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FReightWeek Magazine


Onyx Power blue hydrogen Onyx Power wants to make a significant contribution to emission reduction in the Netherlands.

In order to reach this goal Onyx Power plans to build a hydrogen production plant at its existing site in the port of Rotterdam to produce low carbon blue hydrogen.

With a capacity of 1,200 MW the plant could produce some 300 kiloton per annum blue hydrogen, to decarbonize industry and meet national decarbonization targets. The CO2 produced while making the blue hydrogen would be captured and stored in depleted offshore gas fields. By doing so, 2.5 million tons of CO2 could be saved annually.

In order to be able to develop this project, Onyx Power has announced to the responsible Environmental Protection Agency (DCMR) to carry out an environmental impact assessment in accordance with the Environmental Management Act. As part of this procedure, the company has published a Notitie Reikwijdte en Detailniveau (NRD), which describes the intended scope of the environmental impact assessment.

Logistics UK A6 upgrade Logistics UK (06 April) welcomes the opening of 25.5 kilometres of dual carriageway from Dungiven to Drumahoe following completion of Phase 2 of the much-needed upgrade to the A6.

Nichola Mallon, Head of Trade and Devolved Policy at Logistics UK, comments

“The A6 is a key economic and logistics corridor for Northern Ireland and the North West, and is a significantly popular route used by around 15,000 vehicles every day. Logistics UK has been campaigning for this infrastructure upgrade for many years to improve connectivity and safety on the route. For our members, the people transporting often time sensitive goods that we all need to factories, shops, schools, hospitals and more, it will mean safer, shorter and more reliable journey times.

“The safety of all road users is the highest priority; dualling will make overtaking easier and safer, and will prevent tailbacks and the frustration that has been an all too common sight along this single track highway. With the cost of running a 44 tonne lorry and trailer sitting at just over £1.27 per minute, less time spent in traffic will also help to reduce running costs and congestion for all road users. Today’s opening of this stretch of the A6 will make a real difference to operators working to provide the reliable service manufacturers, retailers and other movers of freight require. It will also provide a boost to economic and investment opportunities for the North West and Mid Ulster in particular, given the ability to bring goods to market efficiently is a key factor in attracting new business.”

Logistics UK is one of the UK’s leading business groups, representing logistics businesses which are vital to keeping the UK trading, and more than seven million people directly employed in the making, selling and moving of goods. With decarbonisation, Brexit, new technology and other disruptive forces driving change in the way goods move across borders and through the supply chain, logistics has never been more important to UK plc. Logistics UK supports, shapes and stands up for safe and efficient logistics, and is the only business group which represents the whole industry, with members from the road, rail, sea and air industries, as well as the buyers of freight services such as retailers and manufacturers whose businesses depend on the efficient movement of goods.

hump yard Antwerp port Moving more goods, faster and more economically by rail because it’s good for the economy and good for the environment.

That’s the essence of this story. The neutral operation of the automatic hump yard at the Antwerp-North marshalling yard in the port is an important factor in achieving that goal. Thanks to this rail infrastructure in Belgium's largest and busiest freight station, trains can be assembled more efficiently. In order to create a level playing field for everyone, the Port of Antwerp-Bruges, Railport Antwerp, Lineas and Infrabel are working together to make this important facility available to all rail operators.

Thanks to the automatic shuntingfacility at the Antwerp-North marshalling yard in the Port of Antwerp-Bruges (PoAB), freight trains can be assembled up to six times faster. The importance of this logistics node, where "puzzling out" freight trains is part of daily business, should therefore not be underestimated. Nevertheless, this facility has been underutilized for some time. For many railway undertakings, theinvestments are too high because they need shunting locomotives and skilled personnel. A joint plan by Port of Antwerp-Bruges, Railport Antwerp, the freight carrier Lineas and the infrastructure manager Infrabel is now set to change that. The centerpiece of this plan: neutral operation of the automatic shunting facility. It’s the first time in the history of Belgian railroads that something like this has happened. More than that, it’s even a European first!

Neutral operation of the rail facility began on April 1, 2023. This means that it’s available to all rail operators on equal terms. Lineas is committed to providing shuntingservices to all at market-based, transparent prices and conditions. This activity will be followed up by Infrabel in collaboration with PoAB. Furthermore, the pricing for shunting services is controlled by the rail regulator.

