Logistic & Supply Chain

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Transport Workers' Union AKT enacts blockade against UPM in Finland to support strikes, and stevedores will not handle UPM's paper and pulp; company says AKT is not a party in negotiations, and hopes to soon negotiate with Paperworkers' Union

Published: January 22, 2022 by UPM Kymmene Oyj

The Transport Workers’ Union AKT has today announced a blockade against UPM in Finland to support the strikes of the Paperworkers’ Union and the Finnish Electrical Workers´ Union. AKT’s support measures will be carried out as a blockade in Finnish ports. During the blockade, the stevedores will not handle UPM’s paper and pulp. The blockade will begin on 24 January at 06:00.

“AKT’s actions do not advance functioning labour markets. AKT is not even a party in the negotiations, which we aim to start with the Paperworkers’ Union,” says Jyrki Hollmén, Vice President, Labour Markets, UPM.

"We hope to get into negotiations with the Paperworkers’ Union soon, so that both parties can present their goals and seek solutions acceptable to all. Members of the Paperworkers’ Union certainly have the right to strike but now it only postpones the start of negotiations. The AKT blockade doesn’t make the situation any better," Hollmén continues.

UPM still strives to start the negotiations with the Paperworkers’ Union and to agree on business-specific collective labour agreements for those UPM businesses that as of 1 January 2022 don’t have a CLA in effect.

“Our businesses are very different from each other, which is why business-specific agreements are essential to us. What we need now are agreements that will enable each business to succeed well into the future. This will benefit all parties,” highlights Hollmén.

At this point, UPM does not disclose estimates of the economic impacts of the strikes or the blockade.

For further information please contact:
Jyrki Hollmén, Vice President, Labour Markets, UPM, tel. +358 40 746 3687

UPM, Media Relations
Mon-Fri 9:00-16:00 EET
tel. +358 40 588 3284
media@upm.com

UPM
We deliver renewable and responsible solutions and innovate for a future beyond fossils across six business areas: UPM Biorefining, UPM Energy, UPM Raflatac, UPM Specialty Papers, UPM Communication Papers and UPM Plywood. As the industry leader in responsibility we are committed to the UN Business Ambition for 1.5°C and the science-based targets to mitigate climate change. We employ 18,000 people worldwide and our annual sales are approximately EUR 8.6 billion. Our shares are listed on Nasdaq Helsinki Ltd. UPM Biofore – Beyond fossils. www.upm.com

Port of Long Beach says it set new record by moving 9.38 million containers in 2021, up 15.7% from 8.11 million TEUs in 2020; increase driven by consumer spending during pandemic, which pivoted toward home office supplies, furniture, exercise equipment

Published: January 21, 2022 by Port of Long Beach

MILESTONE FOR 2021 MARKED BY INCREASED CONSUMER SPENDING DURING PANDEMIC

The Port of Long Beach set a new record in 2021 by moving 9.38 million cargo containers as dockworkers and terminal operators worked to clear the docks amid an historic, pandemic-induced import surge.

The Port ended 2021 with 9,384,368 twenty-foot equivalent units processed, a 15.7% increase from the previous record of more than 8.11 million TEUs moved in 2020. Imports jumped 14.6% to 4,581,846 TEUs and exports declined 2.6% to 1,437,916 TEUs compared to last year. Empty containers moving through the Port were up 27.5% to 3,364,606 TEUs.

“This incredible milestone was achieved by the skilled workers who keep goods moving through the supply chain as we continue to seek solutions to improve efficiency, attract business and build for the future,” said Port of Long Beach Executive Director Mario Cordero. “I look forward to enhancing productivity in 2022 by advancing our move toward 24-7 terminal operations, deploying data-sharing technologies for our industry partners, and continuing our infrastructure improvements.”

“The ongoing collaboration with our labor force and industry partners lifted us to this extraordinary record during a challenging time,” said Steven Neal, President of the Long Beach Board of Harbor Commissioners. “We anticipate further collaboration in 2022 as we work toward developing immediate and long-term solutions that will alleviate congestion at our Port complex.”

