<div class="phx-topic abstract-wrapper">Quotations are offered rates of New York city banks relating to currency transfers of $1 million or </div>

Quotations are offered rates of New York city banks relating to currency transfers of $1 million or

<div>Quotations are offered rates of New York city banks relating to currency transfers of $1 million or larger. Foreign currency values are expressed in terms of currency units per dollar unless otherwise noted. To obtain the comparable dollar value, for those rates not quoted in dollars, divide into one. For example, when one U.S. dollar buys 6.9075 French francs, one dollar divided by 6.9075 francs equals $.1448 or 14.48 U.S. cents per franc.Thu., May 24, 1990Thu. Wed.*U.K. (Pound) 1.6885 1.694530 days 1.6790 1.685160 days 1.6699 1.676390 days 1.6613 1.6671CANADA (Dollar) 1.1832 1.184630 days 1.1890 1.190460 days 1.1940 1.194790 days 1.1993...

Quotations are offered rates of New York city banks relating to currency transfers of $1 million or larger. Foreign currency values are expressed in terms of currency units per dollar unless otherwise noted. To obtain the comparable dollar value, for those rates not quoted in dollars, divide into one. For example, when one U.S. dollar buys 6.9075 French francs, one dollar divided by 6.9075 francs equals $.1448 or 14.48 U.S. cents per franc. Thu., May 24, 1990Thu. Wed. *U.K. (Pound) 1.6885 1.6945 30 days 1.6790 1.6851 60 days 1.6699 1.6763 90 days 1.6613 1.6671 CANADA (Dollar) 1.1832 1.1846 30 days 1.1890 1.1904 60 days 1.1940 1.1947 90 days 1.1993 1.2004 NETHERLANDS (Guilder) 1.8936 1.8861 30 days 1.8932 1.8859 60 days 1.8929 1.8857 90 days 1.8932 1.8857 SWITZERLAND (Franc) 1.4275 1.4170 30 days 1.4281 1.4176 60 days 1.4285 1.4182 90 days 1.4288 1.4185 W. GERMANY (Mark) 1.6840 1.6765 30 days 1.6836 1.6761 60 days 1.6833 1.6758 90 days 1.6833 1.6758 FRANCE (Franc) 5.6615 5.6420 30 days 5.6682 5.6485 60 days 5.6744 5.6550 90 days 5.6812 5.6620 JAPAN (Yen) 150.90 151.40 30 days 150.73 151.27 60 days 150.65 151.14 90 days 150.37 151.00 OTHER EUROPEAN Thu. Wed. AUSTRIA (Shilling) 11.8415 11.8135 BELGIUM (Franc) 34.7230 34.5790 DENMARK (Krone) 6.4120 6.3855 FINLAND (Markka) 3.9385 3.9250 GREECE (Drachma) 164.00 163.30 Thu. Wed. ITALY (Lira) 1235.8 1231.0 NORWAY (Krone) 6.4610 6.4595 PORTUGAL (Escudo) 147.66 147.60 SPAIN (Peseta) 104.81 104.36 SWEDEN (Krona) 6.0990 6.0860 ASIAN AND OTHER COUNTRIES *AUSTRALIA (Dollar) .7626 .7665 HONG KONG (Dollar) 7.7800 7.7800 INDIA (Rupee) 17.30 17.30 INDONESIAN (Rupiah) 1829 1829 ISRAEL (Shekel) 1.9600 1.9600 *KUWAIT (Dinar) .29120 .29127 LEBANON (Pound) 624.50 624.50 MALAYSIA (Ringgit) 2.6980 2.7000 *N. ZEALAND (Dollar) .5745 .5747 PAKISTAN (Rupee) 21.93 21.93 PHILIPPINES (Peso) 22.70 22.70 SAUDI ARABIA (Riyal) 3.7500 3.7500 SINGAPORE (Dollar) 1.8460 1.8510 S. AFRICA (Rand) 2.6425 2.6480 S. KOREA (Won) 699.61 699.61 TAIWAN (Dollar) 26.23 26.23 LATIN AMERICA ARGENTINA (Austral) 4935 4935 BRAZIL (Cruzado) 50.370 50.370 CHILE (Peso) 291.95 291.95 COLOMBIA (Peso) 474.59 474.59 MEXICO (Peso) 2810.0 2810.0 PERU (Inti) 30535 30535 VENEZUELA (Bolivar) 45.21 45.21 GOLD Price per oz. Thu. Wed. LONDON, 2nd fixing 366.5 364.5 *These currencies are expressed in dollar price per unit. CUSTOMS RATES Federal Reserve Bank of New York certified buying rates for certain foreign currencies to be used for customs purposes or appropriate cases. Thu., May 24, 1990 Country Rate *AUSTRALIA (Dollar) 0.7623 AUSTRIA (Shilling) 11.7800 BELGIUM (Franc) 34.5700 BRAZIL (Cruzado) N.A. CANADA (Dollar) 1.1855 CHINA (Yuan) 4.7339 DENMARK (Krone) 6.3780 EUR. CUR. UNIT (ECU) 1.2270 FINLAND (Markka) 3.9350 FRANCE (Franc) 5.6460 GERMANY (Mark) 1.6780 GREECE (Drachma) 165.50 HONG KONG (Dollar) 7.7825 INDIA (Rupee) 17.31 *IRELAND (Pound) 1.5970 ISRAEL (Shekel) N.A. ITALY (Lira) 1233.75 JAPAN (Yen) 151.55 MALAYSIA (Dollar) 2.7000 Country Rate NETHERLANDS (Guilder) 1.8863 *NEW ZEALAND (Dollar) 0.5739 NORWAY (Krone) 6.4600 PHILIPPINES (Peso) N.A. PORTUGAL (Escudo) 148.00 SINGAPORE (Dollar) 1.8480 SOUTH AFRICA (Rand) 2.6420 SOUTH KOREA (Won) 714.30 SPAIN (Peseta) 104.60 SRI LANKA (Rupee) 40.0175 SWEDEN (Krona) 6.0800 SWITZERLAND (Franc) 1.4200 TAIWAN (Dollar) 27.50 THAILAND (Baht) 25.85 *UNITED KINGDOM (Pound) 1.6895 VENEZUELA (Bolivar) N.A. *These currencies are expressed in dollar price per unit.

