|
Summary for April 28, 2014 through May 2, 2014:
|
Monday, April 28, 2014 Top StoryCanada's new rail safety rules require replacement of thousands of railcars
In order to protect communities along railway lines, Canada's Minister of Transport on Wednesday announced new measures to further strengthen Canada's regulation and oversight of rail safety and the transportation of dangerous goods. "As the Minister responsible for Canada's transportation system, I am committed to making our country a model of world class safety," said Minister of Transport Lisa Raitt in the statement. "The measures I am announcing today improve the safety of the railway and transportation of dangerous goods systems from coast to coast to coast." Effective immediately, Transport Canada said it will remove the least crash-resistant DOT-111 tank cars from dangerous goods service and will mandate DOT-111 tank cars that are used to transport crude oil and ethanol that do not meet the standard (published January 2014 in Canada Gazette Part I) to be phased out or refitted within three years. About 5,000 DOT-111 tanker cars are to be removed from Canadian railways within 30 days, according to Canada.com. Another 65,000 DOT-111 cars must be removed or retrofitted within three years, and Raitt said the industry will foot the bill. "The prime minister was very clear in the speech from the throne about the principle that 'the polluter pays' is very important," said Raitt, "and that we want to ensure that we have a robust liability and compensation scheme in place so that the taxpayer is not the one who at the end of the day is hung for actions attributable to industry." Transport Canada has also issued a protective direction requiring railway companies to establish Emergency Response Assistance Plans for crude oil, gasoline, diesel, aviation fuel, and ethanol. Plans will be required for trains that have even a single tank car loaded with one of the flammable liquids. The agency will also create a task force that brings stakeholders such as municipalities, first responders, railways and shippers together to strengthen emergency response capacity across the country. It will also require railway companies to reduce the speed of trains carrying dangerous goods and implement other key operating practices. The Government of Canada has invested $60 million to support response and recovery efforts in Lac-Mégantic and committed up to $95 million for decontamination efforts. China Merchants Holdings completes major Sri Lankan container terminalChina Merchants Holdings has finished building the Colombo South Container Terminal in the South Asian island country of Sri Lanka, following two years of construction. The new terminal has four berths with total capacity of 2.4 million TEUs. It is the only port in Sri Lanka able to accommodate large container ships carrying more than 14,500 TEUs. Colombo International Container Terminals is a joint venture between China Merchants Holdings, Aitken Spence of Sri Lanka and the Sri Lanka Ports Authority. CICT was awarded the contract to construct and operate the Colombo South Container Terminal for 35 years, after which the terminal would be handed over to the Sri Lanka Ports Authority. For more of the Daily Nation story: dailynation.lk China's car boom triggers trucking investmentCompanies in China that move cars and spare parts by truck from factories to showrooms are expanding to meet growing demand. China, which became the first country where domestic auto sales exceeded 20 million units a year, is predicting higher sales in 2014 as car ownership spreads from the coast to inland areas. "We're expanding our network in China," Takaya Soga, a general manager of Nippon Yusen K.K.'s auto logistics group, said in an interview in Tokyo on April 8. "Car sales are rapidly increasing in inland China." NYK Line plans to add more logistics centers for trucks in China as part of a multi-billion yen worldwide expansion. Ford Motor Co. is building its largest factory complex in Chongqing, an inland metropolitan area, while Chrysler Group is expanding a facility in Changsha, in the province of Hunan. Volkswagen is building a new plant in the Xinjiang region and Yokohama, and Nissan Motor Co. this year will manufacture Infiniti luxury cars in Xiangyang. "Many big cities along coasts are not seeing a big increase in cars as many people already have cars," said Koji Endo, an auto analyst at Advanced Research Japan. "For the next few years, growth should come from small coastal areas and rural areas in the west where car ownership is still very low and income is relatively low. Transportation is needed not just for cars but also auto parts." Anji Automotive is a subsidiary China's largest domestic automaker SAIC, and is the nation's largest car logistics company, transporting more than 2 million vehicles annually, according to its website. NYK transported 1.36 million cars in China in 2013, including some in a venture with Anji, according to figures from the company. The company may get a boost in plans to expand its trucking business in China from its current customers. Toyota Motor Corp., Nippon Yusen's biggest customer, is forecasting record China sales of 1.1 million units this year and planning further expansion. NYK is also expanding into trucking in North America, where Japanese carmakers have factories, and is buying