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New Study Evaluates New Proposed Export Terminal

New Study Evaluates New Proposed Export Terminal

Seattle, WA – The Puget Sound Regional Council has released a study that evaluates the effects of train traffic in the region should the proposed Gateway Pacific Terminal near Bellingham be built.

The facility, built and operated by Pacific International Terminals, would serve as a dry bulk commodity export-import facility located at Cherry Point, Washington, about 100 miles north of Seattle.

Regional cities such as Everett, Auburn, Algona, Pacific and Fife, the study found, would be affected by more trains servicing the proposed terminal, noting that as the regional economy expands, “the demand for freight and passenger rail will increase whether the proposed terminal is not built or not.”

The Gateway Pacific Terminal, it said, would primarily handle coal and grain exports and  result in an additional 18 trains per day, each 1.6 miles long, running between the Powder River Basin in Montana and Wyoming through Washington.

The study found rail service is critical to maintaining the region’s growing economy and creating jobs. In 2012, the value of goods moving through the ports of Seattle, Tacoma and Everett were valued at more than $105 billion with exports accounting for nearly $40 billion of the total.

08/18/2014

Global Market Advisors Open New Office in Thailand

Las Vegas, NV – Global Market Advisors LLC, the international casino gaming, hospitality and travel industry consultancy, has opened an Asia regional office in the central business district of Bangkok, Thailand.

The new office will support the firm’s clients located in the region in an advisory capacity in areas such as financial feasibility,  marketing strategies, and government relations for companies in the casino gaming, hospitality, airlines, and financial industries.

Global Market Advisors, LLC and its casino gaming industry consulting division, Gaming Market Advisors, has a significant history in advising clients in South Korea, Thailand, Singapore, Japan, Taiwan, Philippines, and eastern Russia.

The firm also has a strong presence in the US servicing a myriad of clients in the casino gaming and hospitality industries from offices in Denver, Colorado, and Las Vegas, Nevada.

08/15/2014

Tips On Stemming the Flood Of Counterfeit Goods

Los Angeles, CA – Despite significant government efforts, China remains the world’s primary source of counterfeit goods, constituting 84 percent of shipment seizures in the US in 2012.

Experts, in fact, predict that the online trade of counterfeit goods in China will surpass the physical trade of such goods in the next two to three years.

The problem seems too vast and overwhelming to surmount, however, says Bob Youill, senior managing director in the Global Risk and Investigations practice of New York-based FTI Consulting, “doing so will never be easy, but it can be done” if companies take the appropriate steps.

In an article published this week in the FTI Journal, Youill, an acknowledged authority on product piracy, makes several suggestions on what US-based exporters, importers, retailers and manufacturers can do to stop the production, distribution and sale of counterfeit goods.

First, he says, declare your intellectual property. An effective anti-counterfeiting strategy for China, he says, “begins with begins with registering the relevant intellectual property rights in China, as Beijing doesn’t automatically recognize IP rights registered overseas.”

That done, writes Youill, “quantify the risk to your brand with in-house counsel working directly with key stakeholders to review the company’s markets inside and outside China and organize those markets into those that must be protected and those that are less important to focus on.”

Next, it needs to be understood that the primary responsibility for managing counterfeiting will rest mostly with in-house counsel and will involve representatives from different corporate functions, including a PR lead, external consultants, and internal stakeholders. To achieve that goal, “build your anti-counterfeit team.”

When considering tackling organized counterfeiting operations, a “best course of action” should be strategized that carefully analyzes various tactics that could include ‘street sweeps,’ Customs watches, administrative action, and civil or criminal proceedings.

Lastly, says Youill, “There are a number of risks to manage when dealing with Chinese authorities, such as controlling sensitive corporate information, fulfilling government requests for documents, overseeing internal reporting and complying with reporting rules. So, learn how to work with them.”

