KOREAN owned STX Dalian Shipbuilding Complex, the shipyard owned by South Korea's STX Offshore & Shipbuilding, has signed a US$330 million order for four 9,200-TEU ships for Shenzhen box maker China International Marine Containers (CIMC), the ship yard announced.

The four newbuildings will be delivered to CIMC by 2014 after being built at the STX yard in Dalian, Reuters reports.



Marseille-based shipping giant CMA CGM will charter the ships from CIMC, according to the STX statement. The new STX-CIMC deal brought to $2.2 billion the overall amount of orders received by STX Dalian this year, leaving a backlog of orders worth $4.4 billion that will keep the yard busy for two years, the statement added.

THE Los Angeles Harbour Commission has approved US$7.5 million for the final phase of the Port of Los Angeles' Main Channel Deepening Project (MCDP).

The project has taken the port's main navigational channels and basins to a 53-foot (16 metres) depth, ensuring that the nation's number one gateway for containerised trade can accommodate ships of all sizes for decades to come, a statement from port authorities said.



"Channel deepening has been our single-most important infrastructure priority," said Port of Los Angeles executive director Geraldine Knatz.



"Channel depth and state-of-the-art facilities are critical components of our superior logistics. The completion of this project is critical to meeting the needs of the shipping lines that call at our port and growing our cargo business well into the future."



Dredging of the port's main channel and turning basins has already been completed. The final phase of the project involves removal of dredge surcharge material and completion of a shallow water habitat in the outer harbour.

THE World Trade Organisation (WTO) sees trade growth as 32 per cent less in 2012 and off by 19.6 per cent in 2013 than they did in its April forecast, and now expects trade to grow 2.5 per cent in 2012 and 4.5 per cent in 2013.

Slowing US job growth and shrinking Chinese expansion prompted the downgrade together with the continuing European sovereign debt crisis, resulting in a decline in trade with EU, said the WTO statement.



WTO director general Pascal Lamy said US financial assistance, aka "quantitative easing", to stabilise the euro was helped, but more needs to be done. "The last thing the world economy needs right now is the threat of rising protectionism," he said.



"All of these factors have contributed to an easing of global trade growth, which slowed to a crawl in the second quarter according to new quarterly merchandise trade volume statistics compiled by the WTO," said the WTO statement.



The WTO based its current forecast on the assumption that the EU will hold off a break-up of euro zone membership and the United States will avoid a US$120 billion cutback to reduce the federal deficit.

SINCE June 6, two merchant ships have been attacked by pirates but neither were successful, reports Dutch Commodore Ben Bekkering, Commander of NATO's counter piracy mission, Operation Ocean Shield.

"This represents a significant decline compared to previous periods," he said. "More importantly, no merchant ships have been hijacked by pirates since May.



"This does not mean that the pirates don't try. On two occasions over the summer, they managed to hijack a dhow, which could have been used as a mothership from which to launch attacks. On both occasions the pirates were disrupted by the Royal Netherlands Navy's HNLMS Evertsen and HNLMS Rotterdam.



Commodore Bekkering conceded pirates still hold seven ships and 177 crewmembers hostage.



"Today, with ships patrolling the shipping corridor in the Gulf of Aden and present in front of the Somali coast, the task force remains ready to prevent successful pirate attacks," he said.

HONG KONG's Overseas Orient Container Line (OOCL) will increase freight rates on services from south east Asia, India and the Middle East to Australia US$200 per TEU hike on October 15.

The company said this will help "cover basic operating costs" and "restore freight rates to a more sustainable level."



The increase will cover cargo from Singapore, Malaysia, Thailand, Indonesia, Vietnam, Cambodia, the Philippines, the Indian subcontinent and the Middle East to Australia.



The United Arab Shipping Company (UASC) will levy a rate increase on cargo from the western Mediterranean and Adriatic to the Indian subcontinent and the Arabian Gulf of US$200 per container as well as a $500 per TEU hike on shipments from the western Mediterranean and the Adriatic to Iran. These apply from October 1.

CARRIERS must notify US regulatory authorities of port congestion surcharges 30 days before they or their agents receive the cargo, said the Federal Maritime Commission (FMC).

The FMC notice to trade comes in the wake of inquiries about surcharges carriers have filed to take effect if east and Gulf coasts dock strike takes place, fears now relieved after a 90-truce was signed by the employers and the International Longshoremen's Association.



Unless a waiver or an exemption is obtained, changes to common carrier tariff rules, including surcharges, must be filed at least 30 days before the receipt of cargo, said the FMC. "Cargo received by the carrier prior to publication or effectiveness of a new tariff surcharge would not be subject to such charge," it said.

