Latest Industry Topics
• Air cargo forecast in 2012 (Dec 2011)
According to the IATA spokesman, profitability remains weak but unchanged at $6.9 billion for a net margin of 1.2 percent this year. Looking ahead to 2012, IATA downgraded its central forecast for airline profits from $4.9 billion to $3.5 billion for a net margin of 0.6 percent.
In a worst case scenario, should the Eurozone crisis evolve into a full-blown banking crises and European recession, IATA estimates that the global aviation industry could suffer losses exceeding $8 billion in 2012.
The global forecast for 2011 is unchanged at $6.9 billion. But regional differences have widened, reflecting the very different economic environments facing airlines in different parts of the world. And the overall margin of 1.2 percent tells you just how difficult the battle for profitability in this business is.
• USPS announces proposed rate hikes for Mailing services products (Oct 2011)
The United States Postal Service (USPS) announced that it has raised prices for various services and products, effective January 22, 2012.
USPS officials said that while actual percentage price increases for various products and services varies, the overall average price increase across all mailing services is capped by law at 2.1 percent, the rate of inflation calculated based on the Consumer Price Index.
• Mexico to cut duties on US after trucking deal (July 2011)
Mexico will cut in half retaliatory duties on more than $2 billion of U.S. farm and industrial goods after signing a deal with Washington to allow Mexican truckers onto American roads.
The action signals the end of a 16-year-old cross-border dispute in coming months, unless the U.S. Congress intervenes again to keep Mexican trucks off U.S. roads.
Mexico is the No. 2 export market for U.S. pork, behind Japan, and in the first four months of this year the U.S. Agriculture Department said it bought 335.7 million pounds (152 million kg), down 2.5 percent from the 2010 period.
The U.S. Chamber of Commerce said the deal would make the U.S.-Mexico border more efficient and increase the competitiveness of the North American economy.
• Screening of International Inbound Cargo (Jan 2011)
Due to the complex challenges of screening international inbound cargo, Assistant Administrator John Sammon testified before Congress in June 2010 that cargo moving into the United States would be screened at 100 percent no later than 2013.
Recent global events have proven that there is a compelling need to attain the 100% goal sooner than originally suggested. Today, TSA proposed updated air carrier standard security programs to passenger airlines that would require the air cargo industry to screen 100 percent of the cargo that is uplifted on passenger aircraft bound for the United States by December 31, 2011. Carriers will have 30-45 days to comment on the new 100 percent screening requirement, and TSA will review and evaluate the industry comments prior to finalizing and making the requirement effective.
• April retail sales continue upward trend (May 2010)
Keeping in line with retail sales growth from February to March, the United States Department of Commerce and the National Retail Federation recently reported retail sales were up again from March to April.
March retail sales, which include non-general merchandise like automobiles, gasoline, and restaurants, at $366.4 billion were up 0.4 percent from March, which was up 1.6 percent from February, and were up 8.8 year-over-year, according to the Department of Commerce. And total retail sales were up 9.6 percent year-over-year.
The NRF reported that April retail sales (which exclude automobiles, gas stations, and restaurants) increased 0.5 percent seasonally adjusted over March and 4.6 percent unadjusted year-over-year.
• China may become top importer of DDGs from US (May 2010)
China′s insatiable demand for protein helped make the country the No. 2 export destination of U.S. distillers′ grains in the first months of 2010 and it could overtake Mexico as the top export destination by the end of the year.
China will likely continue buying U.S. distillers′ dried grains with solubles (DDGs) and corn after a poor harvest helped to push up prices.
• China overtook Germany to become the world′s largest exporter (Jan 2010)
China′s exports fell by around 17% in 2009 as a whole, but other countries′ slumped by even more. As a result China overtook Germany to become the largest exporter in the world and its share of world exports jumped to almost 10%, up from 3% in 1999.• ISM index indicates economic recovery (Jan 2010)
The Institute for Supply Management (ISM)′s non-manufacturing index slipped back into the red in November, but the overall economic picture still points to an upward trend, according to the institute.
Anthony Nieves, chair of the ISM′s Non-Manufacturing Business Survey Committee, said the non-manufacturing index, or NMI, which the institute uses to measure the non-manufacturing sector, fell 1.9 points to 48.7 percent. Technically, any number below 50 is classified as "contraction," while a number above 50 represents growth.
• Railroad shipping volume down in Oct (November 2009)
The Association of American Railroads (AAR) reported that total volume for the week ending October 24 was down 14.8 percent compared to the corresponding week last year and 17.3 percent from the same week in 2007.
Through the first 42 weeks of 2009, the AAR said that U.S. railroads reported cumulative volume of 11,207,180 carloads, an 18 percent annual decline and an 18.3 percent decline from 2007. Trailers or containers-at 7,969,780-were down 16.4 percent from 2008 and 18.3 percent from 2007. And total volume of an estimated 1.2 trillion ton-miles was down 17.1 percent from 2008 and 15 percent from 2007. • $20.9 Million to Improve Hazardous Materials Planning and Training (October 2009)
The U.S. Department of Transportation today announced that it is awarding $20.9 million to states, territories and Native American tribes to improve the nation′s response to transportation incidents involving hazardous materials. The grants will help train first responders to react to incidents involving hazardous materials and to meet the safety challenges posed by new chemicals and alternative energy products such as ethanol.