FOREIGN EXCHANGE

<div class="phx-topic abstract-wrapper">A long-term decline in US forest product production is being accelerated by the increasing use of composite materials that require less wood and trade policy complications abroad. </div>

A long-term decline in US forest product production is being accelerated by the increasing use of composite materials that require less wood and trade policy complications abroad.

Feature image

<div class="phx-topic">(The following story appears in the Top 100 Importers and Exporters issue of the Journal of Commerce magazine published on May 4, 2026.) Stagnant home sales, increased demand for composite materials, and trade policy uncertainty are extending a multiyear decline in US paper and forest product exports, according to manufacturers and forwarders in the sector. Industrial production of wood products decreased 2.9% year over year in February 2026, while capacity utilization dropped 4.2% over the same period, according to the US Federal Reserve. Capacity utilization has plunged 30% since the base year of 2017 as the sector struggles to survive. With housing supply exceeding demand in certain US regions and alternative materials taking share from traditional wood used in flooring, furniture and home construction, several producers of paper and forest products reduced production, shuttered sawmills or sold their businesses last year. As a result, outbound containerized shipments of those products plummeted 12% year over year in 2025, according to PIERS, a sister product of the Journal of Commerce within S&amp;P Global. Export volumes have dropped at a compound annual rate of 7.3% in the last five years, with total shipments down nearly one-third from 2020 levels. <div class="wrapper-narrow"><dynamic-object type="jocchartid" resource-id="bfd65c6e-9bdb-43b6-8c61-23fd06e7f420"></dynamic-object></div>Canfor, a large paper and forest product manufacturer, has closed nine sawmills in the last three years, including two last year. “[We] continue to be impacted by weak global pulp and paper markets with ongoing trade disputes and broader economic uncertainty contributing to elevated inventory levels and weak pricing through much of 2025 and continuing into 2026,” CEO Stephen MacKie said during the company’s fourth-quarter earnings call March 6. Lumber producer Interfor shut down two sawmills in the US last year amid what it described as “historically weak” lumber prices. “Repair and remodel, largely influenced by home purchases, is expected to remain relatively flat,” Bart Bender, Interfor’s senior vice president of sales, said during a Feb. 13 earnings call. “Turning to supply, we’re seeing the impact of production curtailments across the industry. Some are formally announced, many are not.” Like its competitors, West Fraser closed two sawmills last year and reported operating losses in the fourth quarter for North American paper, pulp and forest products. “Since 2022, we have removed over 1.1 billion board feet of capacity through mill closures and permanent shift reductions, representing a 16% decrease in the company's lumber operating capacity,” CEO Sean McLaren told analysts during West Fraser’s Feb. 13 earnings call. “We’ve also reduced the number of shifts or hours of operations at various lumber mills as a means to manage cost.” <h3>Popular alternatives </h3>Although demand for flooring and furniture has not disappeared, a shift toward composite materials that require less wood is accelerating the decline in forest product production and, in turn, exports. “Composites have been eating the lumber industry’s lunch for the last half-decade,” Stephen Zambo, CEO of the AGL Group, a freight forwarder specializing in paper and forest products, told the Journal of Commerce. “The products are no longer fully made out of lumber; it’s maybe 20% of the item now instead of 100%.” Engineered materials, plastics, and other substitutes are replacing traditional hardwood components in the US and abroad. Zambo said the shift is evident at major industry trade shows, where exhibit booths displaying hardwood have been displaced by engineered and synthetic products. “Hardwood is turning into a luxury product,” he said. “A lot of companies are either getting bought or just shutting down because the margins aren’t worth the capital.” Increasing regulatory requirements in major markets abroad are adding further pressure on exports, according to the American Forest &amp; Paper Association (AF&amp;PA). For example, the European Union Deforestation Regulation (EUDR), enforcement of which is scheduled to begin at the end of 2026, “continues to represent a technical barrier to trade for US forest products into the EU, with many compliance uncertainties unaddressed,” AF&amp;PA said in a statement to the Journal of Commerce. “These evolving trade policy initiatives, alongside freight and vessel availability, and port and inland logistics constraints, shape export flows and planning decisions,” the group added. <div class="wrapper-narrow"><dynamic-object type="jocchartid" resource-id="28c8a7e4-fba3-43c3-855f-8d3e2953746e"></dynamic-object></div>Zambo said the imposition of 125% reciprocal tariffs on US lumber by China, formerly the largest export destination by a wide margin, didn’t put too big of a dent in overall volumes, but it has shifted a large portion of those shipments to Vietnam. Indeed, Vietnam became the largest consumer of US paper and forest last year, accounting for 15.8% of exports, up from 6.2% in 2024, while mainland China’s share tumbled to 15.6% from 29%, according to PIERS. “What we’re seeing now is logs going over to Vietnam, being sawn into lumber, and then sent into other markets like China,” Zambo said. “China is consuming the same amount. It’s just not coming directly from the US anymore.” Contact Ari Ashe at <a href="mailto:ari.ashe@spglobal.com">ari.ashe@spglobal.com</a>. </div>