a 30 percent stake in Mexican trucker Consorcio de Servicios Internacionales SA de C.V. for several billion yen, Soga said. For more of the Bloomberg story: bloomberg.com ICTSI to fund 4 new port developments by selling $75M in notesInternational Container Terminal Services Inc. will sell $75 million worth of medium-term notes to raise capital for the development of four new terminals in Africa and South America. For more of the GMA Network story: gmanetwork.com Skagway ferry dock mysteriously sinksFerry service has been suspended to the Skagway in Southeast Alaska after the dock mysteriously sank Thursday night. Commuters saw the partially under water floating dock about 6 a.m. Thursday. Reportedly, the dock was completely submerged within 90 minutes. The 160-foot by 120-foot dock features 24 individual, airtight concrete chambers, each 12 feet deep. "It's a mystery to us right now," said Alaska Department of Transportation spokeswoman Jeremy Woodrow. He said every individual chamber has been inspected by the state over the last two years and there was "no visible sign of wear or indication that would lead to this submersion." The state has ferry service scheduled to Skagway about three times a week during the winter and almost daily during the summer. "The timing of this incident at the onset of the summer tourist season and as Skagway's summer workforce is arriving in town couldn't be worse," said Mayor Mark Schaefer. For more of the Anchorage Daily News story: adn.com
Tuesday, April 29, 2014 Top StoryCanada's new rail safety rules require replacement of thousands of railcars
In order to protect communities along railway lines, Canada's Minister of Transport on Wednesday announced new measures to further strengthen Canada's regulation and oversight of rail safety and the transportation of dangerous goods. "As the Minister responsible for Canada's transportation system, I am committed to making our country a model of world class safety," said Minister of Transport Lisa Raitt in the statement. "The measures I am announcing today improve the safety of the railway and transportation of dangerous goods systems from coast to coast to coast." Effective immediately, Transport Canada said it will remove the least crash-resistant DOT-111 tank cars from dangerous goods service and will mandate DOT-111 tank cars that are used to transport crude oil and ethanol that do not meet the standard (published January 2014 in Canada Gazette Part I) to be phased out or refitted within three years. About 5,000 DOT-111 tanker cars are to be removed from Canadian railways within 30 days, according to Canada.com. Another 65,000 DOT-111 cars must be removed or retrofitted within three years, and Raitt said the industry will foot the bill. "The prime minister was very clear in the speech from the throne about the principle that 'the polluter pays' is very important," said Raitt, "and that we want to ensure that we have a robust liability and compensation scheme in place so that the taxpayer is not the one who at the end of the day is hung for actions attributable to industry." Transport Canada has also issued a protective direction requiring railway companies to establish Emergency Response Assistance Plans for crude oil, gasoline, diesel, aviation fuel, and ethanol. Plans will be required for trains that have even a single tank car loaded with one of the flammable liquids. The agency will also create a task force that brings stakeholders such as municipalities, first responders, railways and shippers together to strengthen emergency response capacity across the country. It will also require railway companies to reduce the speed of trains carrying dangerous goods and implement other key operating practices. The Government of Canada has invested $60 million to support response and recovery efforts in Lac-Mégantic and committed up to $95 million for decontamination efforts. China Merchants Holdings completes major Sri Lankan container terminalChina Merchants Holdings has finished building the Colombo South Container Terminal in the South Asian island country of Sri Lanka, following two years of construction. The new terminal has four berths with total capacity of 2.4 million TEUs. It is the only port in Sri Lanka able to accommodate large container ships carrying more than 14,500 TEUs. Colombo International Container Terminals is a joint venture between China Merchants Holdings, Aitken Spence of Sri Lanka and the Sri Lanka Ports Authority. CICT was awarded the contract to construct and operate the Colombo South Container Terminal for 35 years, after which the terminal would be handed over to the Sri Lanka Ports Authority. For more of the Daily Nation story: dailynation.lk China's car boom triggers trucking investmentCompanies in China that move cars and spare parts by truck from factories to showrooms are expanding to meet growing demand. China, which became the first country where domestic auto sales exceeded 20 million units a year, is predicting higher sales in 2014 as car ownership spreads from the coast to inland areas. "We're expanding our network in China," Takaya Soga, a general manager of Nippon Yusen K.K.'s auto logistics group, said in an interview in Tokyo on April 8. "Car sales are rapidly increasing in inland China." NYK Line plans to add more logistics centers for trucks in China as part of a multi-billion yen