Neutral management does not only lower the treshold, it also encourages cooperation between different companies in order to collect their goods. This eliminates some unnecessary train movements – which is not only safer but also frees up more capacity in the very busy rail yards in the Antwerp port area. So this joint plan checks all the boxes, making freight rail transport in the PoAB safer, faster, more efficient, economical and environmentally friendly.

In order to further streamline everything, Infrabel and PoAB are working on a high-performance software program. Customers can easily and quickly monitor their requests using this computer system, which is linked to the shunting installation. Users can monitor the status of their freight train and/or wagons in real-time. For example, when it will be ready and where it is located. Each step of the shunting process is recorded in the system and can be accessed at any time. This gives all customers a clear picture. The infrastructure manager, in collaboration with the neutral operator Lineas, will be ultimately responsible for planning, allocating capacity, and finding solutions in the event of double bookings.

The neutral management of the shunting plant is an important part of the sustainable rail vision 2030. This joint vision of the future, developed by Infrabel, PoAB and Railport Antwerp aims to double the proportion of freight transported by rail in the port of Antwerp by 2030. This so-called modal shift seeks to make rail more attractive so that more and more companies choose it. After all, those who transport their goods by rail, opt for fewer trucks and less road congestion. That's a win-win situation for both the economy and the environment.

FedEx planned consolidation FedEx Corp. (NYSE: FDX) is announcing today at its DRIVE Investor Event that it will consolidate its operating companies into one organization, creating efficiencies that will enhance the company’s ability to meet the evolving needs of customers and ultimately build a stronger, more profitable enterprise.

This phased transition, with full implementation expected in June 2024, will ultimately bring FedEx Express, FedEx Ground, FedEx Services, and other FedEx operating companies into Federal Express Corporation, becoming a single company operating a unified, fully integrated air-ground network under the respected FedEx brand. FedEx Freight will continue to provide less-than-truckload freight transportation services as a stand-alone company under Federal Express Corporation. Raj Subramaniam will serve as President and CEO of the combined organization.

“Over the last 50 years, we built networks that have created a differentiated and unmatched portfolio of services,” said Raj Subramaniam, president and CEO, FedEx Corporation. “This organizational evolution reflects how we represent ourselves in the marketplace – focused on flexibility, efficiency, and intelligence. As one FedEx team, we are well positioned to execute on our mission to help customers compete and win with the world’s smartest logistics network.”

This new structure will help facilitate the company’s DRIVE transformation, including Network 2.0, the multi-year effort to improve the efficiency with which FedEx picks up, transports, and delivers packages in the U.S. and Canada. In addition, the unified organization will bring distinct focus on the air network and international volume, as well as a more holistic approach to operations on the ground utilizing both FedEx employees and contracted service providers.

“We are building a simplified experience for our customers, who are at the center of everything we do, so they can adapt to the market,” continued Subramaniam. “This combination will allow us to provide customers with even greater value, offering the most advanced data-driven insights to help them make smarter decisions for their business.”

To aid in this smooth transition, effective April 16, 2023, John A. Smith will become President and CEO of U.S. and Canada Ground Operations at FedEx Express and assume leadership of surface operations across the FedEx Express, FedEx Ground, and FedEx Freight businesses. Richard W. Smith will serve as President and CEO, Airline and International at FedEx Express, overseeing all other regions and FedEx Logistics. During the transition period leading up to June 2024, there will be no change in financial reporting segments.

Additional updates from the DRIVE Investor Event: The DRIVE transformation spans 14 domains across four major areas: Customer, Surface Network, Air Network & International, and General and Administrative (G&A). FedEx expects DRIVE to generate $4.0 billion of permanent cost reductions in fiscal 2025.

Each area is expected to generate savings in fiscal 2025 as follows: $1.2 billion in Surface Network; $1.3 billion in Air Network & International; $1.5 billion in General & Administrative.

DRIVE is also enabling the implementation of Network 2.0, which is expected to generate an incremental $2 billion of savings in fiscal 2027.

FedEx continues to project costs of up to $2 billion by the end of fiscal 2025 to implement its business optimization initiatives including the DRIVE and Network 2.0 programs.