(The following story appears in the Top 100 Importers and Exporters issue of the Journal of Commerce magazine published on May 4, 2026.) Stagnant home sales, increased demand for composite materials, and trade policy uncertainty are extending a multiyear decline in US paper and forest product exports, according to manufacturers and forwarders in the sector. Industrial production of wood products decreased 2.9% year over year in February 2026, while capacity utilization dropped 4.2% over the same period, according to the US Federal Reserve. Capacity utilization has plunged 30% since the base year of 2017 as the sector struggles to survive. With housing supply exceeding demand in certain US regions and alternative materials taking share from traditional wood used in flooring, furniture and home construction, several producers of paper and forest products reduced production, shuttered sawmills or sold their businesses last year. As a result, outbound containerized shipments of those products plummeted 12% year over year in 2025, according to PIERS, a sister product of the Journal of Commerce within S&P Global. Export volumes have dropped at a compound annual rate of 7.3% in the last five years, with total shipments down nearly one-third from 2020 levels. Canfor, a large paper and forest product manufacturer, has closed nine sawmills in the last three years, including two last year. “[We] continue to be impacted by weak global pulp and paper markets with ongoing trade disputes and broader economic uncertainty contributing to elevated inventory levels and weak pricing through much of 2025 and continuing into 2026,” CEO Stephen MacKie said during the company’s fourth-quarter earnings call March 6. Lumber producer Interfor shut down two sawmills in the US last year amid what it described as “historically weak” lumber prices. “Repair and remodel, largely influenced by home purchases, is expected to remain relatively flat,” Bart Bender, Interfor’s senior vice president of sales, said during a Feb. 13 earnings call. “Turning to supply, we’re seeing the impact of production curtailments across the industry. Some are formally announced, many are not.” Like its competitors, West Fraser closed two sawmills last year and reported operating losses in the fourth quarter for North American paper, pulp and forest products. “Since 2022, we have removed over 1.1 billion board feet of capacity through mill closures and permanent shift reductions, representing a 16% decrease in the company's lumber operating capacity,” CEO Sean McLaren told analysts during West Fraser’s Feb. 13 earnings call. “We’ve also reduced the number of shifts or hours of operations at various lumber mills as a means to manage cost.” Popular alternatives Although demand for flooring and furniture has not disappeared, a shift toward composite materials that require less wood is accelerating the decline in forest product production and, in turn, exports. “Composites have been eating the lumber industry’s lunch for the last half-decade,” Stephen Zambo, CEO of the AGL Group, a freight forwarder specializing in paper and forest products, told the Journal of Commerce. “The products are no longer fully made out of lumber; it’s maybe 20% of the item now instead of 100%.” Engineered materials, plastics, and other substitutes are replacing traditional hardwood components in the US and abroad. Zambo said the shift is evident at major industry trade shows, where exhibit booths displaying hardwood have been displaced by engineered and synthetic products. “Hardwood is turning into a luxury product,” he said. “A lot of companies are either getting bought or just shutting down because the margins aren’t worth the capital.” Increasing regulatory requirements in major markets abroad are adding further pressure on exports, according to the American Forest & Paper Association (AF&PA). For example, the European Union Deforestation Regulation (EUDR), enforcement of which is scheduled to begin at the end of 2026, “continues to represent a technical barrier to trade for US forest products into the EU, with many compliance uncertainties unaddressed,” AF&PA said in a statement to the Journal of Commerce. “These evolving trade policy initiatives, alongside freight and vessel availability, and port and inland logistics constraints, shape export flows and planning decisions,” the group added. Zambo said the imposition of 125% reciprocal tariffs on US lumber by China, formerly the largest export destination by a wide margin, didn’t put too big of a dent in overall volumes, but it has shifted a large portion of those shipments to Vietnam. Indeed, Vietnam became the largest consumer of US paper and forest last year, accounting for 15.8% of exports, up from 6.2% in 2024, while mainland China’s share tumbled to 15.6% from 29%, according to PIERS. “What we’re seeing now is logs going over to Vietnam, being sawn into lumber, and then sent into other markets like China,” Zambo said. “China is consuming the same amount. It’s just not coming directly from the US anymore.” Contact Ari Ashe at ari.ashe@spglobal.com .

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Trans-Pacific

Supply chain

Container Shipping News

Maritime

Structural demand shifts pulverizing US forest exports

<div class="phx-topic abstract-wrapper">The long-term prospect for diesel costs and fuel surcharges is pushing US truck shippers to rethink how they move freight, and even to redesign networks. </div>

The long-term prospect for diesel costs and fuel surcharges is pushing US truck shippers to rethink how they move freight, and even to redesign networks.

