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<div class="phx-topic abstract-wrapper">WHAT DO TRAFFIC MANAGERS THINK of letting 18-year-olds drive those big rigs? I don't like it</div>

WHAT DO TRAFFIC MANAGERS THINK of letting 18-year-olds drive those big rigs? I don't like it

<div>WHAT DO TRAFFIC MANAGERS THINK of letting 18-year-olds drive those big rigs?I don't like it, says Anthony J. Brancaccio, director, transportation and planning, Warner-Lambert Co. of Morris Plains, N.J.Last week truckers petitioned the Department of Transportation to lower the minimum age for driving heavy rigs from 21 to 18. Their aim is to widen the ranks of trucker hopefuls in the hopes of putting the skids to the growing shortage of drivers.Most traffic officials say it's bad enough putting autos in the hands of a teen-ager, but plopping youngsters behind the wheel of a heavy-rig carrying cargo worth up to...

WHAT DO TRAFFIC MANAGERS THINK of letting 18-year-olds drive those big rigs? I don't like it, says Anthony J. Brancaccio, director, transportation and planning, Warner-Lambert Co. of Morris Plains, N.J.Last week truckers petitioned the Department of Transportation to lower the minimum age for driving heavy rigs from 21 to 18. Their aim is to widen the ranks of trucker hopefuls in the hopes of putting the skids to the growing shortage of drivers. Most traffic officials say it's bad enough putting autos in the hands of a teen-ager, but plopping youngsters behind the wheel of a heavy-rig carrying cargo worth up to a half-million dollars is a terrible idea. Kenneth R. Patrick, contracting agent, transportation, General Electric Co. in Bridgeport, Conn., cites a lack of maturity in 18-year olds. Dominick J. Fantauzzo, traffic manager for Schlegel Corp. of Rochester, N.Y., agrees. A traffic manager for a Northeast-based foods producer said bluntly, I've volunteered with young people and my belief is they're simply not ready. Another distribution manager for a Southeast-based food supermarket chain says he wouldn't mind a two- or three-year apprentice program to develop a new cadre of drivers. But to take an 18-year-old guy and say, 'Okay, you're qualified to take a tractor trailer up and down the road,' Uh-oh, he says. George A. Yarusavage, corporate manager, transportation, GTE Service Corp., of Stamford, Conn., says age won't be the only determinant for driver safety. As long as the new drivers have the right amount of training, age shouldn't be a problem, he says. If DOT approves the petition, Mr. Yarusavage predicts driver training programs will intensify their emphasis on safety and be more closely supervised. But that won't stop insurance firms from upping premiums, he warns. Other traffic officials I talked to fear the country's renewed penchant for enforcing anti-discrimination laws means truckers will be deluged by hordes of unqualified female applicants. * * * * * INTERNATIONAL TRAFFIC MANAGERS have always faced pressure on the bottom line from foreign exchange rates. The problem is becoming more acute as the dollar continues its slide, enabling more U.S. products to amble their way overseas. This has caused General Motors Corp. to scrutinize shipping terms carefully for 10,000 small GM truck engines slated for export to Isuzu Motors Ltd. in Japan to ensure it gets the best deal. GM sources tell me the automaker has yet to finalize pacts for the shipments that begin this fall. Isuzu, of which GM owns 40 percent, says it'll import another 20,000 truck engines next year. Still to be ironed out is the point at which Isuzu will take responsibility for the cargo - at GM plants or at the ports, or possibly when the engines hit Japan. Also to be decided is the packaging. Sources tell me if Isuzu takes shipment responsibility and opts for racks instead of disposable wood block and braces, one container will come back filled with racks for every three full ones delivered. With disposable dunnage, all three would be available for revenue freight service on the return voyage. * * * * NOW THAT IT'S THE NEWEST trade association to get an export trading certificate, the United States Hide, Skin & Leather Association has begun shopping for decent ocean freight rates. Rates are going up every 90 days and many of our members are forward contract sellers, says a USHSLA official. Those using c.i.f. (customs, insurance and freight) rates can't contract out more than 90 days in advance because it takes longer than that to put together a shipment. So the group, which obtained the coveted export trading certificate from the Department of Commerce in December, will ask the TransPacific Westbound Rate Agreement carriers for long-term commitments, the official says. According to a Commerce Department source, 86 of the certificates have been issued up to March 9th, but USHSLA is only the fifth trade group ever to be granted one. The USHSLA official says the group numbers 100, but only about 20 members belong to the rate agreement. USHSLA members comprise 2 1/2 percent to 3 percent of conference tonnage, says Ronald B. Gottshall, TWRA's managing director. Annually, USHSLA exports $1.3 billion of product, with 80 percent of it destined for the Far East, the official says. The official adds USHSLA will agree to a slightly higher than current rate at the onset. The reason for that is the higher rate will remain stable while other shippers look on as their freight rates escalate every three months, he explains. USHSLA, he says, is hoping to negotiate 12-month contracts. At current rates, it costs $2,000 to move one 20-foot container from the United States to the Far East at an inland port rate, he says. From the Midwest, the cost ranges up to $2,500. USHSLA ships about 50 20-foot equivalent unit containers (TEUs) every week to the Far East.

