Air freight markets remain weak but are showing some signs of expansion after bottoming out toward the end of 2011, according to the latest report from the International Air Transport Association. Asia-Pacific airlines saw a 7.3% decline in freight demand in April, and cut capacity 4.1%, reflecting weakening exports from China. European airlines had a 4.9% drop in cargo traffic, compared to the year before, and cut capacity 0.2%. North American carriers showed a 6.4% drop in demand with a 2.9% cut in capacity. Latin American carriers recorded a 3.6% fall in demand, but capacity expanded by 8.8% compared to April 2011. Middle Eastern carriers were the bright spot in cargo with a 14.5% increase in demand, IATA said. But capacity increased 15.1%. African carriers showed a 6.1% increase in demand, and a 9.0% increase in capacity, it said.
Use of the IATA Time and Temperature Sensitive label, first introduced July 1, 2010, will become mandatory for the transportation of healthcare cargo shipments July 1, 2012, IATA said. The decision resulted from a recommendation supported by the Time and Temperature Task Force and Working Group members and endorsed by the IATA Live Animals and Perishables Board.
"It appears at this time" that the U.S. Maritime Alliance "is unwilling to agree" to the International Longshoremen's Association's "main demand for job protection for the members affected by automated terminals," said ILA President Harold Daggett in a May 25 letter to local unions updating them on master contract negotiations. He said all local unions should "inform their memberships that they should prepare themselves for any action we may have to take" unless the Alliance changes their position. He said the two side were "far apart" on a contract when they last met. He said he has had "sporadic conversations" with the Alliance's chief negotiators since then, and hoped they would lead to new negotiations, but "that has not been the case." Daggett said he will call a meeting of the Wage Scale Committee delegates for late June.
There are "genuine concerns about the availability of suitable ballast water treatment equipment, the robustness of the type approval process, and the huge expense of retrofitting existing ships,” said newly elected ICS Chairman Masamichi Morooka of Japan at the International Chamber of Shipping annual meeting May 24-25 in Australia. Because of major changes proposed at the International Maritime Organization, the new ballast water rules haven't taken effect, but they may do so within the next 12-18 months, he said. The delay creates other problems for shipowners due to the fixed dates by which existing ships have to install the very expensive new treatment equipment.
Domestic air cargo fares went up 1.4% in April, compared to April 2011, to 74.38 cents per revenue ton mile, the Air Transport Association said, but international cargo fares dropped 6.1% to 37.89 cents per RTM. For the year to date, domestic fares were up 2.6% to 72.93 cents, and international down 1.2% to 43.83 cents, it said.
The Inlandboatmen’s Union and 13 other unions reached a preliminary contract agreement with the Golden Gate Bridge District that will preserve affordable health benefits, said the International Longshore and Warehouse Union. Union officials described the settlement as a victory. The IBU represents 42 workers at the Golden Gate Bridge District and another 296 workers are represented by 13 other unions; together the unions comprise the Golden Gate Bridge Labor Coalition.
Reacting to the recent U.S. decision on solar cell imports, Motech Industries said it will give all customers that import its laminates, panels and/or modules into the U.S. a "Solar Cell Certificate of Origin." The certificate is intended to exclude the products from cash deposit or bond requirements for customers. On May 17, the International Trade Administration announced its affirmative preliminary determination in antidumping duty investigation of imports of crystalline silicon photovoltaic cells from China (see ITT's Online Archives 12051805). Motech said its cell origin is well documented within the chain of command and Motech will continue to maintain such records together with all Certificates for Commerce's verification upon request.
The International Air Transport Association endorsed the establishment of the Ground Handling Council (GHC) to promote cooperation across the ground handling safety chain, it said May 18. The GHC will address such things as load control, airside safety, ground support equipment, ground services agreements, ground handling processes and procedures. The GHC will include 20 high-level representatives from airlines and ground service providers and report to the IATA Operations Committee. IATA said it will link several key data sources and statistical information to facilitate data driven decisions to improve safety performance and reduce ground damage, including its Ground Damage Database, Risk Management, IATA Safety Audit for Ground Operations and IATA Ground Operations standards and procedures. IATA also said it will promote regulatory acceptance and utilization of improved procedures.
Natural gas exports from Canada to the U.S are likely to increase year-on-year unless Canadian balances tighten, said a report by PIRA Energy Group. In April, U.S. gas imports from Canada increased slightly month-on-month, despite seasonally weaker demand. Imports were lower year-on-year, but the year-on-year deficit narrowed from March, PIRA said. Additional increases in Canadian exports to the U.S. seem almost assured in 2Q12, given the lack of progress in reducing the Canadian storage surplus, the report said.
Trade show producer Paul Mackler acquired the Border Security Expo from E.J. Krause & Associates, he said as he launched Eagle Eye Expositions trade show management production company. Mackler, who has been a trade show consultant for the past several years, said he looks forward to working with U.S. Customs & Border Protection and exhibitors on the show. Mackler previously was chairman of HMP Communications Holdings, CEO of Cygnus Business Media and president of Reed Exhibition Companies.