<div class="phx-topic">Diesel prices stuck above $5 per gallon are adding significantly to US trucking costs, squeezing shippers between rising rates and fuel surcharges and tightening capacity, with continued geopolitical uncertainty making a return to lower fuel prices unlikely for the foreseeable future. Companies such as packaged meats manufacturer Smithfield Foods are considering multiple options to control costs. “We’ve done lane consolidation, [we’re] <a href="https://www.joc.com/article/soaring-truck-rates-power-major-rebound-in-domestic-intermodal-volume-6208736">adding intermodal</a>,” Smithfield’s CEO Charles Shane Smith said on an earnings call last week in response to a question about the impact of rising fuel prices. The Virginia-based company eliminated one million road miles in 2025 by optimizing its transportation network and expects to take another million miles off the road in 2026. “We’re still looking at hedging opportunities for diesel where we can, driving fewer miles,” Smith said. But higher oil and fuel prices ripple throughout Smithfield’s freight, packaging and agricultural costs. Soaring oil prices also affect the cost of resin-based packaging, for example, and the cost of agricultural feed supporting hog production, Smith said. Andrew Silvernail, CEO of International Paper, noted that rising freight costs are not passed through directly, but recovered “through pricing over time.” “Diesel prices are putting pressure on costs across the supply chain,” Silvernail said during an earnings call last week. “Combined with an exceptionally tight freight market, this remains a strong headwind.” Fuel’s headwinds are both global and domestic, with the impact of higher fuel costs on ocean and air cargo rippling deep into trucking and rail networks, putting pressure on transportation rates shippers pay and, eventually, the costs of goods to their customers. The average price of diesel fuel in the US has been above $5 per gallon since March 16, according to the US Energy Information Administration. It was $3.81 per gallon when the war began. In 2022, following Russia’s invasion of Ukraine, the US average diesel price stayed above $5 per gallon for 21 weeks, averaging $5.43 per gallon from March into early August. It spiked north of $5 per gallon again for 11 weeks from late August through November of that year. <h3>Dislocated freight drives costs </h3>War-linked <a href="https://www.joc.com/article/cost-hit-ocean-carriers-roll-out-series-of-rate-increases-fuel-surcharges-6202474">bunker fuel surcharges</a> are raising costs for US importers and <a href="https://www.joc.com/article/middle-east-fuel-shock-exacerbates-rising-us-ag-export-costs-6213888">exporters</a>, and ocean shipping lines are trying to constrain costs through increased direct sailings and slow steaming. Soaring jet fuel costs are grounding <a href="https://www.joc.com/article/rising-jet-fuel-costs-challenging-freighter-viability-as-war-enters-second-month-6199130">air cargo capacity</a>. That’s already leading to some mismatch between freight and capacity once shipments arrive in the US, and that dislocation means more truck miles and higher fuel costs. “People who had lead times built into supply chains, those lead times have been compressed,” Ryan Carter, executive vice president of the Americas at AIT Worldwide Logistics, told the Journal of Commerce. Global disruption — whether caused by the closure of the Strait of Hormuz or a pandemic — expedites demand, he said. “Time is your most valuable commodity,” Carter said. “We’ve seen an increase in tie-ins [between international and domestic transportation] that claws back time for those sourcing goods internationally that’s been lost since the conflict began.” Shippers need to be aware of the total cost impact from higher oil prices, said Jenny Vander Zanden, COO of Breakthrough, a transportation technology firm specializing in fuel cost management. “Part of that is understanding the difference between diesel and gasoline price dynamics,” Vander Zanden told the Journal of Commerce. Gas prices tend to fluctuate in sync with oil prices, but not diesel prices. One reason is that gasoline prices tend to be “elastic,” while diesel prices are not. When gasoline prices surge, consumers can, to an extent, cut back on fuel use. It’s much harder for diesel-using truckers and farmers to make fewer trips or plow fewer acres. “When I go to Walmart, I need my stuff — I don’t care if diesel prices are going higher,” said Keith Prather, managing director at Armada Corporate Intelligence. Walmart has to cover the higher diesel price to ensure goods are on its shelves for consumers. “I don’t think diesel prices are going to snap back” if oil prices drop, Prather told the Journal of Commerce. “It’s a question of how long diesel prices stay up.” <h3>Intermodal moment </h3>Intermodal rail is likely to <a href="https://www.joc.com/article/tailwinds-for-us-intermodal-volume-growth-strengthening-analyst-6206045">gain more business</a> the longer fuel prices remain elevated. “A revisit with intermodal is needed to think about strategic road maps to transportation,” Vander Zanden said. “There are some real savings opportunities with intermodal.” The Journal of Commerce Intermodal Savings Index (ISI) shows why that’s the case. In March, the ISI intermodal contract rate, including fuel, was up 8 cents year over year at $1.65 per mile. At $2.34 per mile, the truckload contract rate was up 50 cents from a year ago. That all-inclusive truckload contract rate leapt 14.8% year over year, with higher fuel costs accounting for more than 1,000 basis points of the increase, according to a Journal of Commerce analysis. Sans fuel, the ISI truckload rate was up only 4.4% year over year. That’s a clear indication of how much shippers are really paying in higher fuel costs. Shifting freight to intermodal is part of an answer, but shippers need to find ways to rein in miles driven by their carriers as well, especially deadhead or empty miles. <div class="wrapper-narrow"><dynamic-object type="jocchartid" resource-id="a1244989-1fd3-41a3-9782-0bf65208b331"></dynamic-object></div>If fuel costs remain elevated for months, rather than weeks, shippers will face even more pressure to rethink transportation networks. Uber Freight says the number of shippers approaching the logistics provider for network optimization is rising fast. That’s especially true for companies that shrank their inventory in late 2025 and now face high replenishment costs. “There was a big push among many companies to reduce inventory in late 2025, with the expectation they could replenish in the first quarter,” Bob Daymon, head of client freight for Uber Freight, told the Journal of Commerce. “They’re finding costs are considerably higher than they expected,” Daymon said. Shippers have “drawn mental lines” based on how long the war in the Middle East and high fuel prices last, he said, adding: “I see the queue filling up with requests for network optimization.” Contact William B. Cassidy at <a href="mailto:bill.cassidy@spglobal.com">bill.cassidy@spglobal.com</a>.</div>