08/15/2014

 

Maersk to Raise Tariffs on Inland US Imports, Exports

Madison, NJ – Container shipping giant Maersk has said it will raise the tariff on US inland imports and exports due to intermodal “operational stress.”

In its notification letter to customers, the shipping giant cites chronic trucker shortages and surging cargo volumes that are causing delays at the rail and terminal levels.

Denmark-headquartered Maersk said it would raise its US inland import and export tariffs effective September 1, 2014, for all store door and container yard (CY) export shipments by truck, the tariff amount will increase by $25 across all equipment types.

For all store door and container yard import shipments, the company said, the tariff on 20’ and 40’STD equipment tariff rate will increase by $25; on 40’ HDRY by 20’ REEF and 40’ HREF  by $30; and on 45’  HDRY  by $35.

Maersk said it forecasts that intermodal costs in the industry “will continue to rise as the year progresses.”

08/14/2014

‘Electric Highway’ Planned at Ports of Los Angeles, Long Beach

Los Angeles, CA – Next summer, Southern California’s South Coast Air Quality Management District (AQMD) will begin a pilot ‘e-Highway’ system near the ports of Los Angeles and Long Beach.

The first of its kind in the US, the $13.5 million highway project to be built starting in early 2015 will consist of a two-way, 1-mile overhead electric catenary system along a major thoroughfare that runs between both mega-ports.

A catenary system consists of overhead wires that vehicles pass under to receive electrical charges using a pantograph, a contraption mounted on the roof of the vehicle to collect the electrical charges. They are most commonly used by trolleys and streetcars.

The e-Highway concept applies the catenary system to trucks, allowing them to collect electrical power with a pantograph that unfolds from the roof of a truck. After passing under the catenary system, trucks can switch to diesel, compressed natural gas, battery or another on-board energy source.

Up to four demonstration trucks — both battery-electric and hybrid types — will reportedly be used. Trucks on the ‘e-Highway’ will be able to travel at speeds up to 60 mph.

Germany-based global engineering company Siemens will build the catenary system as well as the “current collectors,” which would allow trucks at any speed to link and unlink from the ‘e-Highway.’

According to the AQMD, the ports of Los Angeles and Long Beach “are an optimal location for this kind of system because of the high concentration of diesel-powered trucks traveling relatively short distances between the ports and intermodal transfer facilities or distribution warehouses.

AQMD officials hope the demonstration “will lead to a reduction of fossil fuel and toxic air emissions, as well as save on transportation costs.”

08/14/2014

Boxed Imports Expected to Reach All-Time High

Washington, DC – Import volume at major US container ports is expected to hit an all-time record in August as retailers concerned about the lack of a West Coast longshoremen’s contract rush to bring holiday season merchandise into the country, according to the latest monthly Global Port Tracker report.

“The negotiations appear to be going well but each week that goes by makes the situation more critical as the holiday season approaches,” NRF Vice President for Supply Chain and Customs Policy Jonathan Gold said.

Retailers, he said, “are making sure they are stocked up so shoppers won’t be affected regardless of what happens at the ports.”

Import volume at the ports covered by the Global Port Tracker report, just released by the National Retail Federation (NRF) and business consultancy Hackett Associates, is expected to total 1.54 million containers this month.

That’s the highest monthly volume since NRF began tracking import volume in 2000, topping a previous record of 1.53 million set in July and unusually high numbers seen this spring as retailers began importing merchandise early in anticipation of this summer’s contract talks.

The contract between the Pacific Maritime Association (PMA) and the International Longshore and Warehouse Union (ILWU) expired on July 1 with dockworkers pledging to remain on the job as both sides continue to negotiate a new agreement.

Both sides report that the on-going contract negotiations have been “productive” with the NRF urging both sides to avoid any disruptions that could affect the flow of seasonal back-to-school or holiday merchandise.

