<div class="phx-topic abstract-wrapper">Shipping Corporation of India reported its net loss in the first fiscal quarter, which ended June 30, widened to $16.2 million from $9 million a year earlier, as operating income and profit from disposal of ships declined sharply in a tight global shipping market.</div>

Shipping Corporation of India reported its net loss in the first fiscal quarter, which ended June 30, widened to $16.2 million from $9 million a year earlier, as operating income and profit from disposal of ships declined sharply in a tight global shipping market.

<div>Shipping Corporation of India reported its net loss in the first fiscal quarter, which ended June 30, widened to $16.2 million from $9 million a year earlier, as operating income and profit from disposal of ships declined sharply in a tight global shipping market.Quarterly revenue totaled $160 million, down 23 percent from $207 million in the same period in 2012. Profit accrued on “sale of ships” decreased to $2.8 million from $7 million.The national carrier narrowed its liner segment operating loss to about $810,000 from $6.6 million in the year-ago quarter. Operating revenue from liner operations dropped to $40 million...

Shipping Corporation of India reported its net loss in the first fiscal quarter, which ended June 30, widened to $16.2 million from $9 million a year earlier, as operating income and profit from disposal of ships declined sharply in a tight global shipping market. Quarterly revenue totaled $160 million, down 23 percent from $207 million in the same period in 2012. Profit accrued on “sale of ships” decreased to $2.8 million from $7 million. The national carrier narrowed its liner segment operating loss to about $810,000 from $6.6 million in the year-ago quarter. Operating revenue from liner operations dropped to $40 million from $55 million. SCI’s core bulk shipping business slumped to a $16.7 million loss from an $8.2 million operating profit. Income from the bulk division was $103.4 million, down from $139.5 million. Operating expenses for the first quarter amounted to $170 million, decreasing 15 percent from $201 million a year ago. SCI, India’s largest shipping line, cut its net loss in fiscal year 2012-13, which ended March 31, 2013, to $20.4 million from $76.4 million in the previous year. The carrier currently has a fleet of 79 vessels with a total cargo-carrying capacity of about 5.9 million deadweight tons.

Container lines

Shipping Corp. of India’s Loss Widens

<div class="phx-topic abstract-wrapper">While the second quarter is typically strong for freight demand, the logistics provider said the market is far from normal after the Trump administration’s tariffs spooked its customers. </div>

While the second quarter is typically strong for freight demand, the logistics provider said the market is far from normal after the Trump administration’s tariffs spooked its customers.

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<div class="phx-topic">C.H. Robinson on Thursday reported better-than-expected first-quarter earnings that benefited from firmer pricing in its truckload business and market share gains. Despite the second quarter typically being strong for freight demand, the company said US tariffs on China will likely impact results as its forwarding customers pause and cancel shipments. The largest US truck brokerage reported 2025 first-quarter earnings of $1.17 per share, which beat a consensus average estimate of $1.05 per share from Capital IQ Estimates, a sister company of the Journal of Commerce within S&amp;P Global. C.H. Robinson’s trucking business fueled the earnings gain. Despite revenue from its North American surface transportation business declining 4% to $2.8 billion, the segment’s operating income rose 32% to $143 million. Michael Castagnetto, C.H. Robinson’s president of surface transportation, said during the company’s earnings call that overall surface volumes were down 1% from a year ago versus a 6.3% drop in the Cass Freight Shipment index. Along with taking more market share, Castagnetto said C.H. Robinson got a better rate on each shipment, with the average gross profit on each shipment up 4% from a year earlier. “Our team of freight experts continues to respond to the challenging freight environment with pricing discipline,” he said. “All of this led to improvement in the average gross profit yield within both our transactional and our contractual truckload business and in our less-than-truckload business.” A similar dynamic played out in C.H. Robinson’s forwarding business, where revenue fell 10% to $774 million due to lower overall freight rates. However, segment operating income rose 36% to $42.9 million thanks to higher yields on each ocean and air shipment and a lower headcount in the forwarding unit. But that unit is heavily exposed to China, which accounts for 25% of C.H. Robinson’s forwarding volume. Chief Executive David Bozeman said the company will feel the effects of the Trump administration’s tariffs against China as many customers canceled or paused purchase orders, “causing ocean bookings out of China to decline in Q2.” While the second quarter is typically strong for freight demand, Bozeman said it was unclear whether that seasonal trend would take shape due to the economic uncertainty created by tariffs. “The new tariffs and fluid trade policies have created market uncertainty and a lack of clarity, making planning activities more difficult and causing many customers to adopt a wait-and-see approach until they understand the impact on consumer spending and global demand,” he said during the conference call. Contact Michael Angell at <a href="mailto:michael.angell@spglobal.com">michael.angell@spglobal.com</a>. </div>

