Weekly Logistics Briefing Key logistics updates for the week (Week 1 of July 2024)

A powerful 7.2 magnitude earthquake struck off the coast of southern Peru overnight Friday at a depth of 28 kilometers (17 miles), according to the United States Geological Survey (USGC). The quake hit eight kilometers (5 miles) west of Atiquipa, about 600 kilometers (372 miles) south of the capital Peru. Peru’s Geophysical Institute (IGP) issued a tsunami — one step down from a tsunami warning — meaning authorities should activate protocols to safeguard the population due to the “possible” occurrence of a tsunami. The Peruvian Presidency said on X that the government is monitoring the situation and evaluating any possible damage.

Railway workers at CN, CPKC vote to reauthorize strike but open to federal mediation, union says. Teamsters Canada said in a statement Saturday that union members at both railways voted almost 99 per cent in favour of reauthorized strike action. The union said members previously voted in favour of strike action on May 1, but the 60-day time limit on the vote expired. Paul Boucher, the Teamsters Canada Rail Conference president, said the union wants to go back to the bargaining table with its renewed strike mandate and work with federal government mediators.

The United Transport Workers Movement, which is in charge of basalt transportation for railway construction, is scheduled to stage strikes and block roads in various parts of the country from 08 a.m. on June 28. This protest is due to overdue payments of more than US$4.9 million over the past five months. Roadblocks begin at 08:00 a.m. on June 28, and 30 cargo trailers at the Amozoc Pubea toll booth, 20 cargo trailers at 7 Xul-Ha Bacalar, Quintana Roo, 10 cargo trailers at Tulum Airport and Quintana Roo (TQO), and etc. wil be participated.

Part of the canopy of Terminal 1 of Indira Gandhi International Airport in New Delhi collapsed, killing one person and injuring six others. On the morning of June 28, an accident occurred at the domestic departure point of Terminal 1 due to heavy rain. Authorities have blocked roads in the affected areas and traffic jams continue. As a precaution, the authorities will suspend all flights to Terminal 1 and close the check-in counter.

As the Panama Canal authorities enter the rainy season, they accelerate their efforts to increase the capacity of the canal while increasing the draft of ships. On June 26, the authorities increased the maximum draft from 46 feet to 47 feet, and will increase it to 48 feet on July 11. During the peak season, the draft was 50 feet. The canal is also further increasing the number of daily transits back to 35 as of August 5. The plan calls for a series of steps moving from 32 to 33 on July 11 and to 34 on July 22. The additional slot will be at the larger Neopanamax locks which will be restored to 10 daily transits. However, the authorities advised despite the arrival of the rainy season in 2024, the challenges of water for Panama and the Panama Canal remain and that they are seeking short-term and long-term solutions

Italian port unions are scheduled to go on strike on a national scale from July 2 to July 5, demanding higher salaries. The Uiltrasporti labor union will strike July 2-3, and the FILT CGIL and FIT CISL unions will strike July 4-5. During the strike period, there is a possibility that port services and maritime transportation will be suspended. The Uiltrasporti labor union has also called for demonstrations July 1-7; workers may form pickets at port entrances and regional administratice offices.

Missile drop at about 50m starboard of MSC Sarah V, 265 nautical miles southeast of Nishtun, Yemen, around 04:00 on June 24. MSC Sarah V was not damaged and is sailing to the next port of call. At least 12 MSC ships have been targeted by Houthi rebels, the most targeted shipping companies operating in the region. ITF says flag states must instruct ships to divert from Red Sea for safety. They claim that the measures so far have been insufficient and that unnecessary deaths of crew members could have been prevented. Four sailors have been killed since the attack began in late 2023.

Dockworkers' unions and civil society groups are scheduled to stage a blockade protest at Genoa Port on June 25. This protest’s purpose is to condemn the shipment of weapons from the port of Genoa to Israel. Participants are scheduled to gather from 06:00, and the number of participants is expected to not exceed hundreds, but they plan to block access to the area.

Container congestion at Singapore's port has reached record levels, the worst since the COVID-19 pandemic. This is due to ships rerouting to avoid the Red Sea, leading to significant global shipping disruptions. Retailers, manufacturers and other industries that rely on massive box ships are again battling surging rates, port backups and shortages of empty containers. Global port congestion has reached an 18 month high, with 60 of ships waiting at anchor located in Asia.

On Tuesday afternoon, more than 400 flights were delayed due to strong winds blowing through the area around Denver International Airport. As of 5:20 p.m., there were 406 delayed flights and five cancellations, with wind gusts reaching up to 43 mph at the airport. The affected airlines included United, Alaska Airlines, Southwest, Delta, Frontier, JetBlue, Key Lime Air, SkyWest, WestJet, American Airlines, and Air Canada, with Southwest having the most delayed flights (168 delays and one cancellation), followed by United with 128 delayed flights.