The FedEx Board of Directors approved an increase in the annual dividend rate on its common stock of 10%, or $0.44 per share, to $5.04 per share for fiscal 2024. The Board today declared a quarterly cash dividend of $1.26 per share of FedEx common stock. The dividend is payable July 3, 2023 to stockholders of record at the close of business on June 12, 2023.

The Company also announced that its cash-based long-term incentive (LTI) plan for fiscal 2024 through fiscal 2026 will include a Return on Invested Capital (ROIC) performance metric that will replace the capital expenditures as percentage of revenue performance metric used in recent LTI plans. This change is designed to further align management compensation with stockholder value, with ROIC being a key metric by which to measure the long-term success of FedEx.

The DRIVE Investor Event will be webcast from the company’s website at investors.fedex.com beginning at 8:30 a.m. ET on April 5, 2023. Individuals may view the presentation and download the materials presented during the meeting. This release contains only a short summary of the information to be presented and should be read in conjunction with the management presentations and other materials, including the appendix of non-GAAP financial measures, made available on the Investor Relations website.

CSX double stackCSX (NASDAQ: CSX) today announced that it has reached a tentative agreement with the Sheet Metal, Air, Rail and Transportation Workers-Transportation Division B&O (SMART-TD B&O) union to provide CSX trainmen and conductors with paid sick leave benefits.

Pending ratification by SMART-TD B&O members, the agreement will increase the number of CSX operating employees with paid sick leave benefits to more than 10,000, or 60% of the company’s union-represented workforce.

“I want to thank the SMART-TD B&O leadership for working with us to reach this important agreement for their members and adding to the progress we’re making together to improve the work experience for front-line employees who create value for our customers,” said Joe Hinrichs, CSX president and chief executive officer.

The terms of the SMART-TD B&O agreement provide for five days of paid sick leave annually plus an opportunity to convert two days from personal leave to sick leave. Other unions that have negotiated paid sick leave for their members include the International Brotherhood of Electrical Workers (IBEW); the Brotherhood of Maintenance of Way (BMWED), which represents track workers; the Brotherhood of Railway Carmen (BRC), which represents mechanical employees; the International Association of Machinists and Aerospace Workers (IAM), which represents railroad machinists; and the National Conference of Firemen and Oilers (NCFO), which represents CSX’s utility workers.

“We are committed to listening to our employees and talking with union leaders about how we can solve issues and further improve relations,” Hinrichs said. “When we’re working together, we’re working better — for our customers and each other.”

Maersk US China link In an effort to meet its customers’ end-to-end logistics needs, A.P. Moller - Maersk (Maersk) introduces two new air freight services with regular flights linking the Unites States with China.

Maersk´s new customer-backed air corridor is expected to plug a connectivity gap between the world’s two largest markets for ocean customers, with solutions for time sensitive and high value cargo via new air services.

"With the introduction of these new routes, we are further connecting North America and Asia Pacific through regular flights and controlled capacity for our customers. At Maersk, we want to ensure that our customers have the visibility, reliability, and resilience in their supply chains. Air freight continues to be an important asset in our customer´s end-to-end logistics needs." Michel Pozas Lucic, Global Head of Air in A.P. Moller – Maersk.

Maersk will commence with two weekly flights between Greenville-Spartanburg International Airport (GSP) and Shenyang Taoxian International Airport (SHE) and with two weekly flights between Chicago Rockford International Airport (RFD) and Hangzhou Xiaoshan International Airport (HGH). Both services will be increased to three weekly flights from May 2023.

Maersk recently opened a new Chicago air freight gateway facility to add more supply chain integration opportunities for customers using Chicago O’Hare International and Rockford International.

The operation will be done with three newly acquired Boeing 767-300 freighters that have recently been added to the fleet of Maersk Air Cargo, the inhouse cargo airline of Maersk, and will be operated by Miami-headquartered cargo airline, Amerijet International.

On March 20, Maersk celebrated the inaugural flight of the logistics company´s new air freight service with three weekly scheduled flights between Billund (BLL) and Hangzhou (HGH) operated by Maersk Air Cargo.

Maersk also recently launched a new air freight service with regular flights between Greenville-Spartanburg, South Carolina (GSP) and Incheon, Korea (ICN) operated by Miami-headquartered cargo airline Amerijet International.

