Newsletter- August 26, 2022
AIR FREIGHT UPDATES
Typhoon Pauses Air, Ocean Freight in Hong Kong, South China
Strong winds and heavy rain from a typhoon barreling through the South China Sea are expected to disrupt air and ocean shipments, as well as local freight delivery, for up to 48 hours from Thursday morning.
The Hong Kong Observatory on Wednesday evening issued a Category 8 typhoon warning for Tropical Storm Ma-on, the third highest alert under the city’s weather system. Read more here.
Belly capacity on its way back to pre-Covid levels, says Lufthansa Cargo
Lufthansa Cargo’s 2022-2023 winter season schedule, effective end-October, will see bellyhold capacity on intercontinental routes at approximately 85% of the pre-pandemic levels, the German carrier told The Loadstar. Read more here (login required).
DOT Suspends 26 US Flights From Chinese Airlines
Twenty-six US-bound flights operated by Chinese airlines have been canceled by the Department Of Transportation (DOT). The move from the federal government body comes amid a row concerning coronavirus. It specifically concerns the measures put in place by China when passengers test positive on arrival in the country. Read more here.
Qantas CEO Rejects Calls To Resign By Bumping Fares Up 20% And Cutting Flights
As commentators and the public digest the massive losses made by Qantas over the last three years, two points stand out. The first is that calls for CEO Alan Joyce to resign are falling on deaf ears, and the second is higher fares are his chosen way out of losses. Read more here.
OCEAN FREIGHT UPDATES
US blocks merger of global container suppliers over market concentration
China International Marine Containers Group Ltd., the largest manufacturer of steel containers used for ocean shipping, has abandoned its intended acquisition of shipping giant Maersk’s refrigerated container manufacturing business after objections from U.S. competition authorities, the Department of Justice said Thursday. Read more here.
IPP beats competition to launch Vietnam’s first all-cargo airline
Vietnam’s first all-cargo airline is about to receive its first freighter and could start operations next month.
IPP Air Cargosaid its first 737-800BCF was “nearly done” after conversion at Guangzhou Aircraft Maintenance Engineering in China, where it has a second aircraft undergoing conversion and two more on the way. Read more here (login required).
INTERNATIONAL BUSINESS – GOVERNMENT UPDATES
4 ways the Inflation Reduction Act could impact supply chains
As its name suggests, the Inflation Reduction Act of 2022 (IRA) signed into law by President Joe Biden earlier this month is designed to reduce inflation, but it also includes $300 billion worth of grants and incentives for clean energy and initiatives to combat climate change.
The goal of the incentives is to accelerate electric vehicle adoption, green ports, increase renewable energy capacity and support products made in the U.S. There are also tax reforms and provisions for health care. Read more here.