C.H. Robinson on Thursday reported better-than-expected first-quarter earnings that benefited from firmer pricing in its truckload business and market share gains. Despite the second quarter typically being strong for freight demand, the company said US tariffs on China will likely impact results as its forwarding customers pause and cancel shipments. The largest US truck brokerage reported 2025 first-quarter earnings of $1.17 per share, which beat a consensus average estimate of $1.05 per share from Capital IQ Estimates, a sister company of the Journal of Commerce within S&P Global. C.H. Robinson’s trucking business fueled the earnings gain. Despite revenue from its North American surface transportation business declining 4% to $2.8 billion, the segment’s operating income rose 32% to $143 million. Michael Castagnetto, C.H. Robinson’s president of surface transportation, said during the company’s earnings call that overall surface volumes were down 1% from a year ago versus a 6.3% drop in the Cass Freight Shipment index. Along with taking more market share, Castagnetto said C.H. Robinson got a better rate on each shipment, with the average gross profit on each shipment up 4% from a year earlier. “Our team of freight experts continues to respond to the challenging freight environment with pricing discipline,” he said. “All of this led to improvement in the average gross profit yield within both our transactional and our contractual truckload business and in our less-than-truckload business.” A similar dynamic played out in C.H. Robinson’s forwarding business, where revenue fell 10% to $774 million due to lower overall freight rates. However, segment operating income rose 36% to $42.9 million thanks to higher yields on each ocean and air shipment and a lower headcount in the forwarding unit. But that unit is heavily exposed to China, which accounts for 25% of C.H. Robinson’s forwarding volume. Chief Executive David Bozeman said the company will feel the effects of the Trump administration’s tariffs against China as many customers canceled or paused purchase orders, “causing ocean bookings out of China to decline in Q2.” While the second quarter is typically strong for freight demand, Bozeman said it was unclear whether that seasonal trend would take shape due to the economic uncertainty created by tariffs. “The new tariffs and fluid trade policies have created market uncertainty and a lack of clarity, making planning activities more difficult and causing many customers to adopt a wait-and-see approach until they understand the impact on consumer spending and global demand,” he said during the conference call. Contact Michael Angell at michael.angell@spglobal.com .

Supply chain

Forwarding

Trans-Pacific

Trucking News

C.H. Robinson’s forwarding business faces muddy Q2 on China uncertainty

<div class="phx-topic abstract-wrapper">The Los Angeles-Long Beach complex, which handles about half of all US imports from Asia, is so far due to experience 59 blanked sailings between May 1 and June 30.</div>

The Los Angeles-Long Beach complex, which handles about half of all US imports from Asia, is so far due to experience 59 blanked sailings between May 1 and June 30.