Diesel prices stuck above $5 per gallon are adding significantly to US trucking costs, squeezing shippers between rising rates and fuel surcharges and tightening capacity, with continued geopolitical uncertainty making a return to lower fuel prices unlikely for the foreseeable future. Companies such as packaged meats manufacturer Smithfield Foods are considering multiple options to control costs. “We’ve done lane consolidation, [we’re] adding intermodal ,” Smithfield’s CEO Charles Shane Smith said on an earnings call last week in response to a question about the impact of rising fuel prices. The Virginia-based company eliminated one million road miles in 2025 by optimizing its transportation network and expects to take another million miles off the road in 2026. “We’re still looking at hedging opportunities for diesel where we can, driving fewer miles,” Smith said. But higher oil and fuel prices ripple throughout Smithfield’s freight, packaging and agricultural costs. Soaring oil prices also affect the cost of resin-based packaging, for example, and the cost of agricultural feed supporting hog production, Smith said. Andrew Silvernail, CEO of International Paper, noted that rising freight costs are not passed through directly, but recovered “through pricing over time.” “Diesel prices are putting pressure on costs across the supply chain,” Silvernail said during an earnings call last week. “Combined with an exceptionally tight freight market, this remains a strong headwind.” Fuel’s headwinds are both global and domestic, with the impact of higher fuel costs on ocean and air cargo rippling deep into trucking and rail networks, putting pressure on transportation rates shippers pay and, eventually, the costs of goods to their customers. The average price of diesel fuel in the US has been above $5 per gallon since March 16, according to the US Energy Information Administration. It was $3.81 per gallon when the war began. In 2022, following Russia’s invasion of Ukraine, the US average diesel price stayed above $5 per gallon for 21 weeks, averaging $5.43 per gallon from March into early August. It spiked north of $5 per gallon again for 11 weeks from late August through November of that year. Dislocated freight drives costs War-linked bunker fuel surcharges are raising costs for US importers and exporters , and ocean shipping lines are trying to constrain costs through increased direct sailings and slow steaming. Soaring jet fuel costs are grounding air cargo capacity . That’s already leading to some mismatch between freight and capacity once shipments arrive in the US, and that dislocation means more truck miles and higher fuel costs. “People who had lead times built into supply chains, those lead times have been compressed,” Ryan Carter, executive vice president of the Americas at AIT Worldwide Logistics, told the Journal of Commerce. Global disruption — whether caused by the closure of the Strait of Hormuz or a pandemic — expedites demand, he said. “Time is your most valuable commodity,” Carter said. “We’ve seen an increase in tie-ins [between international and domestic transportation] that claws back time for those sourcing goods internationally that’s been lost since the conflict began.” Shippers need to be aware of the total cost impact from higher oil prices, said Jenny Vander Zanden, COO of Breakthrough, a transportation technology firm specializing in fuel cost management. “Part of that is understanding the difference between diesel and gasoline price dynamics,” Vander Zanden told the Journal of Commerce. Gas prices tend to fluctuate in sync with oil prices, but not diesel prices. One reason is that gasoline prices tend to be “elastic,” while diesel prices are not. When gasoline prices surge, consumers can, to an extent, cut back on fuel use. It’s much harder for diesel-using truckers and farmers to make fewer trips or plow fewer acres. “When I go to Walmart, I need my stuff — I don’t care if diesel prices are going higher,” said Keith Prather, managing director at Armada Corporate Intelligence. Walmart has to cover the higher diesel price to ensure goods are on its shelves for consumers. “I don’t think diesel prices are going to snap back” if oil prices drop, Prather told the Journal of Commerce. “It’s a question of how long diesel prices stay up.” Intermodal moment Intermodal rail is likely to gain more business the longer fuel prices remain elevated. “A revisit with intermodal is needed to think about strategic road maps to transportation,” Vander Zanden said. “There are some real savings opportunities with intermodal.” The Journal of Commerce Intermodal Savings Index (ISI) shows why that’s the case. In March, the ISI intermodal contract rate, including fuel, was up 8 cents year over year at $1.65 per mile. At $2.34 per mile, the truckload contract rate was up 50 cents from a year ago. That all-inclusive truckload contract rate leapt 14.8% year over year, with higher fuel costs accounting for more than 1,000 basis points of the increase, according to a Journal of Commerce analysis. Sans fuel, the ISI truckload rate was up only 4.4% year over year. That’s a clear indication of how much shippers are really paying in higher fuel costs. Shifting freight to intermodal is part of an answer, but shippers need to find ways to rein in miles driven by their carriers as well, especially deadhead or empty miles. If fuel costs remain elevated for months, rather than weeks, shippers will face even more pressure to rethink transportation networks. Uber Freight says the number of shippers approaching the logistics provider for network optimization is rising fast. That’s especially true for companies that shrank their inventory in late 2025 and now face high replenishment costs. “There was a big push among many companies to reduce inventory in late 2025, with the expectation they could replenish in the first quarter,” Bob Daymon, head of client freight for Uber Freight, told the Journal of Commerce. “They’re finding costs are considerably higher than they expected,” Daymon said. Shippers have “drawn mental lines” based on how long the war in the Middle East and high fuel prices last, he said, adding: “I see the queue filling up with requests for network optimization.” Contact William B. Cassidy at bill.cassidy@spglobal.com .

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Rail News

Intermodal providers

Surface

Rising fuel costs forcing US truck shippers to shift freight

<div class="phx-topic abstract-wrapper">The services, which include land bridge options to circumvent the still-effectively closed Strait of Hormuz, appear to be an acknowledgement by the liners that Hormuz will remain a no-go zone for the foreseeable future.</div>

The services, which include land bridge options to circumvent the still-effectively closed Strait of Hormuz, appear to be an acknowledgement by the liners that Hormuz will remain a no-go zone for the foreseeable future.

