Weekly Logistics Briefing Key logistics updates for the week (Week 3 of Nov 2024)

The UK Foreign Office has issued a warning regarding Tropical Storm Sara, which is expected to impact Belize on Sunday, November 17. The storm is anticipated to bring heavy rainfall, with forecasts predicting up to 10 inches across the region, leading to potential flash flooding and mudslides. In response, Belize's Philip Goldson International Airport closed on Saturday, November 16, and plans to reopen at 6 a.m. on Monday, November 18. Additionally, flights to the southern part of the country have been suspended until further notice. The National Hurricane Center has also issued tropical storm warnings for parts of Honduras, Guatemala, and Mexico's Quintana Roo state.

As of November 17, Super Typhoon Pepito has led to the cancellation of numerous flights in the Philippines. Airlines such as Philippine Airlines and Cebu Pacific have suspended both domestic and international services due to the severe weather conditions. Affected routes include Manila to Basco, Laoag, and international destinations like Taipei and Hong Kong.

In the morning at 10 am ET, December 13, Labour Minister Steven MacKinnon announced he will use his powers under Section 107 of the Canada Labour Code and direct the Canada Industrial Relations Board (CIRB) to order Parties at ports in Quebec and across Canada’s West Coast to resume operations and duties, and to impose binding arbitration on the Parties in order to reach a settlement. The BCMEA intends to follow direction received from the CIRB and will inform member employers of operational updates as soon as possible. The ports are expected to resume operations within days.

On Sunday, November 17, employees of the Delhi Transport Commission staged a protest in Sarojini Nagar, demanding equal pay and guaranteed employment until the age of 60. This demonstration coincided with the resignation of Delhi's Transport Minister, Kailash Gahlot, from the Aam Aadmi Party (AAP). Gahlot's departure followed allegations of a ₹112 crore scandal and multiple Enforcement Directorate raids at his residence. AAP's Rajya Sabha MP, Sanjay Singh, accused the Bharatiya Janata Party (BJP) of pressuring Gahlot into resigning. In his resignation letter, Gahlot criticized AAP for shifting focus from citizen advocacy to internal agendas, highlighting unresolved issues like the pollution of the Yamuna River.

Recent labor negotiations between the International Longshoremen's Association (ILA) and the United States Maritime Alliance (USMX) have stalled, raising concerns about a potential new strike at U.S. ports. The current contract extension is set to expire in January, just days before President-elect Donald Trump's inauguration. The primary points of contention include wage increases and the extent of automation in port operations. The ILA is advocating for substantial wage hikes and restrictions on automation to protect jobs, while the USMX emphasizes the need for automation to enhance efficiency. The previous strike, which ended after a tentative six-year agreement was reached, had significant economic repercussions, disrupting supply chains and affecting various industries. The looming threat of another strike has stakeholders concerned about potential disruptions in the logistics and shipping sectors.

Severe smog and dense fog in Punjab caused numerous flight delays, cancellations, and diversions. 11 flights were canceled, 3 were diverted to alternate airports, and 53 domestic and international flights faced significant delays. Affected flights included Pakistan International Airlines and international carriers such as Qatar Airways. Long delays were reported for flights to Kuala Lumpur and Bangkok. The disruptions were part of a larger crisis, prompting the Punjab government to declare a health emergency and enforce early market closures to combat the smog.

Major international airlines are suspending flights to the Middle East or avoiding affected airspace due to growing concerns over potential conflict in the region. Airlines such as Aegean and United Airlines have announced temporary suspensions of flights to cities like Tel Aviv, Beirut, and Amman. The suspensions are precautionary measures to ensure passenger safety amid escalating tensions. Airlines are closely monitoring developments and refining their schedules according to safety recommendations from international aviation authorities.

Pilots belonging to the National Union of Pilots (SNPL) are scheduled to go on strike nationwide on November 14 in opposition to the plan to raise air ticket taxes. The union is urging not only pilots but also airline and airport employees to join, so there is a possibility of flight disruptions at airports across France on November 14.

Cargo officials using Adani Group's container terminals in Kattupalli and Ennore report that delays are increasing and that the level of ship productivity is decreasing. As Adani released a new terminal operating system, there was a defect in the application connecting ship, yard, and gate operations, resulting in a delay in port operation. Customs clearances noted that the delay reached a "remarkable level" and that no specific results were made at a series of meetings with various authorities, including customs. In particular, there is a severe delay in “equipment interchange receipts”, a document issued by the carrier for the allocation of empty containers to the shipper, and “Form 13s”, which allows trucks to enter the terminal, resulting in longer container stay times and additional costs.

The Spanish government has announced its decision to block two Maersk-operated ships, the Denver and the Seletar, from docking at its ports due to their military cargo destined for Israel. This action follows significant pressure from activists and aligns with Spain's stance against contributing to the ongoing conflict in Gaza.