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Logistics

ARLINGTON, VA, Sept. 28, 2020 (Press Release) -Today, the American Trucking Associations released its latest ATA Freight Transportation Forecast: 2020 to 2031, which is conducted annually by IHS Markit, showing that despite contraction in 2020, the long-term trend for both trucking and overall freight shipments is still positive.

“The COVID-19 pandemic has had an unprecedented impact on many parts of the economy and trucking is no exception,” said ATA Chief Economist Bob Costello. “However, despite significant contractions in 2020, the forecast makes it clear that the long-term trend for trucking, as well as for the overall freight economy is positive.”

Among the findings in this year’s Forecast:

    Total freight volumes in 2020 are likely to collapse by 10.6% to 14.6 billion tons, although truck freight volumes falls a smaller 8.8%.

    Trucking volumes are expected to rebound in 2021, rising 4.9% next year and then growing 3.2% per year on average through 2026.

    Overall freight revenues in 2020 will total $879 billion, rising to $1.435 trillion in 2031.

“Freight Forecast provides a roadmap for where our industry, as well as all modes of freight transportation, are going – which is why you can find it on the desks of industry executives and policymakers around the world,” Costello said.

ATA Freight Transportation Forecast: 2020 to 2031 is availablefor sale now at ATA Business Solutions.

ATA – US trucking freight volumes expected to grow 36% between 2020 and 2031

Posted in: Logistics 09/29/2020 - 18:10

ARLINGTON, VA, Sept. 28, 2020 (Press Release) -Today, the American Trucking Associations released its latest ATA Freight Transportation Forecast: 2020 to 2031, which is conducted annually by IHS Markit, showing that despite contraction in 2020, the long-term trend for both trucking and overall freight shipments is still positive.

“The COVID-19 pandemic has had an unprecedented impact on many parts of the economy and trucking is no exception,” said ATA Chief Economist Bob Costello. “However, despite significant contractions in 2020, the forecast makes it clear that the long-term trend for trucking, as well as for the overall freight economy is positive.”

Among the findings in this year’s Forecast:

    Total freight volumes in 2020 are likely to collapse by 10.6% to 14.6 billion tons, although truck freight volumes falls a smaller 8.8%.

    Trucking volumes are expected to rebound in 2021, rising 4.9% next year and then growing 3.2% per year on average through 2026.

    Overall freight revenues in 2020 will total $879 billion, rising to $1.435 trillion in 2031.

“Freight Forecast provides a roadmap for where our industry, as well as all modes of freight transportation, are going – which is why you can find it on the desks of industry executives and policymakers around the world,” Costello said.

ATA Freight Transportation Forecast: 2020 to 2031 is availablefor sale now at ATA Business Solutions.

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OGAN KOMERING ILIR, Indonesia , Sept. 25, 2020 (Mongabay) -Over the past two decades, much of the forests in Ogan Komering Ilir district in southern Sumatra, Indonesia, have been cleared to make way for vast pulpwood plantations. The acacia and eucalyptus trees grown here are turned into pulp to make paper and related products, and an entire industry has sprung up around these plantations: spanning from the mill that pulps the wood, to the port from where the pulp is sent to other parts of Indonesia and abroad.

At the center of the industry here sits Asia Pulp & Paper, or APP Sinar Mas, whose local subsidiary, PT OKI Pulp & Paper Mills, aims to be the largest pulp and paper producer in Asia. It owns the mill and the port, and now plans to upgrade the road linking the two at a cost of 2.8 trillion rupiah ($190 million).

The existing road already cuts through peat and mangrove forests, which constitute an important habitat for the critically endangered Sumatran elephant (Elephas maximus sumatranus). The company has promised the upgrades will not require further clearing of these areas, but conservationists have called for the least destructive and invasive construction if the project stands to continue.

Mongabay - Paper giant APP’s Sumatran road project cuts through elephant habitat

Fastmarkets RISI is not responsible for the reliability or availability of content on external websites.

Asia Pulp & Paper $190 million mill to port road project cuts through elephant habitat in Sumatra

Posted in: Logistics 09/25/2020 - 16:19

OGAN KOMERING ILIR, Indonesia , Sept. 25, 2020 (Mongabay) -Over the past two decades, much of the forests in Ogan Komering Ilir district in southern Sumatra, Indonesia, have been cleared to make way for vast pulpwood plantations. The acacia and eucalyptus trees grown here are turned into pulp to make paper and related products, and an entire industry has sprung up around these plantations: spanning from the mill that pulps the wood, to the port from where the pulp is sent to other parts of Indonesia and abroad.