<div class="phx-topic">Hapag-Lloyd and Mediterranean Shipping Co. have become among the first ocean carriers to restore seaborne cargo links to the upper Persian Gulf that have been largely severed since early March due to the war in the Middle East. The services, which include land bridge options to circumvent the still-effectively closed Strait of Hormuz, appear to be an acknowledgement by the liners that Hormuz will remain a no-go zone for the foreseeable future. Hostilities <a href="https://www.nytimes.com/live/2026/05/04/world/iran-hormuz-ships-navy">that flared there Monday</a> demonstrate that reality. Hapag and MSC have announced separate services in the last three days that use third-party feeder vessels to connect ports such as Dubai’s Jebel Ali, Damman in Saudi Arabia and Shuwaikh in Kuwait. It has allowed Hapag-Lloyd to resume cargo bookings for the upper Gulf, the carrier said in an advisory Monday, while MSC is using feeders to help launch an express service connecting Europe, the Red Sea and Middle East, it said over the weekend. The carriers join CMA CGM, <a href="https://www.joc.com/article/as-war-rages-multimodal-demand-surges-on-asia-europe-landbridge-6185162">which has been using feeder vessels since March</a> as part of a wider multimodal service network it launched in the region after lifting a brief halt in cargo bookings. But Maersk said in an advisory Monday it would continue to suspend bookings for dry, reefer and in-gauge cargo to and from the UAE (except for Khor Fakkan), Iraq, Kuwait, Qatar, Saudi Arabia and Bahrain. <h3>‘Subject to transit safety conditions’ </h3>Hapag-Lloyd said dry cargo, reefer and in-gauge special freight containers are the only freight being accepted under its booking resumption. The carrier said the feeder services will operate between Sharjah and other key ports in the UAE, as well as Kuwait, Saudi Arabia, Qatar and Iraq. A bonded trucking service will connect Sharjah with Khor Fakkan on the Gulf of Oman, which has shipping services linking with Mundra and Nhava Sheva in India and Salalah in Oman, Hapag-Lloyd said. The lead time for the bonded road transport between Sharjah and Khor Fakkan is about five days, Hapag-Lloyd said in its advisory. The carrier halted all bookings for the upper Gulf region on March 4, shortly after the US and Israel launched their attacks on Iran on Feb. 28. Highlighting the ongoing security risk to shipping services in the Gulf, Hapag indicated the feeder services will operate on a semi-ad hoc basis. “Feeder rotations do not operate on a fixed weekly schedule and remain subject to transit safety conditions in the region,” the carrier said in its advisory. MSC, meanwhile, confirmed it will use a similar feeder network in the upper Persian Gulf as part of a new Europe-Red Sea-Middle East express service beginning May 10. The service will connect Jebel Ali, Abu Dhabi, Kuwait and Iraq’s Umm Qasr with Damman, from where cargo will be trucked across Saudi Arabia to connect with the Red Sea port of King Abdullah. MSC said the express service is being launched “in response to the growing demand [for] services from Europe to the Red Sea and to the challenging scenario in the Middle East.” The first sailing is scheduled from Antwerp on May 10. The full mainline eastbound rotation is Gdansk, Klaipeda, Bremerhaven, Antwerp, Valencia, Barcelona, Gioia Tauro, Abu Kir, King Abdullah, Jeddah and Aqaba. Contact Keith Wallis at <a href="mailto:keithwallis@hotmail.com">keithwallis@hotmail.com</a>. </div>

Hapag-Lloyd and Mediterranean Shipping Co. have become among the first ocean carriers to restore seaborne cargo links to the upper Persian Gulf that have been largely severed since early March due to the war in the Middle East. The services, which include land bridge options to circumvent the still-effectively closed Strait of Hormuz, appear to be an acknowledgement by the liners that Hormuz will remain a no-go zone for the foreseeable future. Hostilities that flared there Monday demonstrate that reality. Hapag and MSC have announced separate services in the last three days that use third-party feeder vessels to connect ports such as Dubai’s Jebel Ali, Damman in Saudi Arabia and Shuwaikh in Kuwait. It has allowed Hapag-Lloyd to resume cargo bookings for the upper Gulf, the carrier said in an advisory Monday, while MSC is using feeders to help launch an express service connecting Europe, the Red Sea and Middle East, it said over the weekend. The carriers join CMA CGM, which has been using feeder vessels since March as part of a wider multimodal service network it launched in the region after lifting a brief halt in cargo bookings. But Maersk said in an advisory Monday it would continue to suspend bookings for dry, reefer and in-gauge cargo to and from the UAE (except for Khor Fakkan), Iraq, Kuwait, Qatar, Saudi Arabia and Bahrain. ‘Subject to transit safety conditions’ Hapag-Lloyd said dry cargo, reefer and in-gauge special freight containers are the only freight being accepted under its booking resumption. The carrier said the feeder services will operate between Sharjah and other key ports in the UAE, as well as Kuwait, Saudi Arabia, Qatar and Iraq. A bonded trucking service will connect Sharjah with Khor Fakkan on the Gulf of Oman, which has shipping services linking with Mundra and Nhava Sheva in India and Salalah in Oman, Hapag-Lloyd said. The lead time for the bonded road transport between Sharjah and Khor Fakkan is about five days, Hapag-Lloyd said in its advisory. The carrier halted all bookings for the upper Gulf region on March 4, shortly after the US and Israel launched their attacks on Iran on Feb. 28. Highlighting the ongoing security risk to shipping services in the Gulf, Hapag indicated the feeder services will operate on a semi-ad hoc basis. “Feeder rotations do not operate on a fixed weekly schedule and remain subject to transit safety conditions in the region,” the carrier said in its advisory. MSC, meanwhile, confirmed it will use a similar feeder network in the upper Persian Gulf as part of a new Europe-Red Sea-Middle East express service beginning May 10. The service will connect Jebel Ali, Abu Dhabi, Kuwait and Iraq’s Umm Qasr with Damman, from where cargo will be trucked across Saudi Arabia to connect with the Red Sea port of King Abdullah. MSC said the express service is being launched “in response to the growing demand [for] services from Europe to the Red Sea and to the challenging scenario in the Middle East.” The first sailing is scheduled from Antwerp on May 10. The full mainline eastbound rotation is Gdansk, Klaipeda, Bremerhaven, Antwerp, Valencia, Barcelona, Gioia Tauro, Abu Kir, King Abdullah, Jeddah and Aqaba. Contact Keith Wallis at keithwallis@hotmail.com .

Container lines

Hapag-Lloyd, MSC to use feeders to restore upper Persian Gulf cargo links

<div class="phx-topic abstract-wrapper">The move coincides with plans by XCTG to develop new berths, upgrade existing berths, and develop a multimodal smart logistics center.</div>

The move coincides with plans by XCTG to develop new berths, upgrade existing berths, and develop a multimodal smart logistics center.