<div class="phx-topic">Ports and marine terminals along the US West Coast are bracing for what could be a massive drop in imports moving across their docks in the coming weeks as the tangible impacts of blank sailings and half-empty container ships arriving from China become apparent. The effects of the US trade dispute with Beijing will be most visible in Southern California, where stakeholders at the ports of Los Angeles and Long Beach — the US’ busiest gateway — expect a huge cut in imports in May, with a 35% decline in Los Angeles and 38% in Long Beach compared with their normal monthly volumes. “Leading indicators forecast a significant dip in container ship arrivals in the next one to two weeks,” Kip Louttit, executive director of the Marine Exchange of Southern California, said. The Los Angeles-Long Beach complex, which handles about half of all US imports from Asia, is so far due to experience 59 blanked, or canceled, sailings between May 1 and June 30, according to both ports. That number, which could rise, means that about 65,000 to 71,000 TEUs of imports won’t be landing in Southern California each week for the next few weeks. A spokesperson for the Port of Los Angeles said 17 blank sailings are scheduled for May and 12 for June. Long Beach is scheduled to have 13 blanked sailings in May and 17 in June, according to Noel Hacegaba, the port’s chief operating officer. The impact of the blanked sailings will vary from terminal to terminal depending on the lines that call there and the origin of the imports, said Alan McCorkle, president and CEO of Yusen Terminals in Los Angeles. “We’re all experiencing it to some degree,” he said. “We expect a couple of blanks in May.” When cargo volumes drop precipitously, terminal operators generally reduce their gate hours, McCorkle said. “We’ll close two or three gates a week to right-size our operation.” <div class="wrapper-narrow"><dynamic-object type="jocchartid" resource-id="1c1d9578-c129-4d4e-a136-e220473bd136"></dynamic-object></div>While dockworkers won’t face lower pay or job cuts given their contract protections, the International Longshore and Warehouse Union (ILWU) nonetheless savaged the Trump administration this week for implementing the tariffs and for the trade dispute they ignited with China. “Tariffs are taxes. These and other reckless, shortsighted policies have begun to devastate American workers, harm critical sectors of the economy, and line the pockets of the ultra-wealthy at the expense of hardworking families,” the union said in a statement. “Hundreds of thousands of jobs are dependent on or connected to global trade,” the ILWU added. “Constricted trade between the world’s two largest economies could lead to devastating job losses for workers employed in the global supply chain.” <h3>Imports to drop in Oakland and NWSA </h3>Further up the West Coast, the Port of Oakland likewise anticipates a drop in vessel calls and import volumes over the next two months. “In recent weeks, vessel service reductions have increased,” a port spokesperson said. “Between April and June, 39 blank sailings have been announced across multiple shipping alliances calling Oakland. These reductions tighten available vessel capacity for both imports and exports.” The Northwest Seaport Alliance (NWSA) of Seattle and Tacoma does not have formal projections on volumes, a port spokesperson said. But while import volumes to date this year have been strong, that appears to be changing. “We are seeing some vessels coming in with less cargo than anticipated, and we are hearing from exporters and importers directly on canceled orders, especially with China,” the spokesperson said. “These impacts are real and will likely be reflected in our data in the coming months.” China accounts for 51% of NWSA imports and 40% of the port complex’s total trade, the spokesperson noted. <h3>Vancouver unaffected </h3>The Port of Vancouver does not anticipate a drop in import volumes due to the US tariffs on imports from China, said Rosanna Lau, manager of trade development at the Vancouver-Fraser Port Authority. “Our forecasts for the coming weeks indicate that container volumes at the Port of Vancouver will remain consistent with seasonal norms,” Lau said. “It is worth noting that the overwhelming majority of container traffic moving through the port is Canadian trade and not directly affected by US tariffs.” The Port of Prince Rupert said 17 blank sailings are scheduled across May and June; that is five more blanks than the same period last year, a port spokesperson said. Contact Bill Mongelluzzo at <a href="mailto:bill.mongelluzzo@spglobal.com">bill.mongelluzzo@spglobal.com</a>.</div>

Ports and marine terminals along the US West Coast are bracing for what could be a massive drop in imports moving across their docks in the coming weeks as the tangible impacts of blank sailings and half-empty container ships arriving from China become apparent. The effects of the US trade dispute with Beijing will be most visible in Southern California, where stakeholders at the ports of Los Angeles and Long Beach — the US’ busiest gateway — expect a huge cut in imports in May, with a 35% decline in Los Angeles and 38% in Long Beach compared with their normal monthly volumes. “Leading indicators forecast a significant dip in container ship arrivals in the next one to two weeks,” Kip Louttit, executive director of the Marine Exchange of Southern California, said. The Los Angeles-Long Beach complex, which handles about half of all US imports from Asia, is so far due to experience 59 blanked, or canceled, sailings between May 1 and June 30, according to both ports. That number, which could rise, means that about 65,000 to 71,000 TEUs of imports won’t be landing in Southern California each week for the next few weeks. A spokesperson for the Port of Los Angeles said 17 blank sailings are scheduled for May and 12 for June. Long Beach is scheduled to have 13 blanked sailings in May and 17 in June, according to Noel Hacegaba, the port’s chief operating officer. The impact of the blanked sailings will vary from terminal to terminal depending on the lines that call there and the origin of the imports, said Alan McCorkle, president and CEO of Yusen Terminals in Los Angeles. “We’re all experiencing it to some degree,” he said. “We expect a couple of blanks in May.” When cargo volumes drop precipitously, terminal operators generally reduce their gate hours, McCorkle said. “We’ll close two or three gates a week to right-size our operation.” While dockworkers won’t face lower pay or job cuts given their contract protections, the International Longshore and Warehouse Union (ILWU) nonetheless savaged the Trump administration this week for implementing the tariffs and for the trade dispute they ignited with China. “Tariffs are taxes. These and other reckless, shortsighted policies have begun to devastate American workers, harm critical sectors of the economy, and line the pockets of the ultra-wealthy at the expense of hardworking families,” the union said in a statement. “Hundreds of thousands of jobs are dependent on or connected to global trade,” the ILWU added. “Constricted trade between the world’s two largest economies could lead to devastating job losses for workers employed in the global supply chain.” Imports to drop in Oakland and NWSA Further up the West Coast, the Port of Oakland likewise anticipates a drop in vessel calls and import volumes over the next two months. “In recent weeks, vessel service reductions have increased,” a port spokesperson said. “Between April and June, 39 blank sailings have been announced across multiple shipping alliances calling Oakland. These reductions tighten available vessel capacity for both imports and exports.” The Northwest Seaport Alliance (NWSA) of Seattle and Tacoma does not have formal projections on volumes, a port spokesperson said. But while import volumes to date this year have been strong, that appears to be changing. “We are seeing some vessels coming in with less cargo than anticipated, and we are hearing from exporters and importers directly on canceled orders, especially with China,” the spokesperson said. “These impacts are real and will likely be reflected in our data in the coming months.” China accounts for 51% of NWSA imports and 40% of the port complex’s total trade, the spokesperson noted. Vancouver unaffected The Port of Vancouver does not anticipate a drop in import volumes due to the US tariffs on imports from China, said Rosanna Lau, manager of trade development at the Vancouver-Fraser Port Authority. “Our forecasts for the coming weeks indicate that container volumes at the Port of Vancouver will remain consistent with seasonal norms,” Lau said. “It is worth noting that the overwhelming majority of container traffic moving through the port is Canadian trade and not directly affected by US tariffs.” The Port of Prince Rupert said 17 blank sailings are scheduled across May and June; that is five more blanks than the same period last year, a port spokesperson said. Contact Bill Mongelluzzo at bill.mongelluzzo@spglobal.com .

