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THESE COMPANIES KEEP CROSS-BORDER CARGO MOVING, EVEN WITH USMCA UP IN THE AIR

USMCA

THESE COMPANIES KEEP CROSS-BORDER CARGO MOVING, EVEN WITH USMCA UP IN THE AIR

Our trilateral trade bloc is in a sort of limbo, stuck between the North American Free Trade Agreement (NAFTA) that went into effect on Jan. 1, 1994, and the floundering United States Mexico Canada Agreement (USMCA), which the countries’ leaders signed on Nov. 30, 2018, but has only been ratified in Mexico.

According to the U.S. Chamber of Commerce, which has pushed for more ease of free trade among the three nations for years, about $1.7 billion worth of goods and services flow between the U.S. and Mexico borders every day. That’s about 2 percent of the GDP in America, where, according to the United Nations’ International Trade Center, Mexico and Canada are the two largest trading partners for U.S. manufacturers and shippers after China.

Despite these uncertain times, there are North American cross-border traders that continue to thrive. Consider the collection that follows. 

AVERITT EXPRESS

One of the nation’s leading freight transportation and supply chain management providers, Averitt is celebrating 50 years of service. The company cites customized, cross-border transportation solutions among its many, many specialties. Five years ago, Averitt slashed less-than-truckload (LTL) service times from the U.S. Midwest to Ontario, Canada, in recognition of the province’s rise as a manufacturing hub. Averitt’s strategically placed border service centers in Laredo, El Paso, Harlingen and Del Rio provide easy access to all points throughout Mexico, by rail, truck or expedited air. 

BNSF RAILWAY

One of North America’s leading freight transportation companies, BNSF boasts a.32,500 route-mile network covering 28 U.S. states and three Canadian provinces. The railway utilizes multiple strategies to make international shipments easier for customers. These include market experience, customs clearance know-how and participation in special North American rail service alliances. The BNSF network also includes five U.S.-Mexico gateways (San Diego, El Paso, Eagle Pass, Laredo and Brownsville) and operations in Fort Worth, Texas, and Mexico City, Guadalajara and Monterrey, Mexico. Service options include carload, transload and intermodal (Mexi-Modal) that allow for shipments of all major commodities into and out of Mexico.  

CG RAILWAY

Picture in your head a railroad line extending from the American South to southern Mexico. You can imagine the track snaking along the contour of the Gulf of Mexico, extending west from Alabama through Mississippi and Louisiana before reaching Texas and turning due south through the border and beyond. What you did not picture was a shift from rail at Alabama’s Port of Mobile to an ocean ferry making a direct route over water to Puerto Coatzacoalcos in Veracruz, Mexico. That’s what CG Railway (CGR) has been doing since 2000: providing a faster, more cost-effective route between the eastern U.S. and Canada to central and southern Mexico. CGR offers C-TPAT (Customs Trade Partnership Against Terrorism) certification, bilingual customer support, proactive port security, reduced mileage and wear and tear on equipment and direct interchanges with the CSX, Norfolk Southern, Canadian National and Kansas City Southern railroads, the Alabama & Gulf Coast Railway and Terminal Railway Alabama State Docks and their Mexican counterparts. 

CN NORTH AMERICA

Canadian National is based in Montreal, Quebec, and the Class I freight railway’s network is the largest in that country by physical size and revenue. Established in 1919 and formerly government-owned, Canada’s only transcontinental railway spans from the Atlantic coast in Nova Scotia to the Pacific coast in British Columbia, across about 20,400 route miles of track. But you’d be mistaken to think CN, as it has more commonly known since 1960, is strictly a Great White North concern. The railway also serves the U.S. South and Midwest and, having gone private in 1995, it now counts as its single largest shareholder Bill Gates. Through the ’90s and 2000s, CN North America has acquired multiple lines passing through several U.S. states.

CROWLEY

The private, Jacksonville, Florida-based corporation is the largest operator of tugboats and barges in the world. Crowley American Transport provides ocean liner cargo services between the U.S., Canada, Mexico, South America and the Caribbean. Its American Marine Transport unit delivers local, over-the-road, and commercial trucking services in the continental U.S. Crowley Marine Services provides worldwide contract and specialized marine transportation services, including petroleum product transportation and sales, tanker escort and ship assist, contract barge transportation and ocean towing, logistics and support services, marine salvage and emergency response services, spill-response services on the West Coast and all-terrain transportation services.