SMP DerbySt. Modwen Logistics, one of the UK’s leading logistics developers and managers and a Blackstone portfolio company, has invested almost £60m to develop an additional c. 350,000 sq ft of new warehouse space at St. Modwen Park Derby.

Due for completion in 2024, this next phase will see St Modwen Logistics and Winvic Construction Ltd deliver a new 147,000 sq ft warehouse which has already been pre-let. Four additional new buildings totalling c. 200,000 sq ft will also be developed to help meet increased occupier demand for mid-sized industrial and logistics units in the East Midlands.

As part of the first phase of development, to date, St. Modwen Logistics has invested more than £45m in delivering over 300,000 sq ft of sustainable warehousing across four units at St. Modwen Park Derby. Completed in December 2022, it has already attracted two international occupiers, with German heat pump manufacturer Vaillant signing for 131,000 sq ft and Swedish medical technology company Getinge establishing a new Global Centre of Excellence for Chemistry at the scheme alongside its new UK headquarters.

The quintet of new warehouses will be built to St. Modwen Logistics’ ‘Swan Standard’ for sustainable construction, meaning they will be highly energy efficient and come with an EPC A+ rating, thereby helping customers to reduce their operational costs. All five units will benefit from the installation of rooftop solar panels as standard.

Additionally, all five buildings will aim to place in the top 10% of UK new non-domestic buildings for sustainability by targeting an ‘Excellent’ accreditation from BREEAM, the leading real estate sustainability body. In line with the company’s commitment to sustainable development, the Midlands-based company is also strengthening biodiversity at the Park through the creation of a new riverside nature corridor, having already planted 17,000 trees and shrubs as part of the first phase of construction.

Located on Wyvern Way – adjacent to the A52 with direct access to the A38, A50 and nearby M1 motorway, and just 13 miles from East Midlands airport – St. Modwen Park Derby is one of the largest regeneration sites in the region and provides strong transport links and access to one of the highest skilled workforces in the country.

Robert Richardson, Development Director at St. Modwen Logistics, commented: “Our committed investments in St. Modwen Park Derby now exceeds £100m and our decision to embark on the next phase of development, underlines our confidence in Derby as hub for logistics as well as high-skilled tech and manufacturing. We expect a diversity of demand for the new units and a wide variety of employment opportunities to be generated.”

“The first phase of construction on the Park was a huge success and we are looking forward to working with Winvic again to deliver this next phase of development.”

Ms Amanda Solloway, MP for Derby North said: "It has been fascinating to see St. Modwen Park taking shape on what was waste ground next to the Wyvern Centre. Last year, I attended the launch event and saw first-hand the huge benefits that it will bring to Derby in terms of job creation and the provision of high-quality warehouse space and the kind of modern, dedicated office space that the city and the wider Midlands needs if it is to grow and prosper.

“To see a further £59m invested into the park is therefore amazing news and an example of levelling up at its best!”

Paul Simpson, Chief Executive, Derby City Council, said: “This is more great news for the city in what has been a bumper month of major investment announcements, following the decision to make Derby the home of Great British Railways.

“In February we also welcomed two industry leaders, Getinge and Vaillant, to St. Modwen Park. Now we can look forward to seeing more in phase two, which will create more jobs and boost our economy further. It’s clear Derby is seen as a fantastic City in which to invest.

“It was great to be on site to mark this occasion, and I look forward to seeing more investment in Derby and in the next phase of St. Modwen Park.”

Danny Nelson, Winvic’s Head of Industrial, Distribution and Logistics, added: “We have built an outstanding relationship with the St Modwen team in delivering the civils and infrastructure package and the four industrial units at Derby – as well assets across other sites – and we’re delighted to have secured the contract for Phase 2. Sustainability is a fundamental part of both Winvic’s and St Modwen’s DNA and our one-team approach ensures we’re able to help occupiers achieve their own sustainability goals. The team is looking forward to progressing the scheme at pace and we are scheduled to complete all five facilities early in 2024.”

KuehneNagel healthcare footprint Kuehne+Nagel, a global logistics company, announced details of a new contract logistics fulfillment center on the grounds of the Dallas/Fort Worth International Airport.

Located approximately three miles from the terminals, the 400,000 sq. ft, state-of-the-art fulfillment center reflects the company’s continued commitment to investing in the healthcare vertical by serving multiple customers.