<div class="phx-topic">PSA International, the world’s largest container terminal operator, has expanded its portfolio in China after agreeing to pay $388 million for a 30% stake in Xiamen Container Terminal Group Co. (XCTG) in Fujian province. The move coincides with plans by XCTG to develop new berths, upgrade existing berths, and develop a multimodal smart logistics center. The Singapore-headquartered port operator is acquiring its stake through subsidiary PSA Amoy from XCTG’s parent, Xiamen Port Development Co., after the latter invited public bids for the investment. The deal also includes an increase in PSA’s stake in the Xiamen Port Intermodal Logistics Hub. XCTG comprises eight container terminals with a combined annual capacity of 20 million TEUs, although the company actually handled 12.5 million TEUs last year, a 2% increase over the prior year. Expansion projects there include the construction of five new berths, including in Xiamen’s Gulei Port North, Hai'an, and Haicang port areas, Shenzhen-listed Xiamen Port Development Co. said in regulatory filing. Other plans include new warehouse projects and the expansion of shore-power facilities at existing berths. PSA’s investment, which still has to be approved by regulatory agencies in China, was confirmed in separate statements late last week by PSA and Xiamen Port Development. It also comes about two months after Chinese regulators approved the $1.1 billion acquisition by Xiamen Port Development of a 70% stake in XCTG from Xiamen International Port Co. PSA, which handled a total of 105 million TEUs last year, also operates six other container terminals in China including Dalian, Guangzhou, Tianjin, and Lianyungang near Shanghai. “This partnership reflects the strong alignment between Xiamen Port Group and PSA in supporting the Silk Road maritime strategy and enhancing Fujian’s role in international trade and shipping,” Xiamen Port Group chairman Cai Li Qun said in a statement announcing the deal. Contact Keith Wallis at <a href="mailto:keithwallis@hotmail.com">keithwallis@hotmail.com</a>. </div>

PSA International, the world’s largest container terminal operator, has expanded its portfolio in China after agreeing to pay $388 million for a 30% stake in Xiamen Container Terminal Group Co. (XCTG) in Fujian province. The move coincides with plans by XCTG to develop new berths, upgrade existing berths, and develop a multimodal smart logistics center. The Singapore-headquartered port operator is acquiring its stake through subsidiary PSA Amoy from XCTG’s parent, Xiamen Port Development Co., after the latter invited public bids for the investment. The deal also includes an increase in PSA’s stake in the Xiamen Port Intermodal Logistics Hub. XCTG comprises eight container terminals with a combined annual capacity of 20 million TEUs, although the company actually handled 12.5 million TEUs last year, a 2% increase over the prior year. Expansion projects there include the construction of five new berths, including in Xiamen’s Gulei Port North, Hai'an, and Haicang port areas, Shenzhen-listed Xiamen Port Development Co. said in regulatory filing. Other plans include new warehouse projects and the expansion of shore-power facilities at existing berths. PSA’s investment, which still has to be approved by regulatory agencies in China, was confirmed in separate statements late last week by PSA and Xiamen Port Development. It also comes about two months after Chinese regulators approved the $1.1 billion acquisition by Xiamen Port Development of a 70% stake in XCTG from Xiamen International Port Co. PSA, which handled a total of 105 million TEUs last year, also operates six other container terminals in China including Dalian, Guangzhou, Tianjin, and Lianyungang near Shanghai. “This partnership reflects the strong alignment between Xiamen Port Group and PSA in supporting the Silk Road maritime strategy and enhancing Fujian’s role in international trade and shipping,” Xiamen Port Group chairman Cai Li Qun said in a statement announcing the deal. Contact Keith Wallis at keithwallis@hotmail.com .

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Singapore’s PSA invests $388 million in Xiamen’s XCTG port group

<div class="phx-topic abstract-wrapper">Linde has adopted a “guarded” outlook for the rest of 2026 as Air Liquide looks to a “rebound effect” in the US for an uplift. Linde has adopted a “guarded” outlook for the rest of 2026 as Air Liquide looks to a “rebound effect” in the US for an uplift. </div>

Linde has adopted a “guarded” outlook for the rest of 2026 as Air Liquide looks to a “rebound effect” in the US for an uplift. Linde has adopted a “guarded” outlook for the rest of 2026 as Air Liquide looks to a “rebound effect” in the US for an uplift.