Container Shipping News

Port News

Transport, Trade and Regulation News

North American ports

Marine terminals

Maritime

Uneasy West Coast ports watch as first signs of trade war with China emerge

<div class="phx-topic abstract-wrapper">The country’s trade commission originally fined 11 foreign carriers and 12 domestic lines following a three-year investigation that showed the lines fixed rates 120 times over a 15-year period on South Korea-Southeast Asia services.</div>

The country’s trade commission originally fined 11 foreign carriers and 12 domestic lines following a three-year investigation that showed the lines fixed rates 120 times over a 15-year period on South Korea-Southeast Asia services.

<div class="phx-topic">South Korea’s Supreme Court has backed the country’s Fair Trade Commission (FTC) in imposing hefty fines against 23 ocean carriers, including Evergreen Marine and Cosco Shipping, in a long-running anti-trust case over rate fixing on routes between South Korea and Southeast Asia. The fines totaled about $81 million when they were imposed in 2022, although currency fluctuations have reduced the dollar equivalent to $67 million. In a nine-page ruling, the five-member Supreme Court unanimously quashed rulings by Seoul’s high court to allow appeals by Evergreen and at least five other carriers that overturned the FTC’s fines against them. Evergreen and the other carriers, including HMM and Korea Marine Transport Company (KMTC), had appealed individually to the Seoul court. KMTC received the highest fine, equivalent to $21 million now. The Supreme Court judges said the Seoul court’s “judgment misunderstood the legal theory regarding the scope of application of the old Fair Trade Act” used by the FTC to penalize the carriers. That, in turn, affected the outcome of the judgment, the Supreme Court judges said. The case has now been sent back to Seoul high court for a new hearing and decision, a move that is likely to support the FTC’s decision to fine the carriers. The FTC originally fined the 11 foreign carriers and 12 domestic lines following a three-year investigation that showed container lines operating South Korea-Southeast Asia services fixed rates 120 times over a 15-year period between December 2003 and December 2018. While price collusion was not illegal under the previous Fair Trade Act, it could only be carried out in discussion with shippers and with the details reported to South Korea’s Oceans and Fisheries Ministry within 30 days. As carriers did not abide by those two rules, the FTC said the price fixing was “illegal.” Aside from Evergreen, the other foreign lines involved include OOCL, Taiwan carriers Yang Ming and Wan Hai, Maersk subsidiary Sealand Asia, and CNC, part of CMA CGM group. Contact Keith Wallis at <a href="mailto:keithwallis@hotmail.com">keithwallis@hotmail.com</a>.</div>