CSX TRANSPORTATION

The subsidiary of CSX Corp., a Fortune 500 company headquartered in Jacksonville, Florida, CSX Transportation is a Class I freight railroad operating in the eastern United States and the Canadian provinces of Ontario and Quebec. The railroad operates around 21,000 route miles of track. While its lines blanket the east coasts of Canada and the U.S., you don’t have to be located on railroad track for CSX to help you, as it has access to 70 ports and nationwide transloading and warehousing services.

DB SCHENKER 

The global logistics and supply chain management giant has 93 branches in every U.S. state, Mexico and Canada. Schenker of Canada Ltd. provides logistics services, airfreight, custom brokerage, custom consulting, sports events, land transport and courier services. DB Schenker Mexico celebrated its 40th anniversary in 2017, having begun down there with a single location and 40 associates and now boasting of 500 employees in its corporate office in Mexico City as well as in Guadalajara, Monterrey, Queretaro, Puebla, Cancun, Ciudad Juarez and various other branches. DB Schenker Mexico offers air freight, ocean freight, land freight, customs brokerage, over-dimensioned projects, warehousing and contract logistics.

KANSAS CITY SOUTHERN

The KCS North American rail holdings and strategic alliances are primary components of a NAFTA railway system linking the commercial and industrial centers of the U.S., Mexico and Canada. “KCS is just one interchange away from every major market in North America,” boasts the railroad. KC Southern de Mexico offers unique rail access to the Port of Lazaro Cardenas on Mexico’s Pacific coast, which is an ideal spot to avoid congestion in U.S. West Coast ports. KCS also has access to Gulf of Mexico ports, including Altamira, Tampico and Veracruz in Mexico and Brownsville, New Orleans, Corpus Christi, Houston, Gulfport, Lake Charles, Mobile and Port Arthur in the U.S. 

LIVINGSTON INTERNATIONAL

Billed as North America’s No. 1 company focused on customs brokerage and compliance, Livingston International also offers international trade consulting and freight forwarding across the continent and around the globe. Headquartered in Chicago, Livingston operates along the U.S.-Canada border, with regional air/sea hubs in Los Angeles, New York and Norfolk. Livingston employs more than 3,200 employees at more than 125 key border points, seaports, airports and other strategic locations in North America, Europe and the Far East. Livingston is a customs brokerage leader in Canada, and the company also promises to move goods seamlessly into Mexico.

LOGISTICS PLUS

Whether it is working as a 3PL or 4PL partner, the Erie, Pennsylvania-based company specializes in total logistics management, LTL and truckload transportation, rail and intermodal services, project cargo and project management, import/export services, air and ocean freight forwarding, warehousing and distribution, global trade compliance services and logistics and technology solutions. Logistics Plus serves small and large businesses throughout the Greater Toronto Area, with an office in the zone that has access to the Port of Toronto and expertise in shipping in and out of Canada though the St. Lawrence River and Lake Ontario. Bilingual logistics experts help customers with intra-Mexico, cross-border, or international shipping using air, ocean, ground or rail transportation. 

LYNDEN

Seattle-based Lynden not only delivers to, from and within Canada, the company does business there. Its long-established Canadian presence allows it to provide complete coverage for any transportation need. They can help with warehousing and distribution or 3PL in Canada, where Lynden boasts of knowing “the ins and outs of customs brokerage, duties and taxes, imports and exports.” From its offices in Edmonton and Calgary, Alberta, and Whitehorse, Yukon Territory, Lynden offers scheduled less-than-truckload (LTL) and truckload (TL) service to points in Alaska and the Lower 48.

LYNNCO

The Tulsa, Oklahoma-based company optimizes customers’ supply chains coast-to-coast in the U.S., Canada, and Mexico. LynnCo manages businesses and determines how and when ground, international air/ocean, spot/capacity, procurement and expedited services are the best options. For instance, LynnCo helped a U.S. manufacturer determine if shifting units to Mexico was profitable. The answer was no after factoring in the risks of moving, poor facilities, added shipping costs and product quality. 

POLARIS TRANSPORTATION GROUP

Billing itself as “an American company headquartered in Toronto,” Polaris has a quarter century of experience in scheduled LTL service between the U.S. and Canada. The company knows both countries’ customs rules and participates in every border security program, including C-TPAT, PIP (Partners in Protection), CSA (Customs Self- Assessment) and FAST (Free and Secure Trade). The company’s scheduled service connects Ontario and Quebec markets with the U.S. through a combination of its fleet and facilities along with those of its long-established partner carriers.