According to the IATA spokesman, profitability remains weak but unchanged at $6.9 billion for a net margin of 1.2 percent this year. Looking ahead to 2012, IATA downgraded its central forecast for airline profits from $4.9 billion to $3.5 billion for a net margin of 0.6 percent.
In a worst case scenario, should the Eurozone crisis evolve into a full-blown banking crises and European recession, IATA estimates that the global aviation industry could suffer losses exceeding $8 billion in 2012.
The global forecast for 2011 is unchanged at $6.9 billion. But regional differences have widened, reflecting the very different economic environments facing airlines in different parts of the world. And the overall margin of 1.2 percent tells you just how difficult the battle for profitability in this business is.
• USPS announces proposed rate hikes for Mailing services products (Oct 2011)
The United States Postal Service (USPS) announced that it has raised prices for various services and products, effective January 22, 2012.
USPS officials said that while actual percentage price increases for various products and services varies, the overall average price increase across all mailing services is capped by law at 2.1 percent, the rate of inflation calculated based on the Consumer Price Index.
• Mexico to cut duties on US after trucking deal (July 2011)
Mexico will cut in half retaliatory duties on more than $2 billion of U.S. farm and industrial goods after signing a deal with Washington to allow Mexican truckers onto American roads.
The action signals the end of a 16-year-old cross-border dispute in coming months, unless the U.S. Congress intervenes again to keep Mexican trucks off U.S. roads.
Mexico is the No. 2 export market for U.S. pork, behind Japan, and in the first four months of this year the U.S. Agriculture Department said it bought 335.7 million pounds (152 million kg), down 2.5 percent from the 2010 period.
The U.S. Chamber of Commerce said the deal would make the U.S.-Mexico border more efficient and increase the competitiveness of the North American economy.
• Screening of International Inbound Cargo (Jan 2011)
Due to the complex challenges of screening international inbound cargo, Assistant Administrator John Sammon testified before Congress in June 2010 that cargo moving into the United States would be screened at 100 percent no later than 2013.
Recent global events have proven that there is a compelling need to attain the 100% goal sooner than originally suggested. Today, TSA proposed updated air carrier standard security programs to passenger airlines that would require the air cargo industry to screen 100 percent of the cargo that is uplifted on passenger aircraft bound for the United States by December 31, 2011. Carriers will have 30-45 days to comment on the new 100 percent screening requirement, and TSA will review and evaluate the industry comments prior to finalizing and making the requirement effective.
• April retail sales continue upward trend (May 2010)
Keeping in line with retail sales growth from February to March, the United States Department of Commerce and the National Retail Federation recently reported retail sales were up again from March to April.
March retail sales, which include non-general merchandise like automobiles, gasoline, and restaurants, at $366.4 billion were up 0.4 percent from March, which was up 1.6 percent from February, and were up 8.8 year-over-year, according to the Department of Commerce. And total retail sales were up 9.6 percent year-over-year.
The NRF reported that April retail sales (which exclude automobiles, gas stations, and restaurants) increased 0.5 percent seasonally adjusted over March and 4.6 percent unadjusted year-over-year.
• China may become top importer of DDGs from US (May 2010)
China′s insatiable demand for protein helped make the country the No. 2 export destination of U.S. distillers′ grains in the first months of 2010 and it could overtake Mexico as the top export destination by the end of the year.
China will likely continue buying U.S. distillers′ dried grains with solubles (DDGs) and corn after a poor harvest helped to push up prices.
• China overtook Germany to become the world′s largest exporter (Jan 2010)
China′s exports fell by around 17% in 2009 as a whole, but other countries′ slumped by even more. As a result China overtook Germany to become the largest exporter in the world and its share of world exports jumped to almost 10%, up from 3% in 1999.• ISM index indicates economic recovery (Jan 2010)
The Institute for Supply Management (ISM)′s non-manufacturing index slipped back into the red in November, but the overall economic picture still points to an upward trend, according to the institute.
Anthony Nieves, chair of the ISM′s Non-Manufacturing Business Survey Committee, said the non-manufacturing index, or NMI, which the institute uses to measure the non-manufacturing sector, fell 1.9 points to 48.7 percent. Technically, any number below 50 is classified as "contraction," while a number above 50 represents growth.
• Railroad shipping volume down in Oct (November 2009)
The Association of American Railroads (AAR) reported that total volume for the week ending October 24 was down 14.8 percent compared to the corresponding week last year and 17.3 percent from the same week in 2007.
Through the first 42 weeks of 2009, the AAR said that U.S. railroads reported cumulative volume of 11,207,180 carloads, an 18 percent annual decline and an 18.3 percent decline from 2007. Trailers or containers-at 7,969,780-were down 16.4 percent from 2008 and 18.3 percent from 2007. And total volume of an estimated 1.2 trillion ton-miles was down 17.1 percent from 2008 and 15 percent from 2007. • $20.9 Million to Improve Hazardous Materials Planning and Training (October 2009)
The U.S. Department of Transportation today announced that it is awarding $20.9 million to states, territories and Native American tribes to improve the nation′s response to transportation incidents involving hazardous materials. The grants will help train first responders to react to incidents involving hazardous materials and to meet the safety challenges posed by new chemicals and alternative energy products such as ethanol.