A PORTUGUESE austerity measure to open dock work up to non-union labour has been greeted with a planned one-hour strike September 25 and the support of the International Dockworkers Council (IDC).

The date is also the first day of a European Commission conference to assess the results of an independent survey on greater port liberalisation within the EU, reports London's Containerisation International.



The IDC will use the occasion to again "denounce the anti-social policy led by Europe and its member states that still want to liberalise port services despite failing to achieve this in 2003 and 2006".



Said Containerisation International: "The EC may choose to use the conference to open up EU ports to more competition, the first two having failed before on the grounds that member states deemed there was enough competition, so more liberalisation within ports was not required."



Portuguese dockers first walked out on August 14 in protest over the government's proposed port reform legislation.



More strikes are planned with a two-day pilots strike from midnight September 25 to midnight September 27. A longshore strike from midnight September 25 until 8am September 29 is also being considered.

JAPAN's Nippon Yusen Kabushiki Kaisha (NYK) and the ROLF Group, a leading logistics operator based in Russia, have agreed to launch a joint venture that will result in NYK owning 51 per cent of its partner's logistics business, ROLF SCS, with ROLF maintaining ownership of 49 per cent of the shares.

The joint venture will embrace all parts of ROLF's logistics business including ROLF SCS terminal in Lobnya; customs terminal and technical service centre, Elite-Trans; CBU operation in the port of Zarubino and the insurance agent ROLF Insurance.



The JV will also use for its operations the rented terminal in Naberezhnye Chelny and the rented terminal Petrolesport, which has become a very important asset for CBU services, said the NYK release.



ROLF SCS' current managers will lead the new joint venture divisions and work in cooperation with NYK representatives. Alexander Larin, who is now CEO of ROLF's logistics business, will be CEO of the new joint company.



"Both partners also agreed to maintain the ROLF SCS brand because it has a strong, positive image, representing ROLF as a reliable partner and market expert," it said.



The launch of the joint venture aims for the ROLF Group to provide its existing customers and new clients with a wider variety of services and also implement NYK's best practices into its business processes. NYK also has at its disposal a sizeable network of assets that allows it to maintain logistics operations throughout Europe and around the world.



NYK said it found "ROLF to be an excellent partner with impressive assets and a unique experience in the Russian logistics market, a global thinker accustomed to meeting the needs of its customers through a wide range of services."



According to NYK managing corporate officer Shunichi Kusunose, "The key priority of the JV will be maintaining the high level of performance and customer service offered by the ROLF SCS team and developing all the existing directions of the business according to Russian market specifics and best global practices."

The Port of Halifax, once famous as the trans-Atlantic port of the Cunard Line, is now preparing for the Pacific trade with a memorandum of understanding with the Panama Canal Authority (ACP), reports London's Containerisation International.

Such promotional agreements have been made with other US east coast ports, and are said to boost confidence of lenders in financing the canal expansion to be completed in 2015. Halifax is the first port in Canada to have signed such an MoU.



Such agreements are part of the strategy to promote the all-water route, pioneered by the Port of Savannah, which has risen in the rankings to be the fourth largest container port in the United States, thanks to its balanced trade with Asia, principally China.



Said Halifax Port Authority CEO Karen Oldfield: "Asian cargo is growing, and with the Panama Canal expansion, large ships will soon have another route option. With Halifax's transit time advantages for our Asian target markets, it makes sense for us to establish a strategic partnership with the Panama Canal Authority and this MoU will be mutually beneficial for both ports."



Said Panama Canal (ACP) administrator Jorge Quijano: "The memorandum of understanding with the Halifax Port Authority reinforces the importance of the all-Water route through the Panama Canal. With the current economic climate, it has never been more important to provide optimal customer service, and this agreement will enable us to fully co-operate and work together for continued trade between Asia and the east coast of Canada."

BREAKBULK CHINA 2013 will be held from March 12-15 at Intex Shanghai with support from 150 exhibitors and 5,000 participants.

The event combines an exhibition, a two-day conference and networking activities. Exhibitors include ocean carries, freight forwarders, ports and logistic equipment manufactures for the transportation of project cargo, heavy-lift and ro-ro logistics.



Key topics for discussion will be the future development of the industry and solutions for breakbulk transportation.



Exhibitors include representatives from the Port of Antwerp, Austral Asia Line, BBC Chartering, Chipolbrok, CMA CGM, Cosco, DHL, Hanssy Shipping, Hyundai Merchant Marine, Jurong Port, Maersk, NYK-Hinode, Rickmers Linie, Swire Shipping and Yusen Logistics.

THE trade association for UK freight forwarders says the time is ripe to agree on a long-term strategy for funding the nation's road network.