PUROLATOR INTERNATIONAL

The U.S. subsidiary of Canada’s leading provider of integrated freight and parcel delivery services, Jericho, New York-based Purolator International seamlessly transports shipments between the U.S. and Canada and manages the respective countries’ customs processes with aplomb. They pick up/drop off at every point in the U.S. and boast of a distribution network that extends to every Canadian province and territory. What truly takes Purolator International over the top is a commitment to continue improving, as evidenced by a recent $1 billion growth investment that includes two new hubs that will allow for faster fulfillment for both courier and e-commerce shipments from the U.S. throughout Canada, where consumers also will be seeing more access points, including upgraded retail pickup locations.

R+L GLOBAL

“Shipping to Mexico is facil,” according to Ocala, Florida-based R+L Global Logistics. Its qualified network of premium carriers in Mexico provide secure door-to-door Less than Truckload (LTL) and Full Truckload (FTL) services. They cover the entire Mexican territory and move cargo across all major U.S./Mexico border gateways. They also move intra-Mexico shipments. 

SCHNEIDER

The Green Bay, Wisconsin-based giant specializes in regional trucking, long-haul, bulk, intermodal, supply chain management, brokerage, warehousing, port logistics and transloading. Decades of cross-border freight experience means customer cargo moves without question or delay. Once goods move across the border, Schneider has the assets and personnel in place to deliver it safely and securely. “Here’s the simple fact: No one makes shipping to Canada and Mexico easier or more efficient than Schneider,” the company boasts. “By road or by rail, your freight is in the best hands possible.”

SENKO 

The Japanese logistics giant has offices in the U.S., where their own trucks and warehouses work with a network of vendors. The 3PL/4PL supply chain solutions provider uses its own IT technology developed in Japan to help arrange liquid tank transportation, flatbed, drayage, refrigerated, dry, expedited shipping and freight broker services. Senko Logistics Mexico is the company unit south of the border.

SUNSET TRANSPORTATION

The St. Louis-based company has offices and agents across the country, and customers whose shipments are moved around the globe. Sunset arranges freight for a wide range of industries, from wholesale food distribution to specialized construction equipment. “Cross-border solutions” include customs clearance for land, rail, air and ocean, LTL, TL, intermodal, rail, air, expedited and specialized freight, contracted lane and spot market, C-TPAT compliance, multimodal programs, a Laredo, Texas, warehouse and distribution facility and 24/7 bilingual, bicultural support.

SURGERE 

Headquartered in North Canton, Ohio, Surgere is a leader in linking OEMs, tier suppliers and logistics providers through an automotive data system that provides visibility on returnable containers at every stage of their movement between supplier and vehicle maker. The supply chain innovators, whose clients include Nissan and CEVA Logistics, recently opened Technologias Avanzadas Surgere de Mexico in Aguascalientes, Mexico, which has more than 1,300 suppliers and automotive plants within 200 kilometers of the location. “Central Mexico is the automotive hub for Latin America—making it a natural progression—and a welcomed challenge for us,” explained David Hampton, Surgere’s vice president for International Operations, in announcing the move. Surgere hopes to have the Mexico office fully staffed before the end of this year.

TQL

Cincinnati, Ohio-based Total Quality Logistics (TQL) was founded in 1997 and is now the second-largest freight brokerage firm in the nation, with more than 5,500 employees in 57 offices across the county. Known for combining industry-leading technology and unmatched customer service, TQL boasts of providing competitive pricing, continuous communication and “a commitment to do it right every time.” They move more than 1.6 million loads across the U.S., Canada and Mexico annually through a broad portfolio of logistics services and a network of more than 75,000 carriers.

USA TRUCK

The Van Buren, Arkansas-based company provides customized truckload, dedicated contract carriage, intermodal and third-party logistics freight management services throughout North America. USA Truck has nearly two decades of experience servicing Mexico, which has allowed the company to expand its presence south of the border and partner with many Mexican carriers. USA Truck’s Capacity Solutions coordinates transportation into and out of Mexico with a vast carrier network, and they service most major Mexican markets and consistently maintain C-TPAT certification. USA Truck also has a select fleet of third-party carriers providing service into the provinces of Ontario and Quebec, Canada.

UTXL

Launched in 1997 by four founders with more than 100 years of combined asset-based trucking experience, UTXL started with this goal: to be the safest, most reliable and cost effective niche capacity resource to customers in support of their core carrier programs. UTXL has served thousands of shippers across the U.S., Canada and Mexico, including some of the largest shippers in the world. One of their mottos is: “Any point in the U.S., Canada or Mexico … any length of haul.”

WERNER ENTERPRISES

“We keep America moving” is the motto of this Omaha, Nebraska-based company that has one of the largest transportation services to and from Mexico and is a premiere long-haul carrier to and from Canada and throughout North America. Werner has offices in Mexico and Canada as well as experienced and knowledgeable staff engineer solutions. PAR documentation allows for quicker access through customs into Canada, and their network of alliance carriers can manage entire supply chains within Canada and Mexico regardless of equipment needs.