The significant increase in cargo was driven by evolving consumer spending habits during the COVID-19 pandemic, when demand for vacations, dining out and entertainment declined due to health precautions and pivoted toward home office supplies, furniture and exercise equipment.

The Port of Long Beach had 980 container vessel calls in 2021, down from 1,042 a year earlier due to the elimination of “dual calls” for some shipping services that moved up and down the West Coast.

The Port collaborated with stakeholders at the local, state and federal levels to enhance cargo movements, including: expanding hours of operation; creating temporary staging areas for full containers; and encouraging truck drivers to drop off export containers when picking up an import.

The Port has delayed consideration of a “Container Dwell Fee” that would charge ocean carriers for cargo containers that remain too long on the docks. Since the program was announced on Oct. 25, the Long Beach and Los Angeles ports have seen a combined decline of 55% in aging cargo on the docks.

The strong economic momentum experienced through 2021 hit a speed bump by year’s end due to the rampant spread of the Omicron variant of COVID-19.

Trade was down 7.5% in December compared to the same period in 2020 with 754,314 cargo container units moved. Imports declined 11.7% to 358,687 TEUs. Exports dropped 13.9% to 113,918 TEUs, while empty containers climbed 1.5% to 281,709 TEUs.

For complete cargo numbers, visit polb.com/statistics.

To learn more about the Port’s record-setting year, please watch the 2022 State of the Port, which will be held virtually for a second consecutive year. The program is scheduled for 9 a.m. on Wednesday, Feb. 9 at www.polb.com/stateoftheport.

Ports of Los Angeles, Long Beach further delay container dwell fee until Jan. 28, will reassess implementation after another week of monitoring data; since fee announcement on Oct. 25, ports have seen combined 62% decline in aging cargo on docks

Published: January 21, 2022 by Port of Long Beach

Nippon Foundation, Mitsubishi Shipbuilding and Shin Nihonkai Ferry complete fully autonomous navigation of large, high-speed, coastal ferry in Japan; demonstration to further develop safer, more efficient coastal shipping

Published: January 21, 2022 by The Nippon Foundation

The Nippon Foundation, Mitsubishi Heavy Industries Group company Mitsubishi Shipbuilding Co., Ltd., and Shin Nihonkai Ferry Co., Ltd. have successfully completed a demonstration test of the world’s first fully autonomous ship navigation systems on a large car ferry, conducted on the Iyonada Sea from Shinmoji, Kitakyushuu City, on January 17.

This demonstration was part of MEGURI 2040, a fully autonomous ship navigation project launched by The Nippon Foundation in February 2020 through support for five consortia, which will all be conducting demonstration tests to verify their fully autonomous navigation system concepts from January to March 2022. This test demonstrated the world’s first fully autonomous navigation system, on a 222-meter ferry, with autonomous port berthing and unberthing using turning and reversing movements and high-speed navigation of up to 26 knots (approximately 50 kilometers/hour). The advanced fully autonomous operation system features other new technologies including sensors to detect other ships using infrared cameras, a remote engine monitoring system, and a sophisticated cyber security system. These advances in fully autonomous ship navigation are seen as a significant step toward safer and more efficient coastal shipping.

Research and development of fully autonomous ship navigation is intended to address maritime issues including crew shortages and accident prevention. This is also expected to become a “future industry” through which Japan can demonstrate to the world its advanced technologies in areas including information and communications technology, artificial intelligence, and image analysis technology.

Fully autonomous ship project (Smart Coastal Ferry)

Today’s successful demonstration test was of the fully autonomous Smart Coastal Ferry project. The newly built SOLEIL ferry began navigating with an onboard crew on July 1, 2021, compiling data for the development of a fully autonomous ship navigation system. Mitsubishi Shipbuilding Co., Ltd., which has experience in developing navigation support systems that realize automation and crew labor savings, is responsible for the integration of the entire system, and Shin Nihonkai Ferry Co., Ltd. is in charge of setting the vessel’s system requirements and conducting the demonstration test. These developments will help resolve issues in coastal shipping including improved safety, crew labor savings, and cost reductions.

