouver Begins Second Phase of Rail Entrance Project – The Port of Vancouver has begun the second phase of a $38 million rail entrance project which will be built in four phases. The project is expected to be completed by 2015 and will improve the port’s ability to transport products for U.S. companies.

Read more from RT&S.

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