Newsletter – May 14, 2019
AIR FREIGHT UPDATES
World air cargo reverses downturn with 0.1pc growth
THE International Air Transport Association (IATA) statistics show that air cargo demand in freight tonne kilometres increased by 0.1 per cent in March, reports London’s Air Cargo News. Read more here.
Onex To Acquire WestJet Airlines
Private equity investor Onex will acquire WestJet Airlines in an all cash offer worth around CAD$5 billion (USD$3.7 billion) including debt. Read more here.
OCEAN FREIGHT UPDATES
ILWU–Canada Strike Vote Results – Port of Vancouver
ILWU Local 500 posted the results of the strike vote held on May 8 and 9 on its website. More than 98 percent of the union’s members voted in favour of supporting strike action against the member companies of the B.C. Maritime Employers Association, if necessary.
As noted in bulletins last week, BCMEA is “cautiously optimistic” that the two sides will come to an agreement, and further meetings have been scheduled.
Drought forces Panama Canal draught restrictions and pushes up rates
El Niño is having a major impact on container traffic through the Panama Canal this year.
From May 28, the canal operator is going to reduce the draught at its Neopanamax locks to 43 feet, the latest in a series of depth reductions that have brought the permitted level down from 50ft at the beginning of the year. Read more here.
IMO 2020 angst for carriers, and it’s not just about the cost
The risk of engine failure from using incompatible blends of new low-sulphur fuel is “keeping marine engineers awake at night”, according to a new report. Read more here.
INTERNATIONAL BUSINESS – GOVERNMENT UPDATES
US Retail imports forecast to reach ‘unusually high levels’ in the summer
MAJOR container ports in the US are forcast to ‘see unusually high levels’ of imports through the summer and are projected to reach the highest level since last October in August. Read more here.