Demonstration test and development highlights

The demonstration test of the world’s first fully autonomous ship navigation systems of the 222-meter smart vessel was conducted on a 240-kilometer route from Shinmoji in Northern Kyushu to Iyonada, which takes approximately 7 hours, at a maximum speed of 26 knots. The test vessel was equipped with a high-precision sensor image analysis system with infrared cameras that can detect other ships even in darkness, a SUPER BRIDGE-X automated ship navigation system that includes an automated avoidance function, and an advanced automated port berthing/unberthing operation system that can perform turning and reversing movements that are even difficult for manned vessels.

One of the biggest issues for a fully automated vessel is fault prediction, and enhanced engine monitoring technologies that monitor motor conditions are being developed and tested as well. The project is also developing various other technologies essential to the promotion of fully autonomous navigation, including platforms for advanced data security to protect the navigation data used for onshore monitoring and support.

Comments from speakers

Mitsuyuki Unno, Executive Director, The Nippon Foundation

This was the world’s first fully autonomous ship navigation of a large vessel of over 200 meters in length with a maximum running speed of 26 knots, and I hope this will lead to further development toward practical use. There are still many issues to be resolved, however, and I believe today’s results will be a guide toward the creation of international rules for fully autonomous vessels.

Naoki Ueda, Executive Vice President, Mitsubishi Shipbuilding Co., Ltd

This demonstration test greatly accelerated the development of fully autonomous ship navigation systems using many advanced technologies including artificial intelligence. We will continue to develop technologies using the valuable knowledge gained to achieve safety and high-quality service for passenger ferries, which play an important role in supporting marine transportation in the island nation of Japan.

Masami Sasaki, Executive Director, Shin Nihonkai Ferry Co., Ltd.

We are honored to be involved in the development of a fully autonomous ship navigation system that represents the future of Japan’s shipping industry. As a passenger ferry company, we have high expectations for the social application and widespread use of fully autonomous operation as one of the solutions to issues including human error and crew labor savings.

UK bottle manufacturer Esterform Packaging signs multi-million-pound a year partnership with plastic recycling company Biffa; Esterform will use 6,000 tonnes of rPET at its factories in Leeds and Worcestershire every year

Published: January 21, 2022 by Biffa Group Ltd.

Biffa secures multi-million-pound recycled plastic deal

Plastic recycling pioneer Biffa has signed a multi-million-pound a year partnership with one of the UK’s leading bottle manufacturers.

Esterform Packaging, the UK’s largest independent producer of plastic bottles for carbonated drinks and alcohol to squash and cooking oil, will use 6,000 tonnes of recycled plastic at its factories in Leeds and Worcestershire every year.

The recycled PET plastic used by Esterform is processed at Biffa’s Seaham facility in County Durham, one of the most advanced plastic recycling facilities in the world, capable of recycling more than two billion bottles a year.

Chris Hanlon, Biffa’s commercial director – polymers, said: "We’re delighted to be working alongside Esterform who share our passion for creating a ‘circular economy’, a system where materials are recycled for as long as possible.”

"We look forward to a long and successful partnership as we continue to work with them to grow the recycled content of their PET bottles.”

From this year, packaging producers in the UK will be required to use at least 30 per cent recycled plastic in their products to avoid the new plastic packaging tax.

Mark Tyne, managing director of Esterform, said: “Biffa’s recycled plastic is a great product, so we’re delighted to have secured this deal with them.

"PET is a very robust, flexible material that we use to produce containers that are light, resealable, safe and strong, and which can be recycled many times to make more new bottles in the future."