South Korea’s Supreme Court has backed the country’s Fair Trade Commission (FTC) in imposing hefty fines against 23 ocean carriers, including Evergreen Marine and Cosco Shipping, in a long-running anti-trust case over rate fixing on routes between South Korea and Southeast Asia. The fines totaled about $81 million when they were imposed in 2022, although currency fluctuations have reduced the dollar equivalent to $67 million. In a nine-page ruling, the five-member Supreme Court unanimously quashed rulings by Seoul’s high court to allow appeals by Evergreen and at least five other carriers that overturned the FTC’s fines against them. Evergreen and the other carriers, including HMM and Korea Marine Transport Company (KMTC), had appealed individually to the Seoul court. KMTC received the highest fine, equivalent to $21 million now. The Supreme Court judges said the Seoul court’s “judgment misunderstood the legal theory regarding the scope of application of the old Fair Trade Act” used by the FTC to penalize the carriers. That, in turn, affected the outcome of the judgment, the Supreme Court judges said. The case has now been sent back to Seoul high court for a new hearing and decision, a move that is likely to support the FTC’s decision to fine the carriers. The FTC originally fined the 11 foreign carriers and 12 domestic lines following a three-year investigation that showed container lines operating South Korea-Southeast Asia services fixed rates 120 times over a 15-year period between December 2003 and December 2018. While price collusion was not illegal under the previous Fair Trade Act, it could only be carried out in discussion with shippers and with the details reported to South Korea’s Oceans and Fisheries Ministry within 30 days. As carriers did not abide by those two rules, the FTC said the price fixing was “illegal.” Aside from Evergreen, the other foreign lines involved include OOCL, Taiwan carriers Yang Ming and Wan Hai, Maersk subsidiary Sealand Asia, and CNC, part of CMA CGM group. Contact Keith Wallis at keithwallis@hotmail.com .

South Korea’s highest court orders new hearing in carrier rate-fixing saga

<div class="phx-topic abstract-wrapper">A range of factors including full yards, labor unrest and carrier network changes are making it difficult for the hubs to clear container bottlenecks.</div>

A range of factors including full yards, labor unrest and carrier network changes are making it difficult for the hubs to clear container bottlenecks.

<div class="phx-topic">North Europe’s largest port gateways are continuing to struggle with persistent congestion that has delayed vessels and hampered container operations at the hubs for months. Full container yards, labor unrest, staff shortages and changing carrier alliance networks are among the challenges being piled on top of a steady inbound volume from Asia. “This is systemic by nature and will resurface on a regular basis,” Scan Global Logistics said in a market update this week. The Denmark-based forwarder also noted that the launch of the Gemini Cooperation between Hapag-Lloyd and Maersk “complicates efforts to sustain operational efficiency while the new rotations are phased in.” Kuehne + Nagel’s SeaExplorer visibility platform warned that “heavily disrupted operations” were being experienced at Antwerp, Rotterdam, Hamburg and London Gateway. A national strike in Belgium on April 29, the fourth strike in the country within the past few months, shut down the Port of Antwerp for the day as workers from the private and public sectors protested recent budget cuts made by the federal government. There were 19 vessels waiting to depart from Antwerp on Thursday and 20 waiting to enter the port. SeaExplorer noted that already congested yards there have seen a seven-day average vessel waiting time of about 2.19 days; Scan Global put the seven-day waiting time in Antwerp as high as seven days. <h3>Low-water advisory hampers inland shipping </h3>Labor shortages at Rotterdam because of national holidays are impacting container operations at the port, according to SeaExplorer, with vessels waiting for more than a day to berth. Intermodal operator Contargo told customers in an advisory Wednesday that average waiting times for the handling of barges were 71 hours in Rotterdam and 101 hours in Antwerp. A low-water advisory is also in place on the Rhine River, limiting the volume that can be carried by barges on Europe’s largest inland waterway connecting the industrial heartland of southern Germany to Rotterdam and Antwerp. Container delivery restrictions were imposed by Hamburg’s main terminal operator HHLA in April to tackle yard congestion. Vessel waiting times at Hamburg are currently up to five days, according to Scan Global. On top of ships being delayed in Hamburg, rail shipments are taking up to 10 hours to process and disrupting all terminals in the port. Intermodal logistics operator Metrans said trains to the German ports of Bremerhaven and Wilhelmshaven were experiencing long delays due to unplanned line closures around Hannover following a landslide in the area. Detour routes were up to 200 kilometers long and battling with overcapacity that was stopping trains and blocking traffic to and from Rotterdam and the inland rail hub of Duisburg. The disrupted train circulation was also having a major impact on service to and from Hamburg. In France, the Port of Le Havre is struggling to catch up with container backlogs following several strikes held in April, while the UK ports of Felixstowe and Southampton are also experiencing lengthy vessel delays. Contact Greg Knowler at <a href="mailto:greg.knowler@spglobal.com">greg.knowler@spglobal.com</a>. </div>

