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

All foreign airlines will suspend flight services via Beirut-Rafic Hariri International Airport (BEY) as of September 29. Lebanese authorities require foreign airlines to reapply for permission to provide flight services to BEY. The development of the situation occurred amid rising tensions between Israel and Lebanon's Hezbollah (LH) group and fighting between the two sides. Lebanon's flag carrier Middle East Airlines (ME) is the only airline that continues to provide flight services to BEY

Dockworkers in Montreal, which have been without a contract for nearly 10 months, filed its 72-hour notice of a 3-day strike at two container terminals on Friday morning, September 27. The two terminals account for 41 percent of containers transiting the Port of Montreal. The Port of Montreal is emphasizing that work is expected to continue at its other terminals. The purpose of the action is to press for increased salaries and changes in the work schedule, among other demands. Unlike the situation in the U.S, the local of the Canadian Union of Public Employees and the employers represented by the Maritime Employers’ Association are continuing talks. They are in mediation and were holding out hope that a settlement could be reached over the weekend to avert the planned job action. The strike will take place from 7:00 AM on September 30 to 7:00 AM on October 3, and the affected terminals are Viau and Maisonneuve - two of the facility's four container terminals.

September 26, US east and Gulf coast port employers’ association USMX has filed a charge with the National Labor Relations Board (NLRB). The USMX said: “Due to the ILA’s repeated refusal to come to the table and bargain on a new master contract, USMX filed an unfair labor practice with the NLRB and requested immediate injunctive relief – requiring the union to resume bargaining – so that we can negotiate a deal.” It is not clear how long this would take, and whether there is any chance of averting a strike before the 1 October deadline. Filing the charge can, at best, only lead to a resumption of negotiations. With no signs of progress on labor talks, some ports in the US East and Gulf coasts announced extending gate hours this week to facilitate cargo clearance ahead of the potential strike on 1 October.

Several terminals at the ports of Los Angeles and Long Beach canceled their second shift Thursday and will close Friday after incident occurred when a semi-truck carrying lithium-ion batteries overturned and caught fire in the vicinity of 940 North Seaside Avenue in the San Pedro area of Los Angeles, California, at approximately 14:00 September 26. “This fire cannot be extinguished and may burn for up to 48 hours,” the International Longshore and Warehouse Union said in a statement. The dockworker union said it was working with the Los Angeles Fire Department and that members would not report for work Thursday night or Friday at several affected terminals. Closed terminals are APM Terminals, Fenix Marine, Everport, and Yusen and the closure will last until September 27, with the possibility of extension.

Due to the Chittagong port customs system error, the daily average of 2,000 import bill submissions has been halved, with a backlog of over 5,000 bills waiting to be processed. The delays have resulted in demurrage fees for importers, and factories across Bangladesh are struggling with inventory shortages. Customs brokers (C&F agents) have warned that if the technical issue is not resolved soon, they will consider halting work, which could further exacerbate the situation. Syed Mohammad Arif, Chairman of the Bangladesh Shipping Agents Association, plans to meet with the customs commissioner to discuss immediate solutions, including the creation of a backup server to ensure continuity in case of future emergencies.

Forecast models indicate that Hurricane Helene will strengthen further into a Category 3 hurricane as it tracks north-northeastward over the Gulf of Mexico September 26 before making landfall over the Big Bend region of Florida late September 26. After landfall, the system is expected to weaken into a tropical storm as it tracks northward over western Georgia early September 27. Port operations in the region have shut down ahead of storm-force winds. Coast Guard Sector St. Petersburg has declared port condition Zulu in advance of the storm, closing Port Manatee, Port Tampa Bay, Sarasota and St. Petersburg. To the west, at the far end of the Florida Panhandle, the ports of Panama City and Port St. Joe are also shut down.

Port workers who join the union will go on strike for 48 hours across Greece on October 3 to 4. Port personnel affiliated with the Union of Loaders and Unloaders of Greece are conducting the labor action to demand uniform work regulations. Strikes are likely to affect port operations, including cargo operations and logistics management.

Reports have been received that Singaporean flag vessel X-PRESS PYXIS (73,172gt, built 2024) is being toward into Japan following stern tube failure. The containership was on a voyage from ports in South Korea and China and was destined for the Americas. Damage repairs will mean the vessel has to enter dry dock. All cargo on board will have to be discharged in Japan. The owners of X-PRESS PYXIS have declared General Average (GA).

South African Maritime Safety Authority (SAMSA) and ship owner confirmed that Maersk Cincinnati anchored in Richards Bay, South Africa, after smoke was detected on board. The accident occurred at midnight on September 15, local time, and smoke was detected in the ship's cargo warehouse, but there was no flame and the cargo warehouse temperature remained stable. All crew members are confirmed to be safe. The ship is operating normally, and Maersk is investigating the cause of the accident

Thousands of unionized workers from airlines and airports are scheduled to strike across Italy on September 24. In particular, baggage and ground operating personnel plan to strike all day at various airports across the country. Impact airport are Milan Malpensa Airport (MXP), Milan Linate Airport (LIN), Rome Fiumicino Airport (FCO), and Venice Marco Polo Airport (VCE). On September 24, there is a high possibility of flight delays and cancellations at airports nationwide in Italy.