worldwide expansion. Ford Motor Co. is building its largest factory complex in Chongqing, an inland metropolitan area, while Chrysler Group is expanding a facility in Changsha, in the province of Hunan. Volkswagen is building a new plant in the Xinjiang region and Yokohama, and Nissan Motor Co. this year will manufacture Infiniti luxury cars in Xiangyang. "Many big cities along coasts are not seeing a big increase in cars as many people already have cars," said Koji Endo, an auto analyst at Advanced Research Japan. "For the next few years, growth should come from small coastal areas and rural areas in the west where car ownership is still very low and income is relatively low. Transportation is needed not just for cars but also auto parts." Anji Automotive is a subsidiary China's largest domestic automaker SAIC, and is the nation's largest car logistics company, transporting more than 2 million vehicles annually, according to its website. NYK transported 1.36 million cars in China in 2013, including some in a venture with Anji, according to figures from the company. The company may get a boost in plans to expand its trucking business in China from its current customers. Toyota Motor Corp., Nippon Yusen's biggest customer, is forecasting record China sales of 1.1 million units this year and planning further expansion. NYK is also expanding into trucking in North America, where Japanese carmakers have factories, and is buying a 30 percent stake in Mexican trucker Consorcio de Servicios Internacionales SA de C.V. for several billion yen, Soga said. For more of the Bloomberg story: bloomberg.com ICTSI to fund 4 new port developments by selling $75M in notesInternational Container Terminal Services Inc. will sell $75 million worth of medium-term notes to raise capital for the development of four new terminals in Africa and South America. For more of the GMA Network story: gmanetwork.com Skagway ferry dock mysteriously sinksFerry service has been suspended to the Skagway in Southeast Alaska after the dock mysteriously sank Thursday night. Commuters saw the partially under water floating dock about 6 a.m. Thursday. Reportedly, the dock was completely submerged within 90 minutes. The 160-foot by 120-foot dock features 24 individual, airtight concrete chambers, each 12 feet deep. "It's a mystery to us right now," said Alaska Department of Transportation spokeswoman Jeremy Woodrow. He said every individual chamber has been inspected by the state over the last two years and there was "no visible sign of wear or indication that would lead to this submersion." The state has ferry service scheduled to Skagway about three times a week during the winter and almost daily during the summer. "The timing of this incident at the onset of the summer tourist season and as Skagway's summer workforce is arriving in town couldn't be worse," said Mayor Mark Schaefer. For more of the Anchorage Daily News story: adn.com
Wednesday, April 30, 2014 Top StoryStudy: U.S. ranks No. 2 in global manufacturing
Released on Friday, the study reports that even though China remains the world's foremost country in terms of manufacturing competitiveness, it is feeling the heat of the high cost of labor and transportation as well as lackluster productivity growth. The U.S., which has lost almost 7.5 million industrial jobs since 1979 as manufacturers shifted production to lower-cost countries, is now ranked No. 2 in terms of overall competitiveness, according to BCG. The biggest factor driving the U.S. manufacturing recovery, according to BCG, is cheap natural gas prices, which have fallen 50 percent over the 10 years due to the shale gas boom. BCG said "stable wage growth" is a factor, which Reuters says is a euphemism for the fact that, in inflation-adjusted terms, industrial wages in the U.S. are lower today than they were in the 1960s although worker productivity has doubled since then. BCG said their rankings methodology focused on four major factors — wages, productivity growth, energy costs and exchange rates. For more of the Reuters story: reuters.com ILWU members fleetingly honor trucker strike at Port of Long BeachDockworker members of the International Longshore and Warehouse Union Local 13 went to work Monday after briefly honoring a picket line by port truckers at a Long Beach Container Terminal. The limited walkout is expected to last 48 hours. ILWU longshoremen gathered in a parking lot at the Long Beach Container Terminal Monday morning awaiting a decision by an arbitrator, who is supposed to determine whether the strike is legitimate. Since no arbitrator was available, the dockworkers went to work. The truck drivers, organized by Justice for Port Truck Drivers, allege widespread work violations by three local trucking companies — Green Fleet Systems, Total Transportation Services Inc. and Pac 9 Transportation. They also plan to picket the companies' trucks as they enter the port complex. If an arbitrator deems the truckers' picket line is a legitimate labor action, longshoremen and other union workers may walk off their jobs. For more of the L.A. Times story: latimes.com Hanjin Group head: All efforts will be made to revive Hanjin ShippingThe new chairman of Hanjin Group, Cho Yang-ho, said Tuesday that every effort would be made to help Hanjin Shipping emerge from its current troubles as a global leader in the shipping