The call, from the British International Freight Association (BIFA), was made on the eve of the introduction of toll charge increases for using the Dartford Crossing, and news that a parliamentary bill will be introduced to implement a charge for foreign trucks using UK roads.



Starting next month, cash payments for heavy goods vehicles using the Dartford crossing will be increased from GBP3.70 (US$6) to GBP5, then a second rise to GBP6 in October 2014, the association said in a press release.



"There has already been considerable opposition to the increases planned for the Dartford Crossing and in view of the increased costs to our members who regularly use the crossing; BIFA has great sympathy with these views," said Peter Quantrill, director general of the British International Freight Association (BIFA).



"On the proposed road user charging scheme for foreign lorries, BIFA agrees with the principle that all haulage companies that use UK roads should contribute to the cost of the maintenance and development, regardless of the companies' origins," Mr Quantrill said.



"Haulage companies with trucks registered in the UK already do that of course through Excise Duty on Fuel and Road Fund Licences. We anticipate that there will be provisions in the draft legislation that ensure UK hauliers will be will be no worse off.



"At first sight, this looks like a positive development, especially for the road haulage industry. But it is a complicated issue and we will need to look into the details once the draft legislation is published," he said.



BIFA says that the lead from the EU is clear. In broad terms the European Commission's two main tenants are that the polluter pays and the road user pays.



Said Mr Quantrill: "Both items of news emphasise the need to properly address the issue of finding a long-term viable solution to our transport needs. In short, how should the road network be funded, and by whom?"

THE US Senate has unanimously voted to shield US airlines from paying for carbon emissions on entire flights to and from Europe, telling the European Union to stop taxing foreign carriers, reports Reuters.

The House of Representatives has passed a similar measure and White House spokesman Clark Stevens said the administration is reviewing the Senate bill. The State Department had no comment.



The European Commission has been enforcing its tax since January to make all airlines take part in its Emissions Trading Scheme to combat alleged global warming. Most airlines have complied.



The Senate bill gives the US transportation secretary authority to stop US airlines from complying with the EU law.



China has already forbidden its carriers from participating in the scheme that taxes carbon emissions not only over EU airspace, but non-EU airspace as well as over the high seas. Indian carriers missed an interim deadline to submit information required to calculate the tax.



The Senate approved the bill as it ended business to recess ahead of the November 6 congressional and presidential elections.



South Dakota Republican Senator John Thune, bill sponsor, said it sent a "strong message" to the EU that it cannot impose taxes on the United States.



"The Senate's action today will help ensure that US air carriers and passengers will not be paying down European debt through this illegal tax," Senator Thune said.



Said co-sponsor Missouri Democratic Senator Claire McCaskill: "It's refreshing to see strong, bipartisan support for the commonsense notion that Americans shouldn't be forced to pay a European tax when flying in US airspace."



So far, nearly all airlines have complied.



China earlier this year threatened retaliation - including impounding European aircraft - if the EU punishes Chinese airlines for not complying with its emissions trading scheme.



The dispute between China and the EU froze long-haul Airbus purchases deals worth up to US$14 billion, though short-haul aircraft are still being purchased.



EU climate change commissioner Connie Hedegaard is sceptical that Washington would back a global UN carbon reduction measure, one of the bill's stated aims.



"It's not enough to say you want it, you have to work hard to get it done," she told Reuters. "That means that the US needs to change its approach in ICAO and show willingness to actually seal a meaningful global deal that will facilitate action."

AMERICAN AIRLINES is looking to emerging markets and cool chain opportunities as it trims flight schedules and warns 11,000 worker to brace for layoffs, reports Atlanta-area Air Cargo World.

Despite the industry's high hopes for smartphone shipments, recently appointed American Airlines Cargo president Kenji Hashimoto said: "There is no bow wave for the fourth quarter, no influx of orders."



As the company moves towards Chapter 11 restructuring, it hopes that headcount reductions can mitigate the costs of orders for 100 Boeing 737 MAX aircraft and 260 Airbus A320s in the pipeline.



"It will come as no surprise to hear that we're under-performing against budget, but I feel we are in a relatively okay position against the competition," Mr Hashimoto said.



The first of ten 777-300ERs enters long-haul service at the end of this year. These offer 30 per cent more cargo capacity than the 777-200ER. The first will be deployed from Dallas/Fort Worth to Sao Paulo, a destination he said was under-served.



Mr Hashimoto said the Middle East and Africa offer opportunities and there could be extra capacity for Latin America. "Our Latin American network is very strong - it's a bright spot in terms of premium product performance," he told Air Cargo World, adding that he had a eye out for cool chain cargo.



Mr Hashimoto joined the cargo side of American Airlines after three years as vice president of strategic alliances.