WW SOLUTIONS

The unit of Wallenius Wilhelmsen Logistics participates in Mexico’s automotive industry not only as a carrier and logistics provider. WW Solutions specializes in processing solutions at ports and at OEM plants, providing services that include pre-delivery inspections, accessory fittings, repairs, storage, washing, vehicle preparation, quality control, inventory management and the procurement of technical services.

YRC FREIGHT

Yellow Transportation (founded in 1924 in Oklahoma City, Oklahoma) merged with Roadway (founded in 1930 in Akron, Ohio) to create YRC Freight, which is the largest subsidiary of YRC Worldwide Inc. based in Overland Park, Kansas. A leading transporter of industrial, commercial and retail goods, YRC Freight offers solutions for businesses across North America and is the only carrier with on-site, bilingual representatives at border crossing points in Mexico to expedite customs clearance.

Qatar Trade Summit

Qatar Trade Summit: Innovation and Disruption Revolutionising the Logistics Industry in Qatar.

Valuable insights into the future of Qatar’s Trade and investments sector aligned with logistics and supply chain in the region will be showcased at the exclusive Qatar Trade Summit scheduled to take place from 25th to 27th November 2019 in Doha, Qatar, The summit is Qatar’s only event focusing on the nation’s economic diversification plans and progress with strategic plans on becoming the regions logistics hub. 

The summit will strive to examine the nation’s potential on becoming the region’s economic powerhouse via 3 days of deliberations on sea ports development, Shipping and Air Cargo industry, future of logistics and supply chain as well as a final day dedicated to engage in interactive sessions on Qatar’s trade and investment prospects. Attending delegates and partners will get a first-hand knowledge of Qatar’s logistics and supply chain industry, the planned development of sea ports to support regional growth, the influence of shipping air cargo and the free zones in opening up opportunities for regional and foreign companies to invest and do business in Qatar” stated Allan Martin, Communications Director, Qatar Trade Summit. 

All aspects of the shipping industry, port development, air cargo, supply chain and logistics and trade and investments will be discussed at this summit. The event will engage the entire ecosystem of the logistics business in Qatar focusing on procurement, forwarding, planning, new business, infrastructure and investments. The theme of the summit is to explore the scale of innovation and disruption which is revolutionizing the logistics industry in Qatar and the nation’s keen intent on diversifying into a thriving economy prior to the prestigious FIFA 2022 football world cup taking place in Qatar. Qatar Trade Summit will directly impact a comprehensive range of sectors in the region and will cover solutions and products to uplift these sectors. The areas covered will be Ship building, Port management, Port Infrastructure development, Air Cargo expansion, Logistics and supply chain solutions and the investments and business opportunities in Qatar. 

The summit’s profile includes key dignitaries such as H.E. Akbar Al Baker, Group CEO, Qatar Airways, Capt. Abdulla Al-Khanji, CEO, Mwani Qatar, Qatar, Mr. Abdulrahman Essa Al-Mannai, President & CEO, MILAHA, Qatar, Mr. Lim Meng Hui, CEO, Qatar Free Zones Authority (QFZA), Mr. James Baker, Editor, Lloyd’s List Containers, UK, Mr. Glyn Hughes, Global Head of IATA Cargo, Switzerland, Mr. Turhan Özen, Chief Cargo Officer, Turkish Airlines, Mr. Amadou Diallo, CEO, DHL Global Forwarding, Middle East & Africa, Mr. Bertrand Maltaverne, Solutions Consultant, Ivalua, Austria, Mr. Fikret Ersoy, MD, BDP International, Middle East, Turkey & Africa from Qatar and across the globe who will be presenting at the conference and the summit will also host some of the world’s best solution providers and also invite attendees from leading government and private entities from Qatar. 

The Qatar Trade Summit will also feature one of the most exhaustive and inclusive knowledge sessions seen at a national summit. The conference will include 19 topics spread across 4 sessions, and two key workshops all scheduled over 3 days of high level networking and interaction. Qatar Trade Summit will assist in realising Qatar’s ambitions to become the logistics and trade leader in the Middle East. 