North Europe’s largest port gateways are continuing to struggle with persistent congestion that has delayed vessels and hampered container operations at the hubs for months. Full container yards, labor unrest, staff shortages and changing carrier alliance networks are among the challenges being piled on top of a steady inbound volume from Asia. “This is systemic by nature and will resurface on a regular basis,” Scan Global Logistics said in a market update this week. The Denmark-based forwarder also noted that the launch of the Gemini Cooperation between Hapag-Lloyd and Maersk “complicates efforts to sustain operational efficiency while the new rotations are phased in.” Kuehne + Nagel’s SeaExplorer visibility platform warned that “heavily disrupted operations” were being experienced at Antwerp, Rotterdam, Hamburg and London Gateway. A national strike in Belgium on April 29, the fourth strike in the country within the past few months, shut down the Port of Antwerp for the day as workers from the private and public sectors protested recent budget cuts made by the federal government. There were 19 vessels waiting to depart from Antwerp on Thursday and 20 waiting to enter the port. SeaExplorer noted that already congested yards there have seen a seven-day average vessel waiting time of about 2.19 days; Scan Global put the seven-day waiting time in Antwerp as high as seven days. Low-water advisory hampers inland shipping Labor shortages at Rotterdam because of national holidays are impacting container operations at the port, according to SeaExplorer, with vessels waiting for more than a day to berth. Intermodal operator Contargo told customers in an advisory Wednesday that average waiting times for the handling of barges were 71 hours in Rotterdam and 101 hours in Antwerp. A low-water advisory is also in place on the Rhine River, limiting the volume that can be carried by barges on Europe’s largest inland waterway connecting the industrial heartland of southern Germany to Rotterdam and Antwerp. Container delivery restrictions were imposed by Hamburg’s main terminal operator HHLA in April to tackle yard congestion. Vessel waiting times at Hamburg are currently up to five days, according to Scan Global. On top of ships being delayed in Hamburg, rail shipments are taking up to 10 hours to process and disrupting all terminals in the port. Intermodal logistics operator Metrans said trains to the German ports of Bremerhaven and Wilhelmshaven were experiencing long delays due to unplanned line closures around Hannover following a landslide in the area. Detour routes were up to 200 kilometers long and battling with overcapacity that was stopping trains and blocking traffic to and from Rotterdam and the inland rail hub of Duisburg. The disrupted train circulation was also having a major impact on service to and from Hamburg. In France, the Port of Le Havre is struggling to catch up with container backlogs following several strikes held in April, while the UK ports of Felixstowe and Southampton are also experiencing lengthy vessel delays. Contact Greg Knowler at greg.knowler@spglobal.com .

Trans-Atlantic

Asia-Europe

International ports

No end to the congestion choking gateway ports in North Europe

<div class="phx-topic abstract-wrapper">Lineage will acquire four existing warehouses in the US from Tyson and develop two other next-generation facilities where the food conglomerate will be the anchor tenant.</div>

Lineage will acquire four existing warehouses in the US from Tyson and develop two other next-generation facilities where the food conglomerate will be the anchor tenant.

<div class="phx-topic">Cold chain storage company Lineage will invest $1 billion in US warehousing “over the coming years” in a partnership with Tyson Foods. The multi-faceted deal, announced by Lineage on Wednesday, includes the acquisition of four existing warehouses from Tyson for $247 million and the development of two fully automated warehouses, with Tyson as an anchor tenant, at a cost of $740 million. The four existing warehouses, which offer about a combined 49 million cubic feet of storage space and 160,000 pallet positions, are in Pennsylvania, Kansas, Illinois and Arizona. Lineage will also be bringing on 1,000 Tyson employees as part of the acquisition. Under the deal, expected to close in the second quarter, Lineage and Tyson will also enter a multi-year agreement under which Lineage will design, build and operate two new fully automated cold storage warehouses for Tyson. The two warehouses will add more than 80 million cubic feet and almost 260,000 pallet positions to the Lineage network, which currently consists of 84.1 million square feet across 480 facilities in North America, Europe and Asia-Pacific. “This expansion signals what we see as the next evolution of cold chain operations and reflects the growing demand for smarter, more responsive supply chain networks,” Lineage CEO Greg Lehmkuhl said in a statement. “We’re creating more than cold storage infrastructure — we’re setting the foundation for agile, intelligent supply chains built for resilience and precision.” In Lineage’s first-quarter financials posted Wednesday, the company recorded a 2.7% year-over-year decline in revenue and a 7% decrease in adjusted earnings before interest, taxes, depreciation and amortization (EBITDA). Since Lineage’s <a href="https://www.joc.com/article/tpm25-lineage-using-big-2024-ipo-to-launch-companys-next-moves-5956592">initial public offering last July</a>, the stock’s value has fallen 42% to $46.76 per share Contact Laura Robb at <a href="mailto:Laura.Robb@spglobal.com">laura.robb@spglobal.com</a>.  </div>