At the center of the industry here sits Asia Pulp & Paper, or APP Sinar Mas, whose local subsidiary, PT OKI Pulp & Paper Mills, aims to be the largest pulp and paper producer in Asia. It owns the mill and the port, and now plans to upgrade the road linking the two at a cost of 2.8 trillion rupiah ($190 million).

The existing road already cuts through peat and mangrove forests, which constitute an important habitat for the critically endangered Sumatran elephant (Elephas maximus sumatranus). The company has promised the upgrades will not require further clearing of these areas, but conservationists have called for the least destructive and invasive construction if the project stands to continue.

Mongabay - Paper giant APP’s Sumatran road project cuts through elephant habitat

Fastmarkets RISI is not responsible for the reliability or availability of content on external websites.

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ARLINGTON, VA, Sept. 22, 2020 (Press Release) -American Trucking Associations’ advanced seasonally adjusted (SA) For-Hire Truck Tonnage Index decreased 5.6% in August after declining 1.4% in July. In August, the index equaled 107.5 (2015=100) compared with 113.9 in July.
“The August softness suggests that freight is very uneven in the trucking industry,” said ATA Chief Economist Bob Costello. “The trucking sectors that haul for the industrial and energy industries are not seeing the surge in freight like the consumer side of the economy. The industrial loads tend to be heavier, so they count more in a tonnage calculation than most consumer-related loads. Fleets hauling for retailers are generally seeing strong freight volumes. Carriers hauling heavier industrial products generally saw softer volumes in August.”
July’s decrease was revised up to -1.4% from our August 18 press release.
Compared with August 2019, the SA index contracted 8.9%, the fifth straight year-over-year decline. Year-to-date, compared with the same period in 2019, tonnage is down 3.4%.
The not seasonally adjusted index, which represents the change in tonnage actually hauled by the fleets before any seasonal adjustment, equaled 112.8 in August, 3.9% below the July level (117.3). In calculating the index, 100 represents 2015. ATA’s For-Hire Truck Tonnage Index is dominated by contract freight as opposed to spot market freight.
Trucking serves as a barometer of the U.S. economy, representing 72.5% of tonnage carried by all modes of domestic freight transportation, including manufactured and retail goods. Trucks hauled 11.84 billion tons of freight in 2019. Motor carriers collected $791.7 billion, or 80.4% of total revenue earned by all transport modes.
ATA calculates the tonnage index based on surveys from its membership and has been doing so since the 1970s. This is a preliminary figure and subject to change in the final report issued around the 5th day of each month. The report includes month-to-month and year-over-year results, relevant economic comparisons, and key financial indicators.

ATA Truck Tonnage Index fell 5.6% in August

Posted in: Logistics 09/22/2020 - 14:32

ARLINGTON, VA, Sept. 22, 2020 (Press Release) -American Trucking Associations’ advanced seasonally adjusted (SA) For-Hire Truck Tonnage Index decreased 5.6% in August after declining 1.4% in July. In August, the index equaled 107.5 (2015=100) compared with 113.9 in July.
“The August softness suggests that freight is very uneven in the trucking industry,” said ATA Chief Economist Bob Costello. “The trucking sectors that haul for the industrial and energy industries are not seeing the surge in freight like the consumer side of the economy. The industrial loads tend to be heavier, so they count more in a tonnage calculation than most consumer-related loads. Fleets hauling for retailers are generally seeing strong freight volumes. Carriers hauling heavier industrial products generally saw softer volumes in August.”
July’s decrease was revised up to -1.4% from our August 18 press release.
Compared with August 2019, the SA index contracted 8.9%, the fifth straight year-over-year decline. Year-to-date, compared with the same period in 2019, tonnage is down 3.4%.
The not seasonally adjusted index, which represents the change in tonnage actually hauled by the fleets before any seasonal adjustment, equaled 112.8 in August, 3.9% below the July level (117.3). In calculating the index, 100 represents 2015. ATA’s For-Hire Truck Tonnage Index is dominated by contract freight as opposed to spot market freight.
Trucking serves as a barometer of the U.S. economy, representing 72.5% of tonnage carried by all modes of domestic freight transportation, including manufactured and retail goods. Trucks hauled 11.84 billion tons of freight in 2019. Motor carriers collected $791.7 billion, or 80.4% of total revenue earned by all transport modes.
ATA calculates the tonnage index based on surveys from its membership and has been doing so since the 1970s. This is a preliminary figure and subject to change in the final report issued around the 5th day of each month. The report includes month-to-month and year-over-year results, relevant economic comparisons, and key financial indicators.