GREG JOHNSON - MANAGING TRAFFIC

<div class="phx-topic abstract-wrapper">The Carney government outlined preliminary goals for a new logistics infrastructure fund that would help increase Canada’s trade outside of the US. </div>

The Carney government outlined preliminary goals for a new logistics infrastructure fund that would help increase Canada’s trade outside of the US.

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<div class="phx-topic">Canada’s government has laid out plans for more spending on ports and other infrastructure to lessen the country’s trade dependency on the US, with the potential for new container screening and handling capacity along the St. Lawrence River and in the Great Lakes region. Canada’s Minister of Transport, Steven MacKinnon, on Friday announced that the government’s next budget includes C$5 billion (US$3.55 billion) over the next seven years for its Trade Diversification Corridors Fund. <a href="https://www.joc.com/article/carney-has-fresh-opportunity-to-galvanize-canadian-shipping-industry-6047928">Prime Minister Mark Carney first outlined the spending in March</a> in response to the Trump administration’s decision to impose tariffs on a host of Canadian imports, calling the US “no longer a reliable partner” due to the rupture in trade relations. As outlined in the proposed budget, the fund aims to advance Canada’s “trade relationships with reliable partners” with the goal of “doubling non-US exports over a decade.” While Transport Canada will administer the fund, the Canada Infrastructure Bank will also determine which projects should receive funding. The largest component of Canada’s decoupling from the US is <a href="https://www.joc.com/article/dp-world-to-build-big-ship-container-terminal-in-montreal-6077326">the C$1.6 billion marine terminal at Contrecoeur, Quebec</a>, for which the federal and provincial governments have pledged some C$280 million in backing. While no specific projects were outlined, the government is considering projects that involved port and rail infrastructure on the West Coast, inland railroads, and ports in northeast Quebec. To facilitate those projects, the government’s next budget also outlines the potential for new entry points for goods moving in and out of Canada. The budget will provide additional resources to Canada’s customs agency for designating additional ports along the Great Lakes and St. Lawrence River for container imports and exports. Designating more container gateways “will help catalyze private investment at ports and is essential to diversifying our trade,” the government said in its budget. Canada’s customs agency currently only scans and clears containers at five ports: Vancouver, Prince Rupert, Montreal, Saint John and Halifax. But an October study by the country’s Chamber of Marine Commerce said that offering customs clearance at six other ports located along the Great Lakes and St. Lawrence would generate C$130 million for businesses throughout Ontario and Quebec.Among the recommended sites is Quebec City, which is 155 miles northeast of Montreal. While the Port of Quebec primarily handles bulk goods currently, terminal operator and stevedore QSL last year proposed a 500,000-TEU terminal for Quebec’s port. Hamilton, located on the far western end of Lake Ontario, was also cited as a new container entry point. Last year, the Hamilton-Oshawa Port Authority and Canadian National started offering intermodal service between the port and Montreal. Contact Michael Angell at <a href="mailto:michael.angell@spglobal.com ">michael.angell@spglobal.com</a>.</div>

Canada’s government has laid out plans for more spending on ports and other infrastructure to lessen the country’s trade dependency on the US, with the potential for new container screening and handling capacity along the St. Lawrence River and in the Great Lakes region. Canada’s Minister of Transport, Steven MacKinnon, on Friday announced that the government’s next budget includes C$5 billion (US$3.55 billion) over the next seven years for its Trade Diversification Corridors Fund. Prime Minister Mark Carney first outlined the spending in March in response to the Trump administration’s decision to impose tariffs on a host of Canadian imports, calling the US “no longer a reliable partner” due to the rupture in trade relations. As outlined in the proposed budget, the fund aims to advance Canada’s “trade relationships with reliable partners” with the goal of “doubling non-US exports over a decade.” While Transport Canada will administer the fund, the Canada Infrastructure Bank will also determine which projects should receive funding. The largest component of Canada’s decoupling from the US is the C$1.6 billion marine terminal at Contrecoeur, Quebec , for which the federal and provincial governments have pledged some C$280 million in backing. While no specific projects were outlined, the government is considering projects that involved port and rail infrastructure on the West Coast, inland railroads, and ports in northeast Quebec. To facilitate those projects, the government’s next budget also outlines the potential for new entry points for goods moving in and out of Canada. The budget will provide additional resources to Canada’s customs agency for designating additional ports along the Great Lakes and St. Lawrence River for container imports and exports. Designating more container gateways “will help catalyze private investment at ports and is essential to diversifying our trade,” the government said in its budget. Canada’s customs agency currently only scans and clears containers at five ports: Vancouver, Prince Rupert, Montreal, Saint John and Halifax. But an October study by the country’s Chamber of Marine Commerce said that offering customs clearance at six other ports located along the Great Lakes and St. Lawrence would generate C$130 million for businesses throughout Ontario and Quebec. Among the recommended sites is Quebec City, which is 155 miles northeast of Montreal. While the Port of Quebec primarily handles bulk goods currently, terminal operator and stevedore QSL last year proposed a 500,000-TEU terminal for Quebec’s port. Hamilton, located on the far western end of Lake Ontario, was also cited as a new container entry point. Last year, the Hamilton-Oshawa Port Authority and Canadian National started offering intermodal service between the port and Montreal. Contact Michael Angell at michael.angell@spglobal.com .