Cold chain storage company Lineage will invest $1 billion in US warehousing “over the coming years” in a partnership with Tyson Foods. The multi-faceted deal, announced by Lineage on Wednesday, includes the acquisition of four existing warehouses from Tyson for $247 million and the development of two fully automated warehouses, with Tyson as an anchor tenant, at a cost of $740 million. The four existing warehouses, which offer about a combined 49 million cubic feet of storage space and 160,000 pallet positions, are in Pennsylvania, Kansas, Illinois and Arizona. Lineage will also be bringing on 1,000 Tyson employees as part of the acquisition. Under the deal, expected to close in the second quarter, Lineage and Tyson will also enter a multi-year agreement under which Lineage will design, build and operate two new fully automated cold storage warehouses for Tyson. The two warehouses will add more than 80 million cubic feet and almost 260,000 pallet positions to the Lineage network, which currently consists of 84.1 million square feet across 480 facilities in North America, Europe and Asia-Pacific. “This expansion signals what we see as the next evolution of cold chain operations and reflects the growing demand for smarter, more responsive supply chain networks,” Lineage CEO Greg Lehmkuhl said in a statement. “We’re creating more than cold storage infrastructure — we’re setting the foundation for agile, intelligent supply chains built for resilience and precision.” In Lineage’s first-quarter financials posted Wednesday, the company recorded a 2.7% year-over-year decline in revenue and a 7% decrease in adjusted earnings before interest, taxes, depreciation and amortization (EBITDA). Since Lineage’s initial public offering last July , the stock’s value has fallen 42% to $46.76 per share Contact Laura Robb at laura.robb@spglobal.com . 

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Cold chain warehouse major Lineage to invest $1 billion in Tyson storage deal

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The world of LTL is slow to embrace change. Business anachronisms permeate current supply chain processes. These vestiges of the way things used to work define the LTL freight transportation procurement process of many modern shippers.David Knuth, logistics specialist at IEWC, a global supplier of cable and wire based in Wisconsin, is happy to have modernized the RFP process, automating the entire LTL bidding procedure with Bid$ense, SMC³’s automated truckload and LTL freight transportation sourcing solution. But when prompted, he can still recall what once was.In his previous job, a large part of his duties were consumed by creating an intermodal bid package for carriers. In a spreadsheet, Knuth detailed the company’s volumes lane by lane, taking care to delete any errant keystrokes or misleading data. He would then email out the information to each carrier, taking time to respond to detailed technical questions about the spreadsheet data. Finally, he had to compile all the results, create an algorithm that would compare the carriers on each lane, and award the business.“It was a huge undertaking. It took about four months to do,” Knuth said of the old process. “It was almost a full-time job for that part of the year, every year.”In his new job at IEWC, he sat down with Bid$ense on day one and was amazed at the capabilities. Knuth had never before used a bid tool. SMC³’s latest versions of Bid$ense automate the process even further, taking truckload and LTL RFPs entirely online. The tool draws on RFP best-practices protocols to streamline the bidding communication process, enabling bidding carriers to respond accurately and promptly to shipper requests. The solution also does all the distribution work automatically, electronically submitting shipper bid data to carriers based on their actual service capabilities and performance records. Carriers are alerted with timely prompts for RFP deliverables, so shippers aren’t waiting by the phone for responses.Another benefit of automating the process is the data-cleansing assistance. When Knuth sent spreadsheets to carriers, data errors might cloud the bidding process; he might have to resend data or simply accept a price that did not truly reflect the costs of doing business. Data cleansing is incredibly beneficial, he said.The spreadsheet technique also made bidding analysis an onerous task. Since Bid$ense automates and streamlines the entire RFP process, intensive examination is now simple. SMC³ knows that each bid has more than one best outcome. With uniform responses from each carrier, shippers can quickly rank results and create an unlimited quantity of what-if scenarios to make the optimal procurement decision.Jesse Burnett of Central Garden &amp; Pet experiences many of the same benefits. Founded in 1980, Central Garden &amp; Pet has spent the last three decades growing from a small garden supply company to a provider of a range of products from dog chews and bird seed to soil supplements and natural insecticides. For much of its life, the company shipped these disparate goods via LTL and truckload carriers to retailers throughout the country, relying on each business unit to negotiate directly with their freight transportation providers. This arrangement worked fairly well for a small company, but as Central Garden &amp; Pet expanded, leadership decided to consolidate decision making.Burnett helped centralize the transportation decision making in 2015 with SMC³’s Bid$ense. Before Bid$ense, every business unit operated independently as far as negotiating with carriers.“There were a lot of different things just floating around,” he said. “We didn’t have master agreements in place; no national pricing at all. The pricing from carriers was just all over the place, depending on where you were.”The transformations he saw with Bid$ense were immediate. Burnett has been using the tool about every other year since its implementation at the company. Central Garden and Pet’s $19.6 million 2019 LTL bid saved the company just more than 9 percent when compared to its historical average. For Burnett, though, bid automation extends far beyond savings.“We knew that we weren’t getting the best pricing offer from our carriers just because nothing was centralized,” he continued. “We knew that if we combined everything from all these business units and paired it with one corporate offering, then it would drive some cost benefit with it.”When the company initially decided to centralize bid procurement, executives researched a number of different methodologies and technologies. In the end, though, Burnett found that Bid$ense was both widespread and well known, and that his carrier partners already knew how to use the application. Burnett also highlighted the data-cleansing process as a major benefit, saying the rigorous process ensures that carriers always return the best price.“It definitely has helped drive savings,” he said. “Any time you go out there and you drive that competitiveness with the carriers and they know they’re in a bid environment, it seems to sharpen their pencils.”Transportation procurement is an integral part of the modern supply chain. With Bid$ense, shippers can develop a strategic implementation plan that saves them time and money, but also helps them create strong relationships with their carrier partners. These carriers appreciate the solution’s data-cleansing process; when carriers receive a complete shipment history and future volume forecast, they don’t have to guess on pricing. Carriers that receive more data from shippers get a complete picture of that shipper’s freight, allowing them to accurately plan instead of simply preparing for the worst-case scenario. Clean data presented through an automated system can lead to both bigger shipment savings and a lasting partnership between carrier and customer.Whether customers are looking to streamline over-the-road transportation bidding by automating the RFP process or create an entirely new, centralized sourcing process, Bid$ense has the analytical horsepower to get the job done.SMC³ 2020 Customer Case Study