The deal with Esterform was signed after the plastic recycled at Biffa’s state-of-the-art plant in Seaham was given food-grade status by the European Food Safety Authority (EFSA).

It also builds on Biffa’s existing capabilities in plastics recycling, including its plant in Redcar, Teesside, where HDPE plastic milk bottles are recycled back into food-grade HDPE, with 85 per cent of milk bottles sold in the UK now containing Biffa recycled plastics.

And at Biffa’s recycling plant in Washington, Sunderland, 70 tonnes of plastic are recycled every day, including polypropylene margarine tubs, detergent bottles and microwave food trays which are processed into flakes to be turned into anything from new garden furniture to drainpipes. The plant also recycles HDPE bottles.

All three sites capitalise on the access to plastic from households and businesses that Biffa has through its collections and sorting activities.

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An example of a few headlines sent to our customers on Jan, 11 2022

January 11, 2022

Disruptions

Supply Chain/Logistics Disruption

Among US chemical manufacturers, 98% report modifying operations because of ongoing supply chain, transportation issues; in the past year, more than one third of companies experienced or declared force majeure because of supply chain issues: survey
PR Newswire (01/10)

Omicron variant disrupting already stressed food supply chains in the US, sickening so many workers that more shortages in grocery stores are almost certain, industry officials say
CE Noticias Financieras (01/10)

California's wine industry lost more than US$250M in value last summer because of crushing supply chain disruptions at West Coast ports, according to study by UC Davis researchers
The Press Democrat (01/10)

Commentary: Few signs suggest circumstances will change for supply chains in 2022, and analysts eye 2023 for return to normal; COVID, Chinese New Year, port tensions, other factors leave little breathing room for maxed-out global transport network in 2022
Investor's Business Daily (01/07)

Executive Perspective: Hachette Book CEO on 'very successful' 2021, citing acquisition of Workman, but notes 'unprecedented disruptions' to global supply chain, domestic printing and warehouse operations, and some of these issues could linger in 2022
Publishers Weekly (01/07)

Security/Technology

Cloud Computing

Postage marketplace Royal Alliances announces acquisition of cloud-based freight management firm Direct Logistics; DLI's Truck Direct Mail software helps manage scheduling, pickup, delivery of critical mail volume for postal destination drop shipping
EIN Presswire (01/10)

Logistics

Trucking/Van Delivery

Port of Vancouver in Canada to implement ban on trucks older than 10 years starting on Feb. 1; union advises two-year delay to phase-out, access to financial aid would help avoid disruption in port trucking operations, financial hardships for drivers
Canada Newswire (01/10)

Freight contractor CoreTrust Logistics teams with GEODIS to provide full truckload managed transport solution to its members; alliance to give members access to GEODIS' network of over 1,000 asset-based carriers, contracted rates, management of shipments
Geodis (01/10)

Study finds heavy and tractor-trailer truck driving is most dangerous job in US, with 766 fatalities in 2020; trade, transportation, utilities topped list of most dangerous industries at 1,254 fatalities in 2020: Bureau of Labor Statistics
MSN (01/07)

ABF Freight to host hiring event Jan. 13 in Houston, seeking part-, full-time Class A CDL city drivers; full-time drivers would be eligible to earn signing bonuses of US$2,500, available on first day of employment
PR Newswire (01/07)

AFC Transport names Kyle Ingraham to newly added role of president of its AFC Logistics division; company added role due to division's heavy growth in last two years, plans to build main operating facility in Tampa, Florida, in early 2022
PR Newswire (01/07)

Rail Cargo/Shipping

Investment firm Reich Brothers announces acquisition of 1,222,029-sq-ft rail-served campus near Port of Houston; firm to invest in site, formerly owned by DHL, to further improve functionality for distribution, manufacturing and rail and port logistics
PR Newswire (01/07)