Canada looks for new container gateways for decoupling from US

<div class="phx-topic abstract-wrapper">Freight forwarder sources believe ONE will attempt to tap US exports into the Middle East through Jebel Ali calls amid the ongoing slump in westbound volumes out of India.</div>

Freight forwarder sources believe ONE will attempt to tap US exports into the Middle East through Jebel Ali calls amid the ongoing slump in westbound volumes out of India.

<div class="phx-topic">Ocean Network Express (ONE) is adding Jebel Ali in the United Arab Emirates to its India-US East Coast “WIN” service, potentially targeting regional volumes and transshipment freight. The additional stop will be included in the eastbound direction, or inbound to India, according to industry sources. The first sailing lined up under the extended rotation is known to be the San Francisco Bridge, departing New York on Dec. 8 and arriving in Jebel Ali on Jan. 16. With the change, the WIN will now rotate Hazira, Nhava Sheva, Mundra, Colombo, New York, Norfolk, Savannah, Jacksonville, Charleston, Jebel Ali and Hazira. The string originally included a call at Port Qasim in Pakistan, <a href="https://nam11.safelinks.protection.outlook.com/?url=https%3A%2F%2Fwww.joc.com%2Farticle%2Findias-ban-on-pakistan-cargo-raises-disruption-risk-5997588&amp;data=05%7C02%7Ckevin.saville2%40spglobal.com%7Ca67d24d149e044748df008de2b41abd4%7C8f3e36ea80394b4081a77dc0599e8645%7C1%7C0%7C638995758223636480%7CUnknown%7CTWFpbGZsb3d8eyJFbXB0eU1hcGkiOnRydWUsIlYiOiIwLjAuMDAwMCIsIlAiOiJXaW4zMiIsIkFOIjoiTWFpbCIsIldUIjoyfQ%3D%3D%7C0%7C%7C%7C&amp;sdata=K%2F69cAsYi%2B4JBnpLNmmFP%2Brx7DRvJNLmE7XjfYcYIP4%3D&amp;reserved=0">but bilateral trade curbs implemented by India in May</a> forced ONE and other mainliners to terminate calls there. Local freight forwarder sources believe ONE will attempt to tap US exports into the Middle East through Jebel Ali calls amid the ongoing slump in westbound volumes out of India. Schedule reliability has been a serious drag on the WIN service since it began operations in May 2024, coinciding with the Red Sea shipping crisis. ONE has generally been able to operate only two sailings a month out of West India instead of a weekly rotation — meaning a 50% cut in its originally declared capacity — due to tonnage problems linked to the longer transits around the Cape of Good Hope in southern Africa, an analysis of recent schedule data reveals. The ONE Maxim in Week 45 and the Cap Andreas in Week 47 have held November voyages out of Nhava Sheva. The market has become even more problematic for major carriers serving the India-USEC trade lane due to the impact of elevated US tariffs on Indian exports. Contact Bency Mathew at <a href="mailto:bencyvmathew@gmail.com">bencyvmathew@gmail.com</a>.</div>

Ocean Network Express (ONE) is adding Jebel Ali in the United Arab Emirates to its India-US East Coast “WIN” service, potentially targeting regional volumes and transshipment freight. The additional stop will be included in the eastbound direction, or inbound to India, according to industry sources. The first sailing lined up under the extended rotation is known to be the San Francisco Bridge, departing New York on Dec. 8 and arriving in Jebel Ali on Jan. 16. With the change, the WIN will now rotate Hazira, Nhava Sheva, Mundra, Colombo, New York, Norfolk, Savannah, Jacksonville, Charleston, Jebel Ali and Hazira. The string originally included a call at Port Qasim in Pakistan, but bilateral trade curbs implemented by India in May forced ONE and other mainliners to terminate calls there. Local freight forwarder sources believe ONE will attempt to tap US exports into the Middle East through Jebel Ali calls amid the ongoing slump in westbound volumes out of India. Schedule reliability has been a serious drag on the WIN service since it began operations in May 2024, coinciding with the Red Sea shipping crisis. ONE has generally been able to operate only two sailings a month out of West India instead of a weekly rotation — meaning a 50% cut in its originally declared capacity — due to tonnage problems linked to the longer transits around the Cape of Good Hope in southern Africa, an analysis of recent schedule data reveals. The ONE Maxim in Week 45 and the Cap Andreas in Week 47 have held November voyages out of Nhava Sheva. The market has become even more problematic for major carriers serving the India-USEC trade lane due to the impact of elevated US tariffs on Indian exports. Contact Bency Mathew at bencyvmathew@gmail.com .