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Shippers save money, time with automated transportation bidding tools

If there’s one immutable truth in the world of logistics, it’s this: LTL is an inherently complex form of transportation. Tariffs, rates, DIM weights, transit times — it’s enough to confuse even seasoned logistics professionals. The solution to this knowledge gap has historically been on-the-job training or university supply chain education, but for a variety of reasons there is now a pressing need for third-party, remote LTL training that prepares logistics workers for transportation success. Global Scope Can Overlook Local Intricacies In the past, professionals looking to move into a supply chain career learned about the basics of supply chain from universities. However, many of these college supply chain programs are now global in scope, focusing on worldwide supply chain management instead of the intricacies of specialized domestic transportation. And even these programs, which used to be widespread, are becoming less common. LTL is not an industry of broad-brush strokes; supply chain professionals really need a pointillistic understanding of the logistics of LTL in order to excel in the industry. Accelerating Need for Dedicated LTL Education This lack of specified training put the onus on employers to prepare new hires with the LTL knowledge needed to do their jobs. Dedicated LTL study is a necessity, not a luxury. At the same time, changes in LTL and the broader supply chain world are accelerating. The reliance on e-commerce has ballooned since the start of the pandemic, and last-mile LTL shipments and related e-commerce strains on the supply chain won’t diminish once social distancing abates. That genie isn’t going back into the bottle. So supply chain employers need logistics workers that are fully versed in all aspects of the industry, ready to solve unique shipping and delivery problems based on their extensive supply chain knowledge But why care about LTL? It’s been reported that some shippers in today’s world are no longer concerned with what mode is used to ship their goods. A Multimodal Approach Ensures On-Time Delivery This mode agnosticism means supply chain stakeholders have to be well versed in all modes of transportation. As unforeseen weather events and other disruptions, such as protests, become more common, savvy logistics employees will need to be armed with familiarity of all modes, not just the most popular, to ensure that freight is delivered on time, without damage, and in the most financially expedient way possible. Offerings like SMC³’s LTL online education courses cover a wide range of topics from LTL basics and operations to more advanced concepts like pricing analytics and transportation law. The company also has plans to continually refresh content, adding new expert presenters and taking the feedback of students to make the courses even better as time goes on. Learn more about&nbsp;<a href="https://logisticstrainingcenter.com/smc3-courses/" rel="noreferrer" class="joc_admin__link">SMC³’s LTL Online Education program</a>&nbsp;and view the 2021 hybrid schedule, featuring live industry experts,&nbsp;<a href="https://www.smc3.com/onlinelearning2021/" rel="noreferrer" class="joc_admin__link">here.</a>

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