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    BRUSSELS, Sept. 16, 2020 (Press Release) -
  • Parliament in favour of 40% reduction in CO2 by 2030
  • Maritime transport to be included in EU Emissions Trading System (ETS)
  • An “Ocean Fund” to contribute to protecting marine ecosystems

To decarbonise maritime transport, Parliament voted to include CO2 emissions from the sector in the EU Emissions Trading System.

On Wednesday, Parliament adopted its position on the Commission’s proposal to revise the EU system for monitoring, reporting and verifying CO2 emissions from maritime transport (the “EU MRV Regulation”) with 520 votes to 94 and 77 abstentions.

MEPs largely agree that reporting obligations by the EU and the International Maritime Organisation (IMO) should be aligned, as proposed by the Commission. They note, however, that the IMO has made insufficient progress in reaching an ambitious global agreement on greenhouse gas (GHG) emissions. They ask the Commission to examine the overall environmental integrity of the measures decided by the IMO, including the targets under the Paris Agreement. A global ambitious agreement on GHG emissions from shipping is urgently needed, they add.

Maritime transport must be included in the EU Emissions Trading System

Parliament wants maritime transport to be more ambitious and believes ships of 5000 gross tonnage and above should be included in the EU Emissions Trading System (ETS).

However, MEPs say that market-based emissions reduction policies are not enough and request that shipping companies reduce their annual average CO2 emissions per transport unit for all their ships by at least 40% by 2030.

Establish an Ocean Fund

MEPs call for an “Ocean Fund” for the period from 2022 to 2030, financed by revenues from auctioning allowances under the ETS, to make ships more energy-efficient and to support investment in innovative technologies and infrastructure, such as alternative fuel and green ports. 20 % of the revenues under the Fund should be used to contribute to protecting, restoring and efficiently managing marine ecosystems impacted by global warming.

Quote

Rapporteur Jutta Paulus (Greens/EFA) said: "Today, we are sending a strong signal in line with the European Green Deal and the climate emergency: Monitoring and reporting CO2 emissions is important, but statistics alone do not save a single gram of greenhouse gas! That’s why we are going further than the Commission proposal and demanding tougher measures to reduce emissions from maritime shipping".

Next steps

Parliament is now ready to start negotiations with member states on the final shape of the legislation.

Background

Maritime transport remains the only sector with no specific EU commitments to reduce greenhouse gas emissions. Global shipping activity emits significant amounts of GHG emissions, estimated to be around 2-3% of total global GHG emissions. This is more than the emissions of any EU member state. In 2017 in the EU, 13 % of total EU greenhouse gas emissions from transport came from the maritime sector

European Parliament favours 40% reduction in CO2 by 2030 and calls for Ocean Fund as shipping industry's contribution towards climate neutrality

Posted in: Logistics 09/16/2020 - 12:47
    BRUSSELS, Sept. 16, 2020 (Press Release) -
  • Parliament in favour of 40% reduction in CO2 by 2030
  • Maritime transport to be included in EU Emissions Trading System (ETS)
  • An “Ocean Fund” to contribute to protecting marine ecosystems

To decarbonise maritime transport, Parliament voted to include CO2 emissions from the sector in the EU Emissions Trading System.

On Wednesday, Parliament adopted its position on the Commission’s proposal to revise the EU system for monitoring, reporting and verifying CO2 emissions from maritime transport (the “EU MRV Regulation”) with 520 votes to 94 and 77 abstentions.

MEPs largely agree that reporting obligations by the EU and the International Maritime Organisation (IMO) should be aligned, as proposed by the Commission. They note, however, that the IMO has made insufficient progress in reaching an ambitious global agreement on greenhouse gas (GHG) emissions. They ask the Commission to examine the overall environmental integrity of the measures decided by the IMO, including the targets under the Paris Agreement. A global ambitious agreement on GHG emissions from shipping is urgently needed, they add.