ONE expands India-USEC ‘WIN’ loop with Jebel Ali call amid demand woes

<div class="phx-topic abstract-wrapper">All ship-to-shore cranes at Yusen Terminals were inspected and cargo handling resumed on the first shift Monday, according to Yusen’s CEO.</div>

All ship-to-shore cranes at Yusen Terminals were inspected and cargo handling resumed on the first shift Monday, according to Yusen’s CEO.

<div class="phx-topic">Cargo handling operations at the Port of Los Angeles returned to normal over the weekend following an electrical fire Friday evening aboard the container ship ONE Henry Hudson, which was docked at Yusen Terminals. The blaze caused four of the port’s six container terminals to temporarily shut. “All terminals are operating as usual this [morning],” a spokesperson for the port told the Journal of Commerce Monday. “Four terminals were closed temporarily Friday night and reopened on Saturday morning.” According to the Los Angeles Fire Department, the fire started on a lower deck of the vessel about 6:30 p.m. Friday and spread to multiple decks. Authorities identified hazardous materials in some containers, which intensified the fire. None of the 23 crew members or any firefighting personnel were injured, the fire department said. Yusen had no gates planned over the weekend. All ship-to-shore cranes at the terminal were inspected, and cargo handling resumed on the first shift Monday, said Alan McCorkle, Yusen’s president and CEO, who added that the fire and terminal outage did not create a backlog of containers. The ONE Henry Hudson was towed about one mile into open water over the weekend, where firefighting and salvage operations continued, according to authorities. Contact Bill Mongelluzzo at <a href="mailto:bill.mongelluzzo@spglobal.com">bill.mongelluzzo@spglobal.com</a>.</div>

Cargo handling operations at the Port of Los Angeles returned to normal over the weekend following an electrical fire Friday evening aboard the container ship ONE Henry Hudson, which was docked at Yusen Terminals. The blaze caused four of the port’s six container terminals to temporarily shut. “All terminals are operating as usual this [morning],” a spokesperson for the port told the Journal of Commerce Monday. “Four terminals were closed temporarily Friday night and reopened on Saturday morning.” According to the Los Angeles Fire Department, the fire started on a lower deck of the vessel about 6:30 p.m. Friday and spread to multiple decks. Authorities identified hazardous materials in some containers, which intensified the fire. None of the 23 crew members or any firefighting personnel were injured, the fire department said. Yusen had no gates planned over the weekend. All ship-to-shore cranes at the terminal were inspected, and cargo handling resumed on the first shift Monday, said Alan McCorkle, Yusen’s president and CEO, who added that the fire and terminal outage did not create a backlog of containers. The ONE Henry Hudson was towed about one mile into open water over the weekend, where firefighting and salvage operations continued, according to authorities. Contact Bill Mongelluzzo at bill.mongelluzzo@spglobal.com .

Normal operations resume at Port of Los Angeles following vessel electrical fire

<div class="phx-topic abstract-wrapper">The job protection deal with the International Brotherhood of Boilermakers is significant because previous rail mergers have led to overlapping operations and the consolidation of terminals, resulting in workforce reductions.</div>

The job protection deal with the International Brotherhood of Boilermakers is significant because previous rail mergers have led to overlapping operations and the consolidation of terminals, resulting in workforce reductions.

<div class="phx-topic">Union Pacific (UP) has won the support of a fourth rail labor union for its proposed acquisition of Norfolk Southern (NS), announcing a job-protection deal Monday with the International Brotherhood of Boilermakers (IBB). Under terms of the agreement, no IBB member employed by either UP or NS after federal regulators, as expected, approve the merger would lose their job because of the transaction. The protections do not apply to employees dismissed for cause, including safety violations. The job protections are significant because previous rail mergers have led to overlapping operations and the consolidation of terminals, resulting in workforce reductions. UP’s agreement with IBB follows similar deals with the <a href="https://www.joc.com/article/major-rail-union-backs-up-ns-merger-after-job-protection-deal-6084510">International Association of Sheet Metal, Air, Rail and Transportation Workers — Transportation Division (SMART-TD)</a>, the National Conference of Firemen and Oilers (NCFO), and the Brotherhood of Railway Carmen. “The Boilermakers union looks forward to continued collaboration with Union Pacific and Norfolk Southern as this merger advances,” IBB President Timothy Simmons said in a statement. “We believe the commitments already in place — and the shared understanding reflected in our agreement — lay the groundwork for a stronger, more resilient and more opportunity-rich future for every union Boilermaker serving the railroad industry." <h3>Waiting for position of BLET union </h3>IBB members typically handle heavy industrial and mechanical work, including metal fabrication, welding, and structural repair on locomotives, railcars, trackage, and other rail infrastructure. They also certify and repair high-pressure systems critical to train braking and propulsion. While the four unions do not represent all frontline railroad employees, they cover a significant portion of the shopcraft and frontline workers. The key union yet to take a position on the proposed $85 billion merger is the Brotherhood of Locomotive Engineers and Trainmen (BLET), the second-largest rail labor organization by membership. The labor developments come as various stakeholders continue to weigh in before the US Surface Transportation Board (STB), the federal regulator responsible for ruling on the merger. Last Thursday, the attorneys general of Georgia, Nebraska and West Virginia sent a letter supporting the UP-NS transaction. A few days earlier, a separate letter from nine other states opposed the deal. Union Pacific plans to file its approximately 4,000-page merger application with the STB within the next two weeks. Contact Ari Ashe at <a href="mailto:ari.ashe@spglobal.com">ari.ashe@spglobal.com</a>.</div>

