Newsletter January 27, 2022

AIR FREIGHT UPDATES

High demand for freighters predicted to continue beyond Covid

aircargonews.net
Strong demand for production and converted freighter aircraft will continue beyond the end of the Covid pandemic, according to speakers at the World Cargo Summit.
During a panel discussion, participants were asked by moderator Tom Crabtree of Boeing Commercial Airplanes whether the end of the Covid pandemic would equate to the end of the freighter boom that the sector has experienced over the last two years. Read more here.

How The FAA Is Addressing 5G Interference With The 747 And 777

simpleflying.com
The Boeing 747-8, 747-8F, and 777 airplanes are not yet out of the woods in the 5G interference issue at some US airports. The latest directive by the Federal Aviation Administration (FAA) raises questions about the safe functioning of critical instruments of these airplane types at affected US airports and suggests changes in the airplane flight manual (AFM). Read more here.

Air Canada to expand Frankfurt cargo handling capacity

aircargonews.net
Air Canada Cargo will expand its handling operation in Frankfurt as it continues to roll out its freighter network.
The airline, which launched freighter flights late last year, will increase its handling capacity at the German hub by 35% in preparation for the start of service to the airport by its Boeing 767-300ER freighters later this year. Read more here.

OCEAN FREIGHT UPDATES

Capacity shortage on intra-Asia pushing up rates and manufacturing costs

theloadstar.com
Reduced container shipping capacity on intra-Asia tradelanes has led to fewer sailings, higher rates and increased manufacturing costs.
As The Loadstar reported yesterday, shipping lines have deployed as much capacity as possible on the more-lucrative transpacific and Asia-Europe trades, leaving intra-Asia capacity down 11% and with 331,000 fewer slots than in 2020. Read more here (login required).

Ports of Los Angeles, Long Beach looking at new carrier incentive to clear empties

splash247.com
Along with John Porcari, the Biden administration’s port envoy, the ports of Los Angeles and Long Beach are exploring a new strategy to move empty containers – which comprised 47% of containers at the Port of Long Beach on January 25 – off their terminals. A project working group includes carriers and terminal operators. Read more here.

Force Competition in our Marine Sector

ciffa.com
On Monday January 31st the federal government will convene a summit to discuss supply chain frustrations with a wide variety of participants.  Despite the odds against rapid success, it’s a welcome effort.
The stubborn supply chain mess affects virtually every consumer and community. And although the problems are certainly international, there are things that can be done right here in Canada, to improve the situation. Read more here.

Soaring bunker prices tipped to clear out older tonnage

splash247.com
Bunker prices, already the highest they’ve been since 2012, are widely tipped to remain at severely elevated levels all year, leading to a greater swathe of the world merchant fleet deciding to slow steam where possible and forcing the hand of many vintage units towards demolition. Read more here.

GROUND AND RAIL FREIGHT UPDATES

Canadian National Railway Co. names Tracy Robinson as new chief executive

energeticcity.ca
MONTREAL — Canada’s largest railway has named a longtime former rival as its new president and CEO to succeed embattled chief executive J.J. Ruest as the company looks to build on a profitable year that nonetheless saw major hurdles.
Tracy Robinson — the first woman to helm the company in its 103-year history — will step into the top spot on Feb. 28 as Ruest departs following the failed takeover attempt of U.S. railway Kansas City Southern last year. Read more here.