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About Organizer: © Qatar Trade Summit | Allan Martin | Email: info@qatartradesummit.com | allan@qatartradesummit.com | UK Tel: +44 20 3807 8492 | India Mobile: +91 96061 70760 Qatar Contact: Saf | Tel: +974 33834548 | +974 66947607 | saf@apexqatar.com LinkedIn: Qatar Trade Summit | twitter: @tradeqatar 

LATAM

Delta-LATAM Airlines Partnership Increases Connectivity and Options for Customers

Delta and LATAM Airlines confirmed a strategic partnership this week, ultimately combining strengths and bringing an increase in overall connectivity between in North America and Latin America. This partnership represents added opportunities within the existing partnerships such as extending networks and each company’s global presence. By adding value and optionality to their Americas customer base, both Delta and LATAM are enabled to increase customer destinations while combining strategies for top-notch passenger service.

“This transformative partnership with LATAM will bring together our leading global brands, enabling us to provide the very best service and reliability for travelers to, from and throughout the Americas,” said Ed Bastian, Delta’s chief executive officer. “Our people, customers, owners and communities will all benefit from this exciting platform for future growth.”

Beyond the customer impact the partnership creates, opportunities for investment and savings will also play a key role in offering support, free cash flow, forecasted debt reduction, aircraft acquisitions and more. Delta confirmed a $350 million establishment investment in addition to a $1.9 billion investment for a 20 percent stake in LATAM through a public tender offer at $16 per share.

“This alliance with Delta strengthens our company and enhances our leadership in Latin America by providing the best connectivity through our highly complementary route networks,” said Enrique Cueto Plaza, chief executive officer of LATAM. “We look forward to working alongside one of the world’s best airlines to enhance the travel experience for our passengers.”

To learn more about this strategic partnership, please visit ir.delta.com OR www.latamairlinesgroup.net/investor-overview for webcasts recapping partnership details. 

Source: Delta Airlines

airfreight

Airfreight vs. Sea Freight – Which Works Better

Airfreight vs. sea freight has become a burning dilemma for all those in need of this type of services. While both solutions come with a set of advantages and disadvantages, the final choice one makes will depend on a variety of factors. We are willing to share our knowledge and findings with you so that you can make the best possible decision regarding your shipment in the given circumstances. 

Airfreight vs sea freight – the costs can be a decisive factor

Undeniably, the amount of financial means necessary to afford airfreight services is considerably higher than that of sea freight. Moreover, the appearance of the largest cargo aircraft in the world announces great changes and improvements in this field. The Antonov An-225 could cause a further rise of the airfreight costs, but it will also guarantee higher quality. On the other hand, sea freight is much more affordable and, consequently, the number one choice of a vast majority of clients. Opting for sea freight provides clients with acceptable service but at a significantly lower price.

Time matters greatly!

Most often, clients want their shipment delivered as soon as possible, which can cause problems for those offering sea freight services. Not seldom do customs issues or hold-ups at ports cause serious delays. However, we must admit that a giant step forward is evident in this field. Firstly, high-quality, modern ships are much faster now than it was the case in the past. Secondly, there are some canal upgrades that can eliminate tedious and tiring delays on some routes. Finally, sea freight forwarders can guarantee delivery times, which is vital for business owners when it comes to organization.

The type of cargo affects the final choice on airfreight vs. sea freight dilemma

The type of cargo is one of the most important factors influencing the choice in the airfreight vs. sea fright dilemma. In this case, we must admit that sea fright seems like a much better solution since it has no limitations you have to be aware of. One of the crucial pros of the maritime shipping is that you can ship even the bulkiest and extremely heavy goods. Conversely, airfreight is limited in this discipline. Before you opt for this type of goods transportation, it is advisable to make sure that the type of your cargo is acceptable. In addition, there is a very long list of the items which are prohibited and those listed as hazardous materials. Depending on your final destination, the rules and laws may differ. Yet, getting sufficient information on the subject must still be the first step in the process.

Safety of your cargo is the top priority

Understandably, the safety of cargo is always the top priority. It is important to emphasize that air cargo has to be dealt with the utmost attention and in accordance with the regulations which are very strict and clear. All the crucial elements, including handling and securing your cargo as well as the proper storage, are defined by airport regulations. This is a great benefit and a guarantee that the safety of your goods will be at the maximal level. On the other hand, we cannot say that sea freight is a bad alternative either. In this case, the goods are transported in containers, but the human factor is crucial. Proper packing strategies are essential in order to decrease any chances of potential damage during transport. If this is not conducted appropriately, the chances are some of your goods might get seriously damaged or even cause further problems on the ship.