Union Pacific (UP) has won the support of a fourth rail labor union for its proposed acquisition of Norfolk Southern (NS), announcing a job-protection deal Monday with the International Brotherhood of Boilermakers (IBB). Under terms of the agreement, no IBB member employed by either UP or NS after federal regulators, as expected, approve the merger would lose their job because of the transaction. The protections do not apply to employees dismissed for cause, including safety violations. The job protections are significant because previous rail mergers have led to overlapping operations and the consolidation of terminals, resulting in workforce reductions. UP’s agreement with IBB follows similar deals with the International Association of Sheet Metal, Air, Rail and Transportation Workers — Transportation Division (SMART-TD) , the National Conference of Firemen and Oilers (NCFO), and the Brotherhood of Railway Carmen. “The Boilermakers union looks forward to continued collaboration with Union Pacific and Norfolk Southern as this merger advances,” IBB President Timothy Simmons said in a statement. “We believe the commitments already in place — and the shared understanding reflected in our agreement — lay the groundwork for a stronger, more resilient and more opportunity-rich future for every union Boilermaker serving the railroad industry." Waiting for position of BLET union IBB members typically handle heavy industrial and mechanical work, including metal fabrication, welding, and structural repair on locomotives, railcars, trackage, and other rail infrastructure. They also certify and repair high-pressure systems critical to train braking and propulsion. While the four unions do not represent all frontline railroad employees, they cover a significant portion of the shopcraft and frontline workers. The key union yet to take a position on the proposed $85 billion merger is the Brotherhood of Locomotive Engineers and Trainmen (BLET), the second-largest rail labor organization by membership. The labor developments come as various stakeholders continue to weigh in before the US Surface Transportation Board (STB), the federal regulator responsible for ruling on the merger. Last Thursday, the attorneys general of Georgia, Nebraska and West Virginia sent a letter supporting the UP-NS transaction. A few days earlier, a separate letter from nine other states opposed the deal. Union Pacific plans to file its approximately 4,000-page merger application with the STB within the next two weeks. Contact Ari Ashe at ari.ashe@spglobal.com .

UP reaches agreement with IBB union to support NS merger

<div class="phx-topic abstract-wrapper">UP's changes will make things easier in Southern California but might make interchanges in Chicago more difficult for shippers. </div>

UP's changes will make things easier in Southern California but might make interchanges in Chicago more difficult for shippers.

<div class="phx-topic">Union Pacific Railroad has made changes to how it will route domestic containers from Los Angeles to Cincinnati, moving the originating terminal closer to warehousing clusters in Southern California and offering additional trains. Effective Nov. 20, domestic containers destined for Cincinnati must originate at UP’s City of Industry or Inland Empire terminals rather than its Los Angeles Transportation Center in eastern Los Angeles. The change gives shippers two origin options closer to major warehousing and cross-dock clusters in San Bernardino County, reducing drayage distances and transportation costs for transloaded freight. “These changes are designed to streamline your shipping experience and expand your options for reaching Cincinnati via the Norfolk Southern,” UP said in a <a href="https://www.up.com/announcements/intermodal/PR2025-86">service advisory</a> on Tuesday. The move benefits beneficial cargo owners operating in the Inland Empire, who also use cross-docks in the area to transload cargo from international to domestic containers. But while the front end becomes more convenient, the middle mile may become more complicated in Chicago. <h3>Added transits and costs in Chicago </h3>Under the new plan, containers moving from UP to Norfolk Southern for final delivery into downtown Cincinnati will need to be “rubber-tired” between terminals in the Chicago area. That means trucking the boxes about 30 to 40 miles from UP’s intermodal facility to NS’s Calumet terminal, known as a “cross-town” dray, adding both time and cost. Previously, this traffic was “steel-wheeled” — i.e., transferred by rail between UP and NS terminals using switching service or short-line railroads. The change comes as Norfolk Southern reorganizes its Cincinnati-area intermodal operations, separating international and domestic containers <a href="https://www.joc.com/article/norfolk-southern-tweaks-international-services-from-west-east-coasts-6094751">into two separate terminals</a>. NS believes the split improves terminal flow through Cincinnati, but dividing the flows makes it impractical for UP to send blocks of international and domestic containers to NS via rail in Chicago. “We prefer steel-wheel but strive to provide customers with the most optimal transit possible,” a UP spokesperson told the Journal of Commerce. Although UP argued a cross-town dray will make it easier for NS to build trains to Cincinnati, it also conflicts with UP’s argument on why a merged railroad is beneficial. “When an intermodal train arrives in Chicago, we put it on a truck to move it to another railroad, and we have close to 1,000 trucks a day that go from railroad to railroad this way,” UP CEO Jim Vena said at a Nov. 12 company-sponsored media event. “Is it good for America that we put more trucks on the road in Chicago for no reason at all? No.” The costs stack up. An average cross-town dray in Chicago can cost a shipper more than $350 per load, including fuel, depending on the distance between terminals. Contact Ari Ashe at <a href="mailto:ari.ashe@spglobal.com">ari.ashe@spglobal.com</a></div>