Ocean Cargo/Shipping

Wisconsin's Port Duluth-Superior handled 29 million short tons and unloaded 627 vessels through the end of November, up from 534 in 2020; Port of Green Bay saw cargo up 9% to 1.8 million tons and handled 161 ships, up from 143
Agri-View (01/07)

Marine Ports

Wisconsin ports expanding: Duluth-Superior now handles containers by direct water connection, boosting international capabilities; Green Bay to add intermodal facility; Milwaukee breaks ground on agricultural-maritime-export facility, set to open in 2023
Agri-View (01/07)

Amazon invests in Amogy, Hippo Harvest as part of its US$2B Climate Pledge Fund, which aims to facilitate low-carbon global economy; Amogy develops ammonia-to-power system for cargo shipping, while Hippo's greenhouses cut farming emissions, waste
Amazon.com Inc. (01/07)

Logistics/Transportation Management

UK distributor Pattesons Glass partners with Beatson Clark to supply clear round sauce bottles, pickle jars to Sauce Shop; Beatson Clark’s proximity to Sauce Shop means carbon emissions from sourcing, transporting are lower than importing from overseas
Hucknall & Bulwell Dispatch (01/07)

Operations

Manufacturing/Production

Kentucky-based Premier Packaging to purchase 45.4 acres of land in Lebanon, Ohio; company purchasing the property to build a US$60M facility that will consist of two buildings for manufacturing and distribution
Hamilton Journal News (01/10)

Heineken facing difficulties in finding green-colored glass bottles in Brazil, according to a source in the hotel sector; situation said to be reestablished in 2023 with the expansion of 30% of production capacity in the industry via Verallia, O-I Glass
CE Noticias Financieras (01/07)

Supply Chain Management

Euromonitor: Economic trends to watch in 2022 include pandemic-related risks still challenging global economy, global supply chains forecast to recover this year but pressures remain, hybrid work model here to stay, businesses ramping up climate action
Euromonitor International Ltd. (01/07)

Stakeholders discuss sustainable packaging trends to look out for--upcoming EPR laws, more 'truth in labeling’ laws for recyclables, stepped up action to ban PFAS, treating packaging as a service by designing reusable and refillable supply chains, more
GreenBiz (01/07)

Fulfillment/Delivery

Order Fulfillment & Delivery

FedEx launches International Priority Express in Middle East, offering delivery by 10:30 a.m. or noon to select markets in Asia, US, Canada, Europe; new service expands company's range of trackable, time-definite international shipping options for clients
FedEx Corp. (01/10)

Pet product wholesaler Huxley & Kent switches to only direct orders, distribution via ShopHK website and SimpleShip program for US; company says larger product selection, faster delivery to equate to return customers and increased sales for retailers
Huxley & Kent (01/07)

Shipping & Delivery Supplies

UK furniture company Cotswold partners with DS Smith; Cotswold customers can have packaging taken from their home upon delivery, and the material is then baled and collected by DS Smith Recycling, delivered to a DS Smith mill for pulping
UKI Equity Markets (Web Disclosure) via PUBT (01/10)

On-Demand Local Delivery

Reliance Retail buys 25.8% stake in Indian q-commerce player Dunzo for US$200M as it looks to expand its presence in online grocery delivery; Dunzo raised US$240M in its latest funding round, led by Reliance Retail Ventures
News Point (01/07)

Stock Report

Latest: Jan, 11 2022	Latest Value	Prev	Chg	Volume	YOY Chg
Fedex (FDX)	256.55	263.78	-2.82%	4,553,788	4.73%
Hunt J B Transport Services (JBHT)	197.98	200.08	-1.06%	792,775	32.56%
Kansas City Southern (KSU)	293.59	298.55	-1.69%	NA	35.50%
Norfolk Southern (NSC)	287.97	296.55	-2.98%	1,479,230	13.36%
Ryder System (R)	77.81	78.07	-0.33%	501,474	16.07%
United Parcel Service (UPS)	211.73	217.98	-2.95%	2,853,791	33.68%

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