Do not forget about the accessibility of your goods

If we analyze the accessibility of your goods as one of the criteria, airfreight is a more favorable option by all means. The procedures are clear, cargo is in smaller volumes and there are no unnecessary waitings to receive your goods. Using sea freight for your cargo often results in additional costs due to heavy congestions in seaports. If your goods are not delivered at the arranged time, you are required to pay for detention and demurrage costs, which may be a heavy burden on your budget. However, we must not forget to mention an advantage sea freight offers comparing to airfreight. The accessibility to markets is much higher in case of sea freight. The reason is very simple. When unloaded from ships, containers can move further inland by using the services of intermodal shippers

Eco-friendly practices 

Finally, let us not forget about the environment when choosing between airfreight vs sea freight. Applying eco-friendly practices is becoming increasingly important, so it does not surprise this is one of the factors shippers base their decision on. According to this particular criterion, sea freight is a more reasonable option since it has a significantly better carbon footprint. Quite the opposite, airplanes are serious polluters and require special attention and measures to reduce their carbon footprint to minimal values.

Final words on airfreight vs sea freight dilemma

The decisions and choices you make concerning airfreight vs sea freight dilemma will depend on miscellaneous factors. It is of key importance to weigh the pros and cons of each of these options and then make your decision final.  A serious effort is required to negotiate the best shipping terms and only then can you expect to ship your goods completely fuss-free.

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Susan Daniels is a passionate copywriter who loves exploring home improvement ideas and real estate market. Lately, she has gained considerable knowledge in the types of moving services and the qualities of respectable moving companies such as DA Moving NYC, for example. She enjoys giving advice on the best places to live and exciting places to visit. Traveling makes her happy as well as reading good books.

EFL Selects Pittsburgh Airport for Cargo Distribution Point

Pittsburgh International Airport has been confirmed as the airport of choice by EFL – a Sri Lanka freight forwarder and Qatar Airways customer. EFL announced the utilization of Qatar Airways Cargo’s nonstop service, specifically through one of the two weekly Boeing 777 freighters Qatar currently operates, following its first successful 90-ton shipment in May.

“Today’s announcement continues moving the airport corridor forward as a manufacturing and distribution hub. Congratulations to Christina and her team for this huge success for our region. As Pittsburgh strives to make additional connections to the global marketplace, this is a big step along that path,” said Allegheny County Executive Rich Fitzgerald.

“The success of Qatar Airways, and the partnership with EFL, strengthens our ability to attract manufacturing and distribution to the airport. We are planting the seeds for manufacturing, distribution, logistics and connectivity in the global marketplace. We are excited to see it bear much fruit in the years to come, and to see the growth of jobs in these areas continue.”

A combination of proximity to major air cargo markets and cities positions Pittsburgh International Airport as an ideal choice for global freight forwarders. The Qatar Airways Cargo flights to Pittsburgh contribute to a total of 265 jobs and $42.8 million of economic output. Qatar Airways’ Pittsburgh-based flights represent the first scheduled international freighter route for the airport.

“Our goal is to build Pittsburgh into an international logistics center and with great partners like Qatar Airways Cargo and EFL, that goal is becoming a reality,” Pittsburgh International Airport CEO Christina Cassotis said. “This is cargo that used to enter into the U.S. through major airports such as New York and Chicago but instead they’re choosing to use our region as a gateway. That means jobs and business for our region.”

The addition of EFL serves as another example of how the airport’s gateway maintains competitive advantage through efficient and reliable global supply chain solutions in combination with the exemplary operations of Qatar Airways Cargo, including a 72-hour transit time from the Asia-Pacific region to U.S. regional and distribution centers.

“At EFL, it has been a constant pursuit to find efficient and innovative solutions for our customers, which has led us to this initiative with Qatar Airways Cargo, with who we have a relationship for over a decade,” added EFL’s Group Chief Executive Officer Senthil Shanmugam. “Considering EFL’s spread of seven offices in the USA, (with) five of them in (the) East Coast and Midwest, having a gateway that is accessible to these regions was important. Pittsburgh is a logical location for this operation as it allows us to have a fast turnover of cargo in comparison to more traditional and congested gateways. We’re grateful to the Allegheny County Airport Authority for assisting us with facilitating this effort.”

Cargo City

BUD Cargo City Building Construction Completed

Only nine months after the start date, Budapest Airport confirmed construction for the largest BUD Cargo City building has been completed and was celebrated with a topping out ceremony earlier this week.

“The topping out ceremony marks another important step towards the opening of BUD Cargo City, which will cement our position as the air cargo hub for Central and Eastern Europe”, said Rene Droese, Chief Property and Cargo Officer. “Since record-breaking air cargo volumes and growth in 2018, handled volumes have remained stable at BUD this year, bucking the industry-wide trend for 2019.”

As part of Budapest Airport’s dedicated freight terminal, builders diligently worked on the outer structure of two warehouses covering 21,600 m2 within nine months of beginning construction. Next steps will move construction to completing the interior space.