Union Pacific Railroad has made changes to how it will route domestic containers from Los Angeles to Cincinnati, moving the originating terminal closer to warehousing clusters in Southern California and offering additional trains. Effective Nov. 20, domestic containers destined for Cincinnati must originate at UP’s City of Industry or Inland Empire terminals rather than its Los Angeles Transportation Center in eastern Los Angeles. The change gives shippers two origin options closer to major warehousing and cross-dock clusters in San Bernardino County, reducing drayage distances and transportation costs for transloaded freight. “These changes are designed to streamline your shipping experience and expand your options for reaching Cincinnati via the Norfolk Southern,” UP said in a service advisory on Tuesday. The move benefits beneficial cargo owners operating in the Inland Empire, who also use cross-docks in the area to transload cargo from international to domestic containers. But while the front end becomes more convenient, the middle mile may become more complicated in Chicago. Added transits and costs in Chicago Under the new plan, containers moving from UP to Norfolk Southern for final delivery into downtown Cincinnati will need to be “rubber-tired” between terminals in the Chicago area. That means trucking the boxes about 30 to 40 miles from UP’s intermodal facility to NS’s Calumet terminal, known as a “cross-town” dray, adding both time and cost. Previously, this traffic was “steel-wheeled” — i.e., transferred by rail between UP and NS terminals using switching service or short-line railroads. The change comes as Norfolk Southern reorganizes its Cincinnati-area intermodal operations, separating international and domestic containers into two separate terminals . NS believes the split improves terminal flow through Cincinnati, but dividing the flows makes it impractical for UP to send blocks of international and domestic containers to NS via rail in Chicago. “We prefer steel-wheel but strive to provide customers with the most optimal transit possible,” a UP spokesperson told the Journal of Commerce. Although UP argued a cross-town dray will make it easier for NS to build trains to Cincinnati, it also conflicts with UP’s argument on why a merged railroad is beneficial. “When an intermodal train arrives in Chicago, we put it on a truck to move it to another railroad, and we have close to 1,000 trucks a day that go from railroad to railroad this way,” UP CEO Jim Vena said at a Nov. 12 company-sponsored media event. “Is it good for America that we put more trucks on the road in Chicago for no reason at all? No.” The costs stack up. An average cross-town dray in Chicago can cost a shipper more than $350 per load, including fuel, depending on the distance between terminals. Contact Ari Ashe at ari.ashe@spglobal.com