This fully pharma-grade compliant, secure, high-tech site allows Kuehne+Nagel’s partners to be assured that fulfillment center operations are at the highest levels of safety and efficiency. This includes meeting the complex storage needs of customers in the healthcare and pharmaceutical worlds with features such as four cold chambers, which are able to store products within the various temperature ranges required by the healthcare industry, including frozen ones.

“This move represents an important milestone for Kuehne+Nagel’s Contract Logistics business in North America and reinforces the company’s global commitment to the healthcare business as part of the company’s Roadmap 2026,” said Eduardo Razuck, Senior Vice President, Contract Logistics Americas for Kuehne+Nagel. “The investment in a new distribution center in the Dallas/Fort Worth area is the latest step in growing our ever-expanding network focused on supporting our healthcare and pharmaceutical customers.”

This new fulfillment center will be part of the company’s growing healthcare services offerings, providing customers the ability to focus on what is most important to them – the patients.

“This fulfillment center will support our mission to bring product integrity to the next level for our healthcare customers that require premium services for moving their products,” said Marcello Ferrari, Vice President Global Head Customer Development Healthcare, Contract Logistics for Kuehne+Nagel. “Our focus is on the patient, and with ease of access to the significant uplift capacity at the Dallas/Fort Worth Airport, we are able to better serve not just our customers, but also patients across the country who depend on these products.”

BIFA YFN The British International Freight Association’s (BIFA) Young Forwarder Network (YFN) has reached a century of events.

A tour of the DP World Southampton container terminal saw the network achieve this notable landmark of face-to-face and virtual networking events four years after its inception in 2019.

YFN members seen on the quayside at DP World Southampton container terminal during the network's century-making event.

Carl Hobbis, an executive director at BIFA, who has management responsibility for the trade association’s training and development services declared: “To achieve this just four years after launch, and despite the pandemic, is very worthwhile.

“It is a testimony to the young forwarders who have stepped up and created several regional networking groups, which they run, and which are designed to help early talent, apprentices and young employees of the trade association’s members develop their knowledge and professional skills.

“When it was launched, BIFA said it thought it would prove to be a major step forward for the industry in developing its future freight forwarding ambassadors and leaders. We saw it as an integral part of BIFA’s attempts to improve the promotion of the sector, making it more attractive to younger people and providing forums from which to learn.

“Four years on that has provided to be the case. Over 1,000 individuals have participated in the YFN’s events since 2019, - which range from the educational, such as presentations on specific aspects of the freight and logistics industry, to purely social, such as quiz nights and bake offs - and the YFN Group on LinkedIn is now a community of over 2,000 followers.

“The young people who are participating in the events are developing and improving their knowledge of the sector and trends within it, as well as building their skill sets and learning from others; whilst developing their own social and business networks.”

Commenting on the achievement of the YFN over the last four years, Rudee Bertie, a specialist in crossborder import/export gateway eCommerce logistics and the first ever speaker at a YFN event in 2019, said: “I am thrilled to see how much the YFN has developed. The achievements and progress made to date is remarkable.

“Young forwarders, which are critical to the survival of a business sector that underpins the UK’s international visible trade, have clearly embraced the vision set out and invested in by BIFA in 2019.

“In a time of ever-increasing technology and remote connectivity, networking via face-to-face meetings and direct communication has never been more important.”

Kyle Lawrence from OIA Global, who has been involved with the YFN since it first started and has been chair of the virtual YFN, which was set up in 2020, when the pandemic struck, added: “The YFN is an amazing experience. It provides an opportunity to help grow your network and I encourage all young people to take part. It also provides a platform to share experiences with fellow young people and learn together.”

Chris Packwood, managing director of Geodis Freight Forwarding UK and Ireland, who is an employer governor of the YFN, said: “It has helped us all to attract and retain young people to our industry. It has supported their development and understanding, by providing access to events and people, which can only be a good thing for the future.”

Hobbis concludes: “What we now need is for all BIFA members to actively encourage and support attendance of their younger staff at YFN events.

"Since the pandemic, it is very easy for people to do things from the comfort of their own home or office, but the value of meeting people face-to-face should not be underestimated.

“I appreciate that companies want a return on their investment of time, but I am convinced that they will get this by supporting BIFA’s YFN initiative and its activities. 100% of the time, people learn something new from attending a YFN event, and this knowledge is brought back and benefits members’ businesses.”