Additionally, Budapest Airport confirmed BUD Cargo City will provide new parking positions for simultaneously handing two Boeing B-747-8F aircraft with the addition of a 11,200 m2 forwarder building and a 32,000 m2 concrete apron.

“The pre-leasing ratio of BUD Cargo City demonstrates a clear demand for high-quality facilities, and we believe that with all efforts and steps to create an ideal home for air cargo at BUD, we will attract much more cargo from our catchment zone in the future than today,” said Droese.

Uncertainty in Today’s Air Market: What it Means for You

Reoccurring annual events, like the holiday season, typically bring predictability to air shipping. But lately, out of the ordinary events have disrupted the seasonality we typically expect. The best way to deal with the ever-changing peaks and valleys in air capacity throughout the year is to know both the historical patterns and potential air market disruptors.

The cyclical nature of air freight

Air freight service predictably follows the law of supply and demand. When shipping volumes spike, space on airlines becomes harder to secure and prices go up. And the opposite is true, too. If shipping volumes diminish, space on airlines becomes readily available and the prices go down.

As you might expect, the holiday peak season is one of the busiest shipping periods of the year around the world—including for air. But there are other seasonal surges to be aware of as well. The graphic below visually represents the seasonality of the air market in years’ past.

New disruptors to the air freight market

We’re just over halfway through 2019, and already it’s quite a different market than we’ve seen in the past. Several disruptors are causing a great deal of uncertainty.

Tariffs on Chinese goods

The ongoing trade war is one of the biggest disruptors to air shipping this year. Earlier tariff changes did not make a huge impact on air shipping. But demand for air freight shifted significantly when enough shippers preemptively repositioned inventory prior to the June 1, 2019, deadline. On May 31, 2019, the United States Trade Representative (USTR) announced the deadline would be extended to June 15, 2019.

Ecommerce and high-tech goods

With the growth of ecommerce and high-tech products flooding our markets, air freight is quickly becoming the go-to mode of transportation for many shippers—any time of year. Combined with the promise of two-day shipping, it’s often the only way to meet customer demands.

Adjust your air freight strategy based on the market

With air freight volumes lower than we’ve seen since the 2008 recession, now may be the ideal time to update your air freight shipping strategy.

Choosing air freight can be a strategic way to lower inventory levels in the United States. Finding a balance between inventory costs without sacrificing customer delivery expectations often requires expertise. The air experts at C.H. Robinson are available in offices around the globe to help manage your air freight and ensure any problems are resolved in real-time.

You may even consider that if air freight rates dip low enough, you could make up the difference (at least in part) of the added tariffs on Chinese goods.

The air freight market is a complex ecosystem that will likely remain uncertain for some time. While this uncertainty lasts, you may want to switch to a quarterly planning strategy to avoid a long-term commitment when you don’t know what’s coming.

What’s going to happen?

While inventories in the United States remain high, it’s likely that air shipping volumes will remain low. The best way to insulate your company and your relationships from today’s air market is to stay flexible. Adapt quickly to ensure you can take advantage of soft markets while still buying appropriately during peak seasons.

United Cargo Earns “Best Air Cargo Carrier – North America” Award

During this year’s annual Asian Freight, Logistics and Supply Chain (AFLAS) Awards in Hong Kong, United Cargo was recognized as the “Best Air Cargo Carrier” for the North American region.

Hosted annually by Asia Cargo News, selected nominees and winners are determined through a different approach with the help of more than 15,000 reader and e-subscriber votes. Consistency in service, innovation, customer relations, and management are all taken into consideration when vetting winners for the annual awards.

“United Cargo’s primary goal is to build and sustain long-term relationships of mutual benefit with our customer partners,” said United Cargo President Jan Krems. “Our team is especially proud to again receive this award representing the voice of our customers, because it confirms we are delivering a consistently excellent level of service worldwide and enhancing our partners’ success. I salute United Cargo team members in more than 300 locations around the globe for their commitment to quality.”

This news follows an announcement made earlier this month confirming the carrier will begin transporting and leasing Swiss-based temperature-controlled containers provided by SkyCell. United Cargo will be the first U.S. carrier of SkyCell’s containers, enabling safe and effective logistics for biopharmaceuticals and temperature-sensitive items.

“TempControl’s transport of vaccines and other high-value biopharmaceutical shipments is increasing rapidly,” said Jan Krems, President of United Cargo. “Extremely precise, long-duration temperature control is required for the safe transport of these highly-sensitive shipments. 

“SkyCell is excited to partner with United to increase the availability of SkyCell containers for the U.S. pharma industry,” said Richard Ettl, CEO of SkyCell. “United and SkyCell share the goal of eliminating temperature excursions and reducing the CO2 footprint in global pharma transportation.” 