Maritime transport must be included in the EU Emissions Trading System

Parliament wants maritime transport to be more ambitious and believes ships of 5000 gross tonnage and above should be included in the EU Emissions Trading System (ETS).

However, MEPs say that market-based emissions reduction policies are not enough and request that shipping companies reduce their annual average CO2 emissions per transport unit for all their ships by at least 40% by 2030.

Establish an Ocean Fund

MEPs call for an “Ocean Fund” for the period from 2022 to 2030, financed by revenues from auctioning allowances under the ETS, to make ships more energy-efficient and to support investment in innovative technologies and infrastructure, such as alternative fuel and green ports. 20 % of the revenues under the Fund should be used to contribute to protecting, restoring and efficiently managing marine ecosystems impacted by global warming.

Quote

Rapporteur Jutta Paulus (Greens/EFA) said: "Today, we are sending a strong signal in line with the European Green Deal and the climate emergency: Monitoring and reporting CO2 emissions is important, but statistics alone do not save a single gram of greenhouse gas! That’s why we are going further than the Commission proposal and demanding tougher measures to reduce emissions from maritime shipping".

Next steps

Parliament is now ready to start negotiations with member states on the final shape of the legislation.

Background

Maritime transport remains the only sector with no specific EU commitments to reduce greenhouse gas emissions. Global shipping activity emits significant amounts of GHG emissions, estimated to be around 2-3% of total global GHG emissions. This is more than the emissions of any EU member state. In 2017 in the EU, 13 % of total EU greenhouse gas emissions from transport came from the maritime sector

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CHICAGO, Sept. 15, 2020 (Business Wire) -R.R. Donnelley & Sons Company (“RRD” or the “Company”), a leading global provider of marketing and business communications, today announced that it has signed a definitive agreement to sell its DLS Worldwide Logistics business to TFI International (TFI) for $225 million in cash, subject to a customary working capital adjustment. The agreement stipulates 10 percent of the purchase price will be held in escrow while the remainder will be paid at closing. The transaction does not include RRD’s International Mail and Parcel Logistics business and is expected to close within the next 60 days pending regulatory approvals and other customary closing conditions.

Dan Knotts, RRD’s President and Chief Executive Officer stated, “The sale of our DLS Worldwide business further demonstrates our strategic focus and ongoing commitment to optimize our business portfolio, reduce debt and improve liquidity, all while remaining strongly positioned as an industry leading provider of marketing and business communications. As we move through the final phase of this transaction, we are laser focused on facilitating a smooth transition for our employees while continuing to deliver the exceptional service our DLS Worldwide clients have come to expect from RRD.”

DLS Worldwide is a non-asset based platform providing logistics services through a third-party network of internal sales personnel, commissioned sales agents and approximately 140 agent-stations. DLS’ primary transportation modes include less-than-truckload, truckload, freight forwarding, expedited, parcel and intermodal. DLS Worldwide reported net sales, excluding intercompany transactions, of approximately $530 million for the 12 months ended June 30, 2020.

The sale price is equal to approximately nine times DLS Worldwide’s EBITDA for the 12 months ended June 30, 2020 including certain incremental stand-alone expenses and excluding certain corporate overhead allocations, restructuring and impairment charges and the results of the International Mail and Parcel Logistics business. RRD intends to use a portion of the proceeds from the transaction to reduce its borrowings under its credit facility and the remainder will be held temporarily as cash on hand until such time as the Company decides to further reduce outstanding borrowings on its credit facility and/or repurchase additional near term debt securities.

RRD previously sold its Print Logistics business in July of 2018 and its Courier Logistics business in March of 2020, in addition to its UK-based Global Document Solutions business in October of 2019.

Credit Suisse Securities (USA) LLC acted as the financial advisor and Baker & Hostetler LLP as legal advisor to RRD in connection with the transaction.

About RRD

RRD is a leading global provider of multichannel business communications services and marketing solutions. With more than 50,000 clients and 36,400 employees across 29 countries, RRD offers the industry’s most comprehensive offering of solutions designed to help companies—from Main Street to Wall Street—optimize customer engagement and streamline business operations across the complete customer journey. RRD offers a comprehensive portfolio of capabilities, experience and scale that enables organizations around the world to create, manage, deliver, and optimize their marketing and business communications strategies.