DP World southampton record DP World’s team at Southampton has broken its all-time move count record after handling more than 9,000 containers on a ship which visited the logistics hub last week.

The Ocean Network Express vessel ONE Trust docked at Southampton after sailing from Pusan in South Korea. Some 9,315 containers were exchanged, including 5,824 discharges, 3,473 loads and 18 re-stows, taking 86 hours to complete. This call broke by 13% the previous terminal record of 8,213 moves set by the MOL Truth two years ago.

Steve McCrindle, DP World's Port Operations Director at Southampton, said: “We are committed to consolidating Southampton’s position as the most productive port in the UK, turning vessels around faster than any of our competitors. Our performance on ONE Trust was made possible by our new ten crane operating model, which enables us to concentrate more cranes on a vessel while continuing to service other customers at the same time, thereby boosting our productivity.

“After the disruption of recent years, shipping lines and cargo owners are looking for capacity, reliability and growth opportunities. We are providing it, enabling customers to move goods smoothly and efficiently in and out of the UK and across their supply chains.”

DP World – whose global network of ports and terminals enable goods to move seamlessly and securely around the world – runs the UK’s most advanced logistics hubs at London Gateway and Southampton: two deep water ports with access to freight rail terminals and a rapidly expanding logistics park on the doorstep of the capital. Between them they moved a record volume of cargo (3,850,000 TEU) in 2022.

Over the last 10 years, DP World has invested £2 billion in the UK. Over the next 10 years, it has earmarked a further £1 billion of investment, including to further increase the productivity and capacity of its two UK logistics hubs. Construction is currently underway at London Gateway on a new £350 million fourth berth, which will lift capacity by a third when it opens in 2024.

SATS WFS SATS Ltd. (“SATS”) today announced it has completed its acquisition of global air cargo logistics provider Worldwide Flight Services (“WFS”) for €1.3 billion (equivalent to approximately S$1.8 billion) from an affiliate of Cerberus Capital Management (“Cerberus”), representing an enterprise value of €2,250 million as previously announced.

The acquisition received an overwhelming support of 96.8% approval from SATS’ voting shareholders in January this year and obtained regulatory approvals in all relevant jurisdictions in February. With effect from completion, WFS becomes a fully owned subsidiary of SATS, which is headquartered in Singapore. WFS will continue to be headquartered in Paris and operate as Worldwide Flight Services. Craig Smyth, CEO of WFS, will continue to run the company and report to Kerry Mok, President & Chief Executive Officer of SATS, and an advisory board.

Both SATS and WFS have a long history and deep knowledge of the aviation industry. SATS is a leading provider of food solutions and gateway services in Asia, while WFS is a leading air cargo logistics provider globally with ground handling capabilities. As a combined company, SATS and WFS create an Americas-Europe-APAC network with a global footprint of 201 cargo and ground handling stations in 23 countries, covering trade routes responsible for more than 50% of global air cargo volume. The combined group operates in five of the top 10 cargo airports in North America and Europe respectively, including Los Angeles, Chicago, Miami, Frankfurt, and Paris, and four of the top 10 cargo airports in Asia, including Hong Kong, Taipei, Singapore, and Beijing.

Mok said, “Recent global events have highlighted the importance of supply chain resiliency and an interconnected global network of cargo handling capabilities that provides speed, traceability, and certainty to our customers. SATS and WFS will provide our customers with the critical global cargo handling capability, and the scale advantage for us to develop and pioneer new solutions that will enhance our customers’ competitiveness. We welcome the management team and employees of WFS into the SATS family. Our focus is now on accelerating value creation for our customers over the medium term.”

Smyth added, “Our combination with SATS enhances our ability to provide end-to-end trade solutions, which is increasingly critical to our global customers. Together, we will drive technology and service innovations while maintaining our industry-leading standards of safety and security. We are very excited about the value we can deliver for customers from our combined capabilities and broader network.”

Cerberus Senior Managing Director Craig Brooks commented, “We are incredibly proud to have partnered with WFS and its talented team. Over the past four and half years, WFS invested in its technology and operations, achieved tremendous growth, and persevered through the COVID-19 pandemic. This strategic combination with SATS will support the company’s continued success and deliver great value for its customers.”

CSAFE Global




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