<div class="phx-topic">Against a backdrop of economic uncertainties, the two largest global industrial gas suppliers are riding on record-high project backlogs while looking to gains from the North American market. In their latest earnings statements, suppliers Linde and Air Liquide highlighted key project wins in the electronics sector while maintaining a cautious tone amid industrial disruptions related to the war in the Middle East. Considered bellwether companies for industrial market trends, Linde and Air Liquide are key shippers of breakbulk and project cargo such as gas storage tanks and heavy equipment for large industrial projects. They supply to industries including manufacturing, chemicals and steel production. With global economic conditions in flux and continued weakness in traditional industrial markets across Europe, the Middle East and Africa, Linde — the world’s largest industrial gas supplier — is taking a “guarded” outlook on its performance for the remainder of the year while posting a record project backlog of nearly $10 billion. The backlog represents industrial gas and engineering project contracts that have been awarded but not yet started. First-quarter project orders grew 24% to $640 million. In his remarks during Linde’s May 1 first-quarter earnings call, CEO Sanjiv Lambda described the 2025 economic environment as a “study in contrast” that set the stage for a challenging backdrop for the industrial sectors the US-German company serves. “On one hand, exuberant investment in AI and digital infrastructure drove unprecedented activity,” he said. “On the other hand, traditional industrial markets like manufacturing, metals, chemicals and energy faced continued retrenchment.” Of the company’s $10 billion backlog, 71% of projects are from the Americas, with 64% in the chemicals sector and 66% qualifying as clean energy. “The US, and I've said this over and over again, proves to be a really resilient market,” Lambda said. “Sales are up across almost every end market.” The company expects $2.5 billion to $3 billion of its projects to start in 2026. Not included in the $10 billion backlog is over $500 million in industrial gas infrastructure projects to supply rocket fuel to the commercial space sector. <h3>Air Liquide readies steel, chip projects </h3>French industrial gas supplier Air Liquide is preparing to deliver two major industrial projects in the US and Asia as the company’s project backlog reached an all-time high of $6.5 billion in the first quarter, up 23% from a year ago. The backlog includes nearly 75 projects globally, balanced between the large industry and electronics sectors. “These are tangible, high-quality projects currently under construction that will fuel our profitable growth as they come online,” CEO François Jackow said during the company’s April 28 first-quarter earnings call. Among its first-quarter project wins, Air Liquide will invest over $350 million in pipeline infrastructure for a low-carbon steel mill Hyundai Steel and POSCO Group are building in Louisiana. The $5.8 billion plant is set for completion by 2029. “This project is a perfect illustration of the industrial reshoring trend currently revitalizing the US market,” Jackow said. The company will also invest $234 million to build two ultra-high purity carrier gas units for a global semiconductor chip manufacturer. In the second quarter, Air Liquide subsidiary Airgas provided industrial gas equipment and infrastructure to support the Artemis II moon mission. The conflict in the Middle East introduced challenges related to global helium sourcing in the first quarter, as helium is used in Air Liquide’s two key growth markets — healthcare and electronics. Disruptions to the world’s largest liquefied natural gas production facility in Qatar has resulted in a global helium shortage. While Jackow declined to speculate on opportunities that could arise from the conflict, he said structural shifts resulting from the situation could lead to “positive outcomes.” “Air Liquide is uniquely positioned to capture regional shifts in industrial demand, as we have a global footprint,” he said. “Also, we could expect a rebound effect in the US, where lower energy costs and manufacturing policy are attracting global industrial production.” Contact Autumn Cafiero Giusti at <a href="mailto:autumn@autumngiusti.com">autumn@autumngiusti.com</a>. </div>

Against a backdrop of economic uncertainties, the two largest global industrial gas suppliers are riding on record-high project backlogs while looking to gains from the North American market. In their latest earnings statements, suppliers Linde and Air Liquide highlighted key project wins in the electronics sector while maintaining a cautious tone amid industrial disruptions related to the war in the Middle East. Considered bellwether companies for industrial market trends, Linde and Air Liquide are key shippers of breakbulk and project cargo such as gas storage tanks and heavy equipment for large industrial projects. They supply to industries including manufacturing, chemicals and steel production. With global economic conditions in flux and continued weakness in traditional industrial markets across Europe, the Middle East and Africa, Linde — the world’s largest industrial gas supplier — is taking a “guarded” outlook on its performance for the remainder of the year while posting a record project backlog of nearly $10 billion. The backlog represents industrial gas and engineering project contracts that have been awarded but not yet started. First-quarter project orders grew 24% to $640 million. In his remarks during Linde’s May 1 first-quarter earnings call, CEO Sanjiv Lambda described the 2025 economic environment as a “study in contrast” that set the stage for a challenging backdrop for the industrial sectors the US-German company serves. “On one hand, exuberant investment in AI and digital infrastructure drove unprecedented activity,” he said. “On the other hand, traditional industrial markets like manufacturing, metals, chemicals and energy faced continued retrenchment.” Of the company’s $10 billion backlog, 71% of projects are from the Americas, with 64% in the chemicals sector and 66% qualifying as clean energy. “The US, and I've said this over and over again, proves to be a really resilient market,” Lambda said. “Sales are up across almost every end market.” The company expects $2.5 billion to $3 billion of its projects to start in 2026. Not included in the $10 billion backlog is over $500 million in industrial gas infrastructure projects to supply rocket fuel to the commercial space sector. Air Liquide readies steel, chip projects French industrial gas supplier Air Liquide is preparing to deliver two major industrial projects in the US and Asia as the company’s project backlog reached an all-time high of $6.5 billion in the first quarter, up 23% from a year ago. The backlog includes nearly 75 projects globally, balanced between the large industry and electronics sectors. “These are tangible, high-quality projects currently under construction that will fuel our profitable growth as they come online,” CEO François Jackow said during the company’s April 28 first-quarter earnings call. Among its first-quarter project wins, Air Liquide will invest over $350 million in pipeline infrastructure for a low-carbon steel mill Hyundai Steel and POSCO Group are building in Louisiana. The $5.8 billion plant is set for completion by 2029. “This project is a perfect illustration of the industrial reshoring trend currently revitalizing the US market,” Jackow said. The company will also invest $234 million to build two ultra-high purity carrier gas units for a global semiconductor chip manufacturer. In the second quarter, Air Liquide subsidiary Airgas provided industrial gas equipment and infrastructure to support the Artemis II moon mission. The conflict in the Middle East introduced challenges related to global helium sourcing in the first quarter, as helium is used in Air Liquide’s two key growth markets — healthcare and electronics. Disruptions to the world’s largest liquefied natural gas production facility in Qatar has resulted in a global helium shortage. While Jackow declined to speculate on opportunities that could arise from the conflict, he said structural shifts resulting from the situation could lead to “positive outcomes.” “Air Liquide is uniquely positioned to capture regional shifts in industrial demand, as we have a global footprint,” he said. “Also, we could expect a rebound effect in the US, where lower energy costs and manufacturing policy are attracting global industrial production.” Contact Autumn Cafiero Giusti at autumn@autumngiusti.com .

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