Supply chain

WASHINGTON — The next battle in the ongoing fight over increasing truck weight and size is on the horizon, as the House and Senate begin work on the next federal surface transportation bill.

Acting U.S. Maritime Administrator Paul “Chip” Jaenichen last week sat down with JOC Senior Editor Mark Szakonyi to discuss how the agency could help the U.S. Merchant Marine survive — and even thrive. Jaenichen in January said U.S.-flag carriers in international markets are “at a tipping point,” and the creation and implementation of a National Maritime Strategy is key to make the Merchant Marine sail ahead.

Following a frenetic decade of ups and downs in volumes and rates, the steamship industry is seeking stability through alliances and cost-cutting that has lengthened voyage transit times. While many shippers don’t see much of a problem in slow-steaming, exporters of refrigerated goods have more reason to be concerned.

WASHINGTON — Following a series of accidents involving trains hauling crude oil, the major U.S. railroads and federal regulators have agreed to series of safety practices, including slower speeds through urban areas and increased inspections.

Westwood Shipping has found new use for its fleet of four BulkCon ships. The carrier, which has specialized in transporting forest products since 1892, added refrigerated cargoes to the mix in the summer of 2013.

The transport industry and China’s trade will receive a major boost if efforts to improve its logistics performance are a success, senior 3PL executives believe.

WASHINGTON — U.S. Customs and Border Protection said President Obama’s signing of an executive order to streamline cargo processes creates a roadmap for completion, puts a spotlight on the importance of trade and raises awareness of the need for other federal agencies to help speed up freight clearance.

Singapore-based logistics developer GLP adds $230 million to its Brazilian development fund, which now totals $1.1 billion, to build out leasable distribution space in Brazil.

WASHINGTON — President Obama today issued an executive order aimed at making it easier and faster for U.S. shippers to import and export by streamlining cargo processes and requiring a transition to electronic paperwork by 2017.

Japan’s economic growth slowed further in the October-December quarter as exports, a key driver of expansion, remained weak, according to a preliminary report released by the Cabinet Office on Feb. 17.

WASHINGTON — The G6 Alliance could have the go-ahead from U.S. regulators to expand its vessel-sharing agreement into the Asia-U.S. West Coast and trans-Atlantic routes by early April.

U.S. beef, Chinese solar panels, genetically modified corn and U.S. software were high on the agenda at annual trade talks the U.S. and China held in mid-January. Chinese officials also revealed the top item on their agriculture wish list: access to the U.S. market for apples grown in China.

Transportation companies soon may have new food safety regulations to follow in hauling foodstuffs in the U.S.

Cross-border trade among the U.S., Mexico and Canada is increasing, but President Obama is likely to hear complaints about U.S. trade barriers when he meets his Mexican and Canadian counterparts Feb. 19.

Global Logistics Properties wins $2.5 billion in support from Chinese investors to expand its fast-growing network of modern logistics facilities across China.

WASHINGTON — In response to mounting criticism of a domestic ocean shipping law that some say is preventing the transport of emergency road salt to New Jersey, Acting Maritime Administrator Paul Jaenichen today said his agency helped state officials identify available U.S.-flag barges to ship the cargo.

U.S. shippers on average expect that for the first time in roughly two years freight growth in 2014 will steadily outpace the expansion of the general economy,

WASHINGTON — The likelihood that the U.S. federal government will have to inject money into the Highway Trust Fund so that highway, bridge and road construction funding doesn’t grind to a halt in August is steadily increasing.

Using pallet-sized, battery-powered, temperature-controlled containers, Averitt Express is changing its refrigerated less-than-truckload delivery model.

The e-commerce division of India’s leading express distribution and supply chain solutions group grew at a rapid rate in the latter half of 2013...

Craig Meyer, president of Jones Lang LaSalle’s industrial brokerage team, advises clients that are looking for warehouse space in hot markets such as Southern California, Northern New Jersey and Dallas to focus on the property that best suits their needs and to move decisively to close the deal.

It’s not hard to see why major shippers are setting up shop or expanding their distribution operations in Calgary. Roughly $3.5 billion will be spent on infrastructure over the coming year.

ATLANTA — Home Depot yesterday opened the first of three new direct fulfillment centers designed to speed online orders to consumers through distribution channels across its supply chain.

Shippers are expected to make bolder moves in recalibrating their supply chains’ real estate footprint this year, even if many traditional retailers are still determining how to take advantage of the e-commerce rush.

FedEx Trade Networks has appointed James R. “Jack” Muhs as its new president and CEO.

WASHINGTON — The P3 Network could be sailing past any U.S. regulatory hurdles by late March...

Kansas City Southern Railway said Friday it will aggressively defend its concession agreement in Mexico but declined to say whether it would pursue legal action against a bill aimed at opening the country up to railroads other than the two existing concession holders.

WASHINGTON — Two months before sponsoring a bill this week aimed at reforming the Federal Maritime Commission, Rep. Duncan Hunter, the California Republican who chairs the House Coast Guard and Maritime Transportation Subcommittee, urged the FMC to consider industry criticism of a proposed overhaul of rules for ocean transportation intermediaries and “design the least intrusive regulation possible.”

Con-way reported net income in the fourth quarter of 2013 was $11.7 million, slipping 0.9 percent year-over-year from $11.8 million...

Third-party logistics providers have gone from the fringes of supply chain management into big-time players that serve an estimated 80 percent of Fortune 500 companies. With so much market penetration, how much more can 3PLs grow?

Major Japanese international freight forwarder Kintetsu World Express Inc. (KWE) said its net profit fell 4.3 percent year-on-year in the first three quarters of fiscal 2013, which started on April 1, 2013, to ¥6.5 billion ($63.6 million) on a consolidated basis.

The frigid winds of January, which brought snow, ice and unusually cold temperatures to a large swathe of the United States, could have a longer lasting chilling effect on the economy and overshadow the first quarter.

DSV’s ocean container traffic grew by a market-beating 6 percent in 2013, and the global freight forwarder is targeting an increase of up to 5 percent in the current year.

WASHINGTON — A bipartisan group of Congressmen today introduced a bill that backers said would reform the Federal Maritime Commission and require the Maritime Administration to create a National Maritime Strategy.

Ryder System reported its profit in the fourth quarter jumped 20 percent from $53.8 million in 2012 to $64.6 million in 2013...

Truck shipments, which have grown much more slowly than tonnage in recent years, should pick up in 2014, rising 2.3 and 2.7 percent, according to ATA's chief economist.

C.H. Robinson Worldwide reported its net income in the fourth quarter of 2013 was $93.0 million, plummeting 63.7 percent year-over-year from $256.4 million...

Widespread severe winter storms and colder than typical weather are slowing deliveries and cutting into manufacturing activity — but a thaw is coming, eventually.

WASHINGTON — The prospects of raising the fuels tax to avoid the impending bankruptcy of the main engine of surface transportation funding took a major hit today after House Transportation and Infrastructure Committee Chairman Bill Shuster said it wasn’t time, citing a slow economic recovery.

State-owned rail operator Container Corp. of India reported its net profit in the third fiscal quarter, which ended Dec. 31, 2013, was $40 million, rising 5.4 percent year-over-year from $38 million.