Source: United Cargo

How is the largest cargo aircraft in the world used?

Imagining the largest cargo aircraft in the world almost seems impossible. Even the regular iterations of these planes seem unimaginably huge, but it’s the Antonov An-225 that truly shatters expectations beyond comprehension. There’s only one that’s fully operational in the world, which should show how special it really is!

Moreover, it’s not only the worlds largest cargo aircraft, but it’s also the world’s largest aeroplane; full stop! With importance and capabilities as great as these, it must be used for some highly extraordinary tasks. But how is it used?

Well, let’s explore this line of enquiry further below.

Cargo transportation

As previously mentioned, the Antonov AN-225 is principally a cargo plane. This means it transports goods from point A to point B. However, because of its size and scale, the An-225 carries loads that other aeroplanes simply aren’t built to carry. After all, air travel is extremely sensitive to things like weight – but the AN-225 can carry an impressive 250 tons worth of weight.

Interestingly, charter company Chapman Freeborn recorded and coordinated the first ever use of the AN-225; a cargo transportation from Switzerland to Bahrain. Obviously, because of the special nature of this cargo plane, it does not enjoy as much varied or common usage as it’s perhaps more regular counterparts, who’re experiencing a greater boom in activity in recent years. It’s typically only brought out under special circumstances; i.e. a huge cargo to be transported! 

What cargo?

Of course, the plane doesn’t just ferry around any mundane and generic cargo that most planes do! No, initially, the AN-225 was built for a very specific and exciting purpose; to transport parts and components of the Buran space shuttle for the Soviet Union! Yes, it was built to facilitate the space race at a faster rate with its six powerful turbofan engines and 32 wheels to evenly distribute its weight.

Obviously, this level of use makes the plane not only important in usage, but historically significant too. People are endlessly researching its capabilities, and wondering about the possibilities of a second plane, which ultimately never finished its development. Consequently, the An-225 is certainly one of a kind – at least for now!

A tourist attraction

It’s far from being as cheap and tacky as it sounds, but because of the exceptional make and performance of the plane, something that’s been as magnificently crafted as the AN-225 is going to draw a few keen eyes. Visitors have traveled far and wide to catch a glimpse of the cargo plane in action, and most efforts end without a sighting due to the AN-225’s more exclusive nature in its usage.

Still, people do endeavor to witness the planes majesty for themselves and has historically been revered from when it was on display at the Paris Air Show in 1989, just a year from its first flight the year prior. There’s not quite a fledging industry built around it today due to its rare usage, but nevertheless, it is used as a tourist attraction in select periods of inactivity or pre-flight preparations. All it takes is one video to circulate the internet, and media buzz follows up soon after! Few planes (except for perhaps something like Air Force One) can influence that level of reaction, so doing so is undoubtedly an impressive feat!

Ultimately, the AN-225 has enjoyed a wide variety of media coverage and cargo transportation usage. It’s a cargo plane unlike any other and unrivalled in its capabilities, meaning it will stand the test of time for decades to come.

Descartes Announces Acquisition of CORE Transport Technologies for Air Cargo Support

Descartes Systems Group announced this week its acquisition of New-Zealand headquartered company CORE Transport Technologies for an up-front consideration of $21 million in addition to potential performance-based consideration. CORE’s customers – which include commercial airlines and ground handlers, utilize the company’s network to successfully track international mail, parcel and cargo shipments as well as US domestic mail and parcel shipments.

“As US domestic and international ecommerce continues to grow, more demands are being placed on carriers and their partners to deliver efficiently and report events in real-time,” said Ken Wood, EVP of Product Management at Descartes. “The CORE acquisition complements our recent investment in Velocity Mail, helping us to better serve the logistics service provider community working with postal authorities around the world. CORE’s solutions also extend beyond mail and parcel shipment tracking, with air cargo tracking solutions that we can add to our Global Logistics Network.”

CORE boasts ten years of providing global connections with trading partners and government postal authorities for its customers. By integrating automation and utilizing data analytics, CORE supports operational efficiencies and streamlined operations to support customers.

“We continue to look for opportunities to add customers, solutions and content to our Global Logistics Network to help our customers manage the lifecycle of shipments,” said Edward J. Ryan, Descartes’ CEO. “By combining with CORE, we’re strengthening our position in the growing domestic and global ecommerce market. We’re also adding new solutions to our Descartes Global Air Messaging Gateway that we believe will present a compelling opportunity for our global air cargo community to enhance real-time tracking and visibility of air shipments.”

Source: Descartes