industry. Cho, who was also appointed by the Hanjin Group board as the new chairman and CEO of Hanjin Shipping this week, said that the company would shift its resources to ensure the line successfully overcomes its difficulties. The container line has posted losses for the past three years and has been struggling with a liquidity shortage. The head of the family-owned group also said he would not receive a salary from Hanjin Shipping until its finances are once more profitable. "Hanjin Shipping has overcome a number of crises in the past, and I believe we can also overcome the difficulties that we face if we move forward together," Cho said in a statement. "The company will be able to bounce back as a leading global market player if it normalizes the firm's management successfully. And I pledge full support for it to maximize synergy as a part of Hanjin Group's affiliate." Hanjin Shipping is South Korea's biggest shipping company, but has been plagued by drop in global trade after the 2007-2008 global recession, as well as by inefficient vessels and intense competition. Cho will replace Choi Eun-young, his sister-in-law, in heading the container line. For more of the Korea Times story: koreatimes.co.kr Ag rail shipping bottleneck discussed with North Dakota regulatorsMany farmers and some state officials have complained to regulators that the shipping delays that have resulted in big backlogs at grain elevators are due, at least in part, to crude oil and freight shipments from North Dakota's booming oil industry. Commissioner Randy Christmann of the North Dakota Public Service Commission told railroad officials that regulators have been "bombarded" by farm groups asking them to push the railroad to improve its service in North Dakota. However, BNSF Railway Co. and Canadian Pacific Railway officials told the commission during a meeting with representatives from agriculture and transportation groups that severe winter weather and transportation bottlenecks in Chicago are the main reason for the shipping delays. "It's hard to explain just how bad weather affects a rail system," said Brian Sweeney, a BNSF vice president. Grain silos across the state are full and harvests from previous years are being stored on the ground, according to North Dakota Grain Growers Association executive director Dan Wogsland. He said that Montana, South Dakota and Minnesota are having similar problems. BNSF predicted it will be caught up by August, and Canadian Pacific said its backlogs should be resolved in a few weeks. Railroad officials told the commission members that a rebounding U.S. economy also has contributed to congestion problems. Sweeney said intermodal and coal shipments have gone up with increased grain and crude oil rail demand. For more of The Republic story: therepublic.com Forklift driver drowns at Hong Kong Container TerminalA forklift driver drowned yesterday when his vehicle fell into the ocean at a container terminal in Tsing Yi in Hong Kong. The worker fell into the sea while reversing the forklift at Terminal No 1 shortly before 9.30 am. Rescue divers were unable to save the driver, who was trapped, and by the time he was brought to the surface at Kwai Tsing Container Terminals he was dead. For more of The Standard story: thestandard.com.hk
Thursday, May 1, 2014 Top StoryObama sends transportation funding bill to Congress
The four-year, $302 billion legislation would address the trust fund's imminent shortfall and offer an additional $87 billion to pay for a backlog of repairs such as structurally deficient bridges and aging transit systems. It would be paid for, in part, by ending certain tax breaks for businesses, a measure many Republicans are against. Transportation Secretary Anthony Foxx said the administration is open to other funding ideas for the bill. "At the end of the day, the important thing is that we pass a bill that avoids a destructive collapse in funding that would threaten hundreds of thousands of jobs and inflict unnecessary damage on our economy," Foxx said, reporting that some states are already canceling/delaying transportation projects "because of the uncertainty at the federal level." The Highway Trust Fund, which will likely run out of funds by August 2014, has typically been paid for by taxes on gasoline and diesel. But since fuel use has been sluggish, there's not enough money to cover crucial infrastructure needs. Roughly 63,000 U.S. bridges, or one out of every 10, are in urgent need of repair, according to a last week's report by the American Road and Transportation Builders Association. For more of the Reuters story: reuters.com Moody's upgrades world shipping outlook to stableFor the first time since June 2011, Moody's changed its forecast for the global shipping industry from negative to stable. "The revision reflects our expectation that the global industry's aggregate EBITDA will rise by mid-single digits in percentage terms year-over-year in 2014, in line with our -5 percent to 10 percent growth range for a stable outlook," says Mariko Semetko, a Moody's assistant vice president and analyst. "And while overcapacity remains a concern," Semetko continued, "we believe industry conditions are at a trough and that the supply-demand gap will not worsen materially. In this environment, we expect the supply of vessels will exceed demand by no more than 2 percent, or that demand