Of his new cargo role, he said: "It's very manually intensive in cargo compared with the highly automated passenger process, and takes a lot of phone calls and messaging. You have to have clear standardised operating procedures for how you deal with bookings and handling."

SINGAPORE'S Tiger Airways has started taking on cargo at Tiruchi Airport in Tiruchirappalli, Sri Lanka, making it the fourth major airline to lift freight from the city after Sri Lankan Airlines, Air Asia and Mihin Lanka.

Currently, Tiger Airways operates nine flights a week on the Singapore-Tiruchi-Singapore sector and is likely to add two more a week by October. With the start of taking on freight from Tiruchi, the total available capacity of the airlines for cargo exports from the city would be around 300 to 350 tonnes a month, according to The Hindu Business Line.



Air India Express, the other major operator from the city, remains the only airline that does not lift cargo though it operates services to Singapore, Dubai and other destinations.



Today, the airport handles 200 tonnes of cargo a month and last year 2,022 tonnes of air freight were exported. Perishables, mainly vegetables, account for nearly 90 per cent of the cargo exports with textile fabric and occasional medicinal supplies accounting for the remaining 10 per cent. The exports were mainly to Singapore, Kuwait, Kuala Lumpur, Doha and Male via Colombo.



The city's new cargo complex is expected to give a boost to exports and imports following its expansion. Industry sources feel there is scope for increased throughput with the potential to increase imports of industrial and engineering accessories for the fabrication industry, including the power sector.



"Now the field is open for the industry to exploit and explore options for export of general cargo, other than perishables," said a representative of the travel trade. In addition representatives of freight agencies point out that once Air India Express decides to take on cargo, there could be more uplift capacity available at the airport.

AFTER its launch less than a year ago, low-cost carrier flydubai Cargo has grown its freight network to cover points across the world from Hong Kong to Bangladesh and the United Kingdom and will become the first cargo operator to offer direct links next month between Dubai and Bucharest, Romania, as well as Dubai and Skopje, Macedonia.

The flight to Romania will start on October 1 while the service to Macedonia will begin on October 18, according to ArabianSupplyChain.com.



The freight carrier already serves Europe, the US, Australasia and the Far East in addition to destinations in the Gulf Cooperation Countries (GCC), Mideast, North Africa, Indian subcontinent, Asia and Central and Eastern Europe.



Over the past ten months, flydubai Cargo has forged a number of interline agreements with airlines including Emirates and British Airways and Estonia Air as well as Coyne Airways and Jet Airways. This has helped the division extend its reach beyond flydubai's passenger network. Goods transported include general cargo, perishable items, textiles, electronics, courier, mail, and pharmaceuticals.



Said flydubai CEO Ghaith Al Ghaith: "Through these interline agreements we have opened new routes and thus new avenues for trade. We are now able to deliver goods from Sudan to Sydney and also provide Nepal's handicraft industry with access to consumers in the US, Europe and Australia."



The air carrier's cargo network has linked up with Calogi, a web based global distribution system for the air cargo supply chain, and has encouraged businesses across the world to transport goods with the Dubai carrier. Manufacturers in Serbia, for example, which was previously underserved by direct air and cargo links, export specialist sporting and spare parts to Australia via Dubai, while ship spares are transported from Amsterdam in The Netherlands, the GCC and Indian subcontinent.

LUFTHANSA's online Air Cargo Innovation Challenge again invites anyone within internet reach to submit ideas on ways to improve customer service and processes between customers/consignors, shippers/forwarders until November 7.

Participants can visit http://www.innovation.lufthansa-cargo.com/ , a process that ends with invitations to the winners of the 1st, 2nd, and 3rd prizes to Frankfurt where they will present their ideas to a Lufthansa top management team.



Winners will receive a round-trip Lufthansa economy flight from their country of residence. Additionally, they will receive flight training in an MD-11 with a Lufthansa Cargo flight captain at the Flight Simulation Centre in Frankfurt and win Lufthansa air miles (1st place - 25,000 miles, 2nd place - 15,000 miles, 3rd place - 5,000 miles). The one voted the contest's Most Valuable Participant will be awarded 25,000 Lufthansa Miles and More Miles.



In addition the 4th, 5th and 6th place winners will each be rewarded with 15,000 Lufthansa Miles and More Miles. Students who submit winning ideas may also be offered an internship at LH Cargo to support the implementation of those concepts.



Lufthansa Cargo has been welcoming creative thoughts on four categories: "Customer in touch", Customer contact and touch points; "Applify Cargo", apps and all means of new technology communication, "Catch me, if you can", customer loyalty programmes and "Blank room", a category for free form creative ideas.