UP enhances intermodal between LA and Cincinnati

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The world of LTL is slow to embrace change. Business anachronisms permeate current supply chain processes. These vestiges of the way things used to work define the LTL freight transportation procurement process of many modern shippers.David Knuth, logistics specialist at IEWC, a global supplier of cable and wire based in Wisconsin, is happy to have modernized the RFP process, automating the entire LTL bidding procedure with Bid$ense, SMC³’s automated truckload and LTL freight transportation sourcing solution. But when prompted, he can still recall what once was.In his previous job, a large part of his duties were consumed by creating an intermodal bid package for carriers. In a spreadsheet, Knuth detailed the company’s volumes lane by lane, taking care to delete any errant keystrokes or misleading data. He would then email out the information to each carrier, taking time to respond to detailed technical questions about the spreadsheet data. Finally, he had to compile all the results, create an algorithm that would compare the carriers on each lane, and award the business.“It was a huge undertaking. It took about four months to do,” Knuth said of the old process. “It was almost a full-time job for that part of the year, every year.”In his new job at IEWC, he sat down with Bid$ense on day one and was amazed at the capabilities. Knuth had never before used a bid tool. SMC³’s latest versions of Bid$ense automate the process even further, taking truckload and LTL RFPs entirely online. The tool draws on RFP best-practices protocols to streamline the bidding communication process, enabling bidding carriers to respond accurately and promptly to shipper requests. The solution also does all the distribution work automatically, electronically submitting shipper bid data to carriers based on their actual service capabilities and performance records. Carriers are alerted with timely prompts for RFP deliverables, so shippers aren’t waiting by the phone for responses.Another benefit of automating the process is the data-cleansing assistance. When Knuth sent spreadsheets to carriers, data errors might cloud the bidding process; he might have to resend data or simply accept a price that did not truly reflect the costs of doing business. Data cleansing is incredibly beneficial, he said.The spreadsheet technique also made bidding analysis an onerous task. Since Bid$ense automates and streamlines the entire RFP process, intensive examination is now simple. SMC³ knows that each bid has more than one best outcome. With uniform responses from each carrier, shippers can quickly rank results and create an unlimited quantity of what-if scenarios to make the optimal procurement decision.Jesse Burnett of Central Garden &amp; Pet experiences many of the same benefits. Founded in 1980, Central Garden &amp; Pet has spent the last three decades growing from a small garden supply company to a provider of a range of products from dog chews and bird seed to soil supplements and natural insecticides. For much of its life, the company shipped these disparate goods via LTL and truckload carriers to retailers throughout the country, relying on each business unit to negotiate directly with their freight transportation providers. This arrangement worked fairly well for a small company, but as Central Garden &amp; Pet expanded, leadership decided to consolidate decision making.Burnett helped centralize the transportation decision making in 2015 with SMC³’s Bid$ense. Before Bid$ense, every business unit operated independently as far as negotiating with carriers.“There were a lot of different things just floating around,” he said. “We didn’t have master agreements in place; no national pricing at all. The pricing from carriers was just all over the place, depending on where you were.”The transformations he saw with Bid$ense were immediate. Burnett has been using the tool about every other year since its implementation at the company. Central Garden and Pet’s $19.6 million 2019 LTL bid saved the company just more than 9 percent when compared to its historical average. For Burnett, though, bid automation extends far beyond savings.“We knew that we weren’t getting the best pricing offer from our carriers just because nothing was centralized,” he continued. “We knew that if we combined everything from all these business units and paired it with one corporate offering, then it would drive some cost benefit with it.”When the company initially decided to centralize bid procurement, executives researched a number of different methodologies and technologies. In the end, though, Burnett found that Bid$ense was both widespread and well known, and that his carrier partners already knew how to use the application. Burnett also highlighted the data-cleansing process as a major benefit, saying the rigorous process ensures that carriers always return the best price.“It definitely has helped drive savings,” he said. “Any time you go out there and you drive that competitiveness with the carriers and they know they’re in a bid environment, it seems to sharpen their pencils.”Transportation procurement is an integral part of the modern supply chain. With Bid$ense, shippers can develop a strategic implementation plan that saves them time and money, but also helps them create strong relationships with their carrier partners. These carriers appreciate the solution’s data-cleansing process; when carriers receive a complete shipment history and future volume forecast, they don’t have to guess on pricing. Carriers that receive more data from shippers get a complete picture of that shipper’s freight, allowing them to accurately plan instead of simply preparing for the worst-case scenario. Clean data presented through an automated system can lead to both bigger shipment savings and a lasting partnership between carrier and customer.Whether customers are looking to streamline over-the-road transportation bidding by automating the RFP process or create an entirely new, centralized sourcing process, Bid$ense has the analytical horsepower to get the job done.SMC³ 2020 Customer Case Study

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Shippers save money, time with automated transportation bidding tools

If there’s one immutable truth in the world of logistics, it’s this: LTL is an inherently complex form of transportation. Tariffs, rates, DIM weights, transit times — it’s enough to confuse even seasoned logistics professionals. The solution to this knowledge gap has historically been on-the-job training or university supply chain education, but for a variety of reasons there is now a pressing need for third-party, remote LTL training that prepares logistics workers for transportation success. Global Scope Can Overlook Local Intricacies In the past, professionals looking to move into a supply chain career learned about the basics of supply chain from universities. However, many of these college supply chain programs are now global in scope, focusing on worldwide supply chain management instead of the intricacies of specialized domestic transportation. And even these programs, which used to be widespread, are becoming less common. LTL is not an industry of broad-brush strokes; supply chain professionals really need a pointillistic understanding of the logistics of LTL in order to excel in the industry. Accelerating Need for Dedicated LTL Education This lack of specified training put the onus on employers to prepare new hires with the LTL knowledge needed to do their jobs. Dedicated LTL study is a necessity, not a luxury. At the same time, changes in LTL and the broader supply chain world are accelerating. The reliance on e-commerce has ballooned since the start of the pandemic, and last-mile LTL shipments and related e-commerce strains on the supply chain won’t diminish once social distancing abates. That genie isn’t going back into the bottle. So supply chain employers need logistics workers that are fully versed in all aspects of the industry, ready to solve unique shipping and delivery problems based on their extensive supply chain knowledge But why care about LTL? It’s been reported that some shippers in today’s world are no longer concerned with what mode is used to ship their goods. A Multimodal Approach Ensures On-Time Delivery This mode agnosticism means supply chain stakeholders have to be well versed in all modes of transportation. As unforeseen weather events and other disruptions, such as protests, become more common, savvy logistics employees will need to be armed with familiarity of all modes, not just the most popular, to ensure that freight is delivered on time, without damage, and in the most financially expedient way possible. Offerings like SMC³’s LTL online education courses cover a wide range of topics from LTL basics and operations to more advanced concepts like pricing analytics and transportation law. The company also has plans to continually refresh content, adding new expert presenters and taking the feedback of students to make the courses even better as time goes on. Learn more about&nbsp;<a href="https://logisticstrainingcenter.com/smc3-courses/" rel="noreferrer" class="joc_admin__link">SMC³’s LTL Online Education program</a>&nbsp;and view the 2021 hybrid schedule, featuring live industry experts,&nbsp;<a href="https://www.smc3.com/onlinelearning2021/" rel="noreferrer" class="joc_admin__link">here.</a>