will exceed supply by up to 2 percent," added Semetko. TSA member lines impose peak season surcharge and advise GRI for May 15Container line members of the Transpacific Stabilization Agreement are recommending a GRI for mid May and a peak season surcharge in mid June, after experiencing an increase in eastbound bookings they expect to continue into the second half of 2014. Vessel use is in the mid-90 percent range for trips to the West Coast and in the high-90 percent to full range to the East and Gulf Coasts, according to the TSA statement. Consequently, TSA shipping lines say they will adopt a $400 per-FEU peak season surcharge for all shipments, effective June 15, 2014. Additionally, TSA carriers recommend a general rate increase of $300 per-FEU to the West Coast and $400 per-FEU to all other U.S. destinations, effective May 15. "Carriers continue to play catch-up on rates, which have been effectively stagnant since 2011," said TSA executive administrator Brian Conrad. "Modest revenue gains from recent GRIs will not be adequate to pay for upgraded services to meet likely demand surges in the coming months." TSA members include APL Ltd., China Shipping Container Lines, CMA-CGM, COSCO Container Lines, Evergreen Line, Hanging Shipping, Hag-Lloyd, Hyundai Merchant Marine, K Line, Maersk Line, Mediterranean Shipping Co., N.Y.K. Line, Orient Overseas Container Line, Yangming Marine Transport Corp, and Zim Integrated Shipping Services. Trucking firms file suit over new Port Metro Vancouver container ratesThirty-three trucking companies that employ truckers to haul cargo at Port Metro Vancouver have filed a lawsuit questioning the federal right to set container rates. The companies are challenging the provision of a recent labor deal that set per-container fee rates, asserting that the port had no jurisdiction to set the rates in the first place. The suit is related to an agreement that ended a labor conflict that had closed down the port for 28 days, as more than 250 union truck drivers represented by Unifor went on strike and over 1,000 independent owner-operators also refused to work. The drivers were protesting long wait times at the port, and owner-operators were particularly concerned with undercutting of per-container rates that have remained frozen since 2006 in a schedule set by labor mediator Vince Ready in 2005. Increasing the per-container rates of pay for truck owner-operators by 12 percent was key to resolving the dispute, but the companies are arguing that the federal government, through Port Metro Vancouver, has no authority to set rates because trucking is a province-regulated sector. "If (the companies) are successful, this will put (the situation) worse than back to square one," said Gavin McGarrigle, area director for Unifor. "They're asking to reset the clock not just before 2014, but back before 2005." The civil claim was filed in Vancouver Supreme Court last Friday, and seeks an order declaring that the port and federal government didn't have jurisdiction, an injunction overturning the increase, and financial damages with interest. "The port increased (rates) as a condition of license, where the trucking companies had no involvement at all," said Israel Chafetz, one of the lawyers on the case, which involves 33 trucking firms led by Pro West Transport and Trend Transport. Chafetz added that the raise "(constitutes) financial damage (to the companies) because they're paying more for trucking than they might have to pay." For more of the Vancouver Sun story: vancouversun.com German company fined $125M for cracked container shipThe Dauelsberg company was fined more than $1 million because its container ship entered the Port of Long Beach with a cracked hull that could have caused an oil leak. The 960-foot cargo ship M/V Bellavia crashed into the side of the Panama Canal last autumn, resulting in a hull crack that led to a fuel tank leak. Officials said the company didn't report the crack when the vessel arrived in Long Beach a few weeks later, nor did it report that the crew had pumped 120,000 gallons of oil-contaminated seawater into the ocean before arriving at the port. The U.S. attorney's office says German firm pled guilty Thursday to two federal environmental charges ad was fined $1 million and ordered to pay another $250,000 to an environmental fund. For more of the KSWT 13 story: kswt.com
Submit Your Press |
The Transportation Safety Board of Canada has announced initial recommendations regarding the ongoing investigation into the Lac-Mégantic train derailment, in which a train carrying 113,000 liters of crude oil derailed, exploded and killed 47 people.
The Transportation Safety Board of Canada has announced initial recommendations regarding the ongoing investigation into the Lac-Mégantic train derailment, in which a train carrying 113,000 liters of crude oil derailed, exploded and killed 47 people.
Boston Consulting Group issued a new ranking of the planet's top 25 exporting countries, dubbing the U.S. a "rising star" of global manufacturing because of its dwindling domestic natural gas prices, increased worker productivity and lack of pressure to raise wages.
The White House sent a transportation bill to Congress yesterday to address an expected shortage in infrastructure funding on U.S. bridges, roads and transit systems, but Republican opposition may thwart its passage.