US ports followed by the report handled 1.48 million TEUs (Twenty-foot Equivalent Units) in June, the latest month for which after-the-fact numbers are available. That was down 0.38 percent from May but up 9.1 percent from June 2013. One TEU is one 20-foot cargo container or its equivalent.

July was estimated at 1.53 million TEU, up 5.8 percent from the same month last year, and August is forecast at 1.54 million TEU, up 3.6 percent from last year. September is forecast at 1.48 million TEU, up 2.8 percent from last year; October also at 1.48 million TEU, up 3.3 percent; November at 1.37 million TEU, up 2 percent; and December at 1.34 million TEU, up 2.1 percent.

Those numbers would bring 2014 to a total of 17.1 million TEU, an increase of 5.2 percent over 2013’s 16.2 million. Imports in 2012 totaled 15.8 million. The first half of the 2014 totaled 8.3 million TEU, up 6.9 percent over last year.

The import numbers come as NRF is forecasting 3.6 percent sales growth in 2014. Cargo volume does not correlate directly with sales but is a barometer of retailers’ expectations.

Hackett Associates CEO Ben Hackett said the increases in volume reflect both improvements in the economy and retailers importing merchandise early because of the contract negotiations.

“US GDP has increased in 11 out of the last 12 quarters, confirming that we are in a sustained period of expansion,” Hackett said. “A significant portion of the strong upswing in imports has been due to the labor negotiations, with importers moving up shipments just in case.”

The Global Port Tracker covers container activity at the ports of Los Angeles, Long Beach, Oakland, Seattle and Tacoma on the US West Coast; New York/New Jersey, Hampton Roads, Charleston, Savannah, Port Everglades and Miami on the US East Coast, and Houston on the US Gulf Coast.

08/13/2014

MRP

DHL Opens New Tokyo Distribution Hub

Tokyo, Japan – Logistics and shipping giant DHL has broken ground at its new $89 million custom-built Tokyo Gateway at Shin-kiba, Tokyo.

Slated for completion in the first quarter of 2016, the company reports the 46,000 square foot DHL Express Tokyo Gateway is DHL Express’ fourth gateway facility in Tokyo.

Located at the same strategic area where the DHL Tokyo Distribution Center (TDC) is currently situated, the new DHL Express Tokyo Gateway is accessible from the Narita International Airport, Haneda Airport, and Tokyo’s business districts.

“Japan is on the cusp of an economic revival, with slow but evident growth and imports reaching an all-time high of $800 billion last year,” said Jerry Hsu, CEO of DHL Express Asia Pacific. “In tandem with the country’s remarkable economic recovery, this investment will provide DHL sufficient capacity to accommodate current and future growth.”

Built to take over and extend the TDC’s operations, DHL said the new building will feature a 20,000-square-meter floor area including a gateway operations area that offering Customs clearance and bonded warehousing services.

In addition, the shipping giant said the new gateway would also house a pick-up and delivery service center for customers.

08/13/2014

Egyptian Government Plans New, Improved Suez Canal

Los Angeles, CA – The Egyptian government has reportedly launched a new project to construct a “new” Suez Canal that will run for 45 miles parallel to the existing waterway.

According to the Head of the Suez Canal Authority,  Mohab Mamish, the new canal “will reduce passing ships’ waiting time from 11 hours to as little as three hours” as they move from Port Said on the Mediterranean to the Red Sea terminus of Port Tawfiq.

The existing canal is too narrow for two-way passage, so transiting ships are moved in convoys or use bypasses.

The original, sea-level canal extends for 102 miles and has been the major route for shipping moving between Europe, India and the Far East since it was completed in 1869 after ten years of work. In 24 hours, the canal can handle as many as 76 ships.

The Suez Canal, a major chess piece in international geopolitics for all of its 145 year existence, earns Egypt about $5 billion annually, important for a country that has suffered a reduction in tourism and foreign investment over the last three years because of Egypt’s continuing political tensions.