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Filling the Supply Chain Education Gap with LTL Education Courses

In 1995, we began operations with a clear vision: to grow alongside Mexico and connect the world through our terminals. Our priority has always been to deliver excellence in service, foster economic development, and strengthen our communities. We firmly believe that progress is not only measured in tons of cargo moved, but in the opportunities we create. _______________________________________________________________ This year marks a significant milestone: SSA Marine Mexico celebrates 30 years of presence in the country, having established itself from day one as the leading port operator nationwide. Over the past three decades, we have built a legacy of reliability, innovation, and commitment to Mexico’s growth. Our journey has been defined by continuous evolution and a steadfast dedication to our mission. SSA Marine México currently operates in six of the country’s most important ports: Cozumel, Lazaro Cardenas, Manzanillo, Progreso, Tuxpan, and Veracruz. Additionally, we have signed a concession to operate a new multipurpose terminal in Guaymas, Sonora, expanding our footprint to the north of the country. We serve a wide range of segments including containers, general cargo, automobiles, cruise ships, hydrocarbons, and asphalt. As part of this ongoing commitment, SSA Marine Mexico continues to strengthen its infrastructure and capabilities. International trade remains a key driver of global economic growth, and we are proud to support this momentum. Through our continuous improvement strategy, we invest in cutting-edge technology and equipment to deliver more efficient and competitive services, contributing to the success of Mexican businesses. •	Manzanillo, Colima- Specialized Container Terminal I: On October 13, we celebrated the arrival of two new STS (Ship To Shore) Super Post Panamax dockside cranes. This $21.2 million USD investment significantly boosts our operational capacity, streamlining cargo reception and delivery processes. In line with our modernization efforts, we will also retire four of our oldest cranes, paving the way for a more sustainable and technologically advanced fleet that meets the evolving demands of international trade. With these upgrades, SSA Marine México now operates a total of 16 cranes along our 1,350-meter dock, reaffirming our position as a national benchmark in port <span class="joc_admin__inline-image joc_admin__inline-image-aspect-ratio-4_3 joc_admin__inline-image-position-left joc_admin__inline-image-size-large" data-figure-size="large" data-figure-position="left" data-figure-aspect-ratio="4:3"><img src="/content-assets/1760982635607_Manzanillo.jpg" alt="Image provided by SSA Marine" class="joc_admin__inline-image-inherit"> •	As for the Multipurpose Terminal and Specialized Facility, also in Manzanillo, Colima, improvement and conditioning works are planned, along with the acquisition of four E-RTG (Electric Rubber-Tyred Gantry) cranes to enhance operational efficiency and sustainability. •	At our Automobile and General Cargo Terminal in the port of Veracruz, we continue to lead with specialized value-added services that support our clients’ growth. Recent investments include a new washing cabin and a general cargo warehouse, increasing indoor storage capacity by 67%. •	Lazaro Cardenas, Michoacan – Specialized Automobile Terminal: we are working on the development of an additional 4-hectare storage space within our bonded area and a 10-hectare Vehicle Distribution Center (VDC). These enhancements, along with ongoing personnel and system improvements, will reinforce our leadership in automotive handling across the Mexican Pacific coast.<span class="joc_admin__inline-image joc_admin__inline-image-aspect-ratio-4_3 joc_admin__inline-image-position-left joc_admin__inline-image-size-large" data-figure-size="large" data-figure-position="left" data-figure-aspect-ratio="4:3"><img src="/content-assets/1760982742240_Lazaro.jpg" alt="Image provided by SSA Marine" class="joc_admin__inline-image-inherit"> Through these strategic investments, SSA Marine Mexico reaffirms its commitment to the sustained growth of Mexico’s foreign trade. By expanding capacity, modernizing infrastructure, and diversifying services, we continue to strengthen the country’s competitiveness in global logistics. Today, we celebrate three decades of dedication, innovation, and leadership, with deep gratitude to our employees, clients, and partners for being part of this incredible journey. LINK: https://www.ssamarine.mx/<span class="joc_admin__inline-image joc_admin__inline-image-aspect-ratio-16_9 joc_admin__inline-image-position-left joc_admin__inline-image-size-small" data-figure-size="small" data-figure-position="left" data-figure-aspect-ratio="16:9"><img src="/content-assets/1760982787360_SSA%20Marine%20Mexico%20logo%20150pxW.png" alt="" class="joc_admin__inline-image-inherit">

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SSA Marine Mexico: 30 years growing together.

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