The new canal is expected to increase annual revenues to $13.5 billion by 2023, said Mamish. The total estimated cost of drilling the new channel would be about $4 billion and should be completed in five years, he said.

Egypt, said Mamish, will eschew using foreign companies to build the planned canal and instead use its own firms, a move expected to create several thousand, much-need jobs.

At the same time, Cairo has said a consortium including the Egyptian Army will develop an international industrial and logistics hub in Suez to attract more shipping and logistics business to the country.

08/12/2014

IKEA ‘Powers Up’ Pennsylvania Distribution Center

Conshohocken, PA –IKEA has plugged-in an expansion of the solar array atop its Perryville, Maryland distribution center, the state’s largest such solar energy system.

Installation of the new panels began Fall 2013, and since then have nearly doubled the size of the original project, which already was the state’s largest rooftop array.

The 467,618-square-foot solar addition consists of a 2.2-MW system, built with 7,337 modules, and will produce 2.7 kWh of electricity annually.

Including the existing system, the 1.7 million-square foot distribution center’s total 4.9-MW solar installation of 25,913 panels now generating enough electricity to power 591 homes.

For the development, design and installation of the Perryville distribution center’s original and expanded solar power system, IKEA contracted with Indiana-based Inovateus Solar LLC, a distributor and integrator specializing in large-scale solar installations.

IKEA US has solar arrays atop 90% of its locations, has announced plans to purchase 49 wind turbines in Illinois, and has rolled-out EV charging stations at 13 stores.

In 2014, IKEA achieved its goal of completing solar installations atop nearly 90 percent of its US buildings (39 out of 44 locations), with a generation goal of 38 MW.

The Swedish company owns and operates each of its solar PV energy systems – as opposed to a solar lease or PPA (power purchase agreement) – and globally has allocated $1.8 billion to invest in renewable energy through 2015.

IKEA’s corporate strategy includes the goal of being energy independent by 2020. The company has installed more than 550,000 solar panels on buildings across the world and owns/operates approximately 157 wind turbines in Europe and Canada.

There are currently more than 350 IKEA stores in 44 countries, including 38 in the US.

08/11/2014

Hola y Mucho Gusto, America! This Montejo’s for You!

Los Angeles, CA – Anheuser-Busch is importing its first Mexican lager to the US in a concerted campaign to tap the fast-growing Hispanic market.

Anheuser-Busch said that starting next month it will sell Montejo lager in bars, restaurants and grocery stores in California, Texas, Arizona, and New Mexico.

Nearly 55 percent of all imported lagers in the US are imported from Mexico, including such brands as Corona, Modelo, Tecate and Dos Equis, according to market researcher Euromonitor International.

The Mexican import market in $2012 was valued at $1.8 billion with South of the Border brands currently commanding a 60 percent share of the US imported beer market.

“There’s obviously a growing consumer demand and preference for Mexican beers in the US,” Ryan Garcia, Anheuser-Busch’s vice president of regional marketing, said in a press interview.

That’s due to both demographics, but also to price as Mexican beers tend to be cheaper because import costs are lower, said Euromonitor.

With origins in Mexicos’s Merida, Yucatan, Montejo is brewed at Cerveceria Modelo S. de R.L. de C.V. in Oaxaca, Mexico.

Its export to the US market will be the first time the brand is available outside of Mexico. According to InBev, current plans don’t call for Montejo to be made available beyond the southwestern US, where most current sales of Mexican imports occur.

Anheuser-Busch, a subsidiary of Belgium-based Anheuser-Busch InBev, the world’s largest beer maker, will launch Montejo in California, New Mexico, Arizona and Texas with an integrated advertising and marketing campaign that includes Hispanic targeted radio, digital, print, experiential and outdoor advertising.

Consumers in Los Angeles, Houston and San Antonio residents will also catch a glimpse of one of Mexico City’s classic VW Beetle “vocho” taxicabs delivering Montejo samples to various local events and festivals.

08/11/2014