RR Donnelley enters into definitive agreement to sell its DLS Worldwide Logistics Business to TFI International for $225 million

Posted in: Logistics 09/15/2020 - 11:08

CHICAGO, Sept. 15, 2020 (Business Wire) -R.R. Donnelley & Sons Company (“RRD” or the “Company”), a leading global provider of marketing and business communications, today announced that it has signed a definitive agreement to sell its DLS Worldwide Logistics business to TFI International (TFI) for $225 million in cash, subject to a customary working capital adjustment. The agreement stipulates 10 percent of the purchase price will be held in escrow while the remainder will be paid at closing. The transaction does not include RRD’s International Mail and Parcel Logistics business and is expected to close within the next 60 days pending regulatory approvals and other customary closing conditions.

Dan Knotts, RRD’s President and Chief Executive Officer stated, “The sale of our DLS Worldwide business further demonstrates our strategic focus and ongoing commitment to optimize our business portfolio, reduce debt and improve liquidity, all while remaining strongly positioned as an industry leading provider of marketing and business communications. As we move through the final phase of this transaction, we are laser focused on facilitating a smooth transition for our employees while continuing to deliver the exceptional service our DLS Worldwide clients have come to expect from RRD.”

DLS Worldwide is a non-asset based platform providing logistics services through a third-party network of internal sales personnel, commissioned sales agents and approximately 140 agent-stations. DLS’ primary transportation modes include less-than-truckload, truckload, freight forwarding, expedited, parcel and intermodal. DLS Worldwide reported net sales, excluding intercompany transactions, of approximately $530 million for the 12 months ended June 30, 2020.

The sale price is equal to approximately nine times DLS Worldwide’s EBITDA for the 12 months ended June 30, 2020 including certain incremental stand-alone expenses and excluding certain corporate overhead allocations, restructuring and impairment charges and the results of the International Mail and Parcel Logistics business. RRD intends to use a portion of the proceeds from the transaction to reduce its borrowings under its credit facility and the remainder will be held temporarily as cash on hand until such time as the Company decides to further reduce outstanding borrowings on its credit facility and/or repurchase additional near term debt securities.

RRD previously sold its Print Logistics business in July of 2018 and its Courier Logistics business in March of 2020, in addition to its UK-based Global Document Solutions business in October of 2019.

Credit Suisse Securities (USA) LLC acted as the financial advisor and Baker & Hostetler LLP as legal advisor to RRD in connection with the transaction.

About RRD

RRD is a leading global provider of multichannel business communications services and marketing solutions. With more than 50,000 clients and 36,400 employees across 29 countries, RRD offers the industry’s most comprehensive offering of solutions designed to help companies—from Main Street to Wall Street—optimize customer engagement and streamline business operations across the complete customer journey. RRD offers a comprehensive portfolio of capabilities, experience and scale that enables organizations around the world to create, manage, deliver, and optimize their marketing and business communications strategies.

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SUDBURY, ON , Sept. 11, 2020 (Local News) -After more than years of chronic uncertainty, Huron Central Railway’s short-line freight service between Sault Ste. Marie and Sudbury might finally derail.

Genesee & Wyoming Canada Inc., HCR’s Montreal-based parent company, announced this week that it will cease operations by the end of the year because it has not been able to secure $40 million in government funding to rehabilitate the 288-km line.

Although this isn’t the first time the company has anticipated closure, GWCI President Rick McLellan said that the formal process required to cease operations “cannot be delayed any longer.”

Soo Today - ‘Carefully consider' Huron Central Railway funding proposals: Domtar

Fastmarkets RISI is not responsible for the reliability or availability of content on external websites.

Domtar mill would be hurt by shut of Huron Central Railway in Ontario

Posted in: Logistics 09/11/2020 - 18:37

SUDBURY, ON , Sept. 11, 2020 (Local News) -After more than years of chronic uncertainty, Huron Central Railway’s short-line freight service between Sault Ste. Marie and Sudbury might finally derail.

Genesee & Wyoming Canada Inc., HCR’s Montreal-based parent company, announced this week that it will cease operations by the end of the year because it has not been able to secure $40 million in government funding to rehabilitate the 288-km line.

Although this isn’t the first time the company has anticipated closure, GWCI President Rick McLellan said that the formal process required to cease operations “cannot be delayed any longer.”

Soo Today - ‘Carefully consider' Huron Central Railway funding proposals: Domtar

Fastmarkets RISI is not responsible for the reliability or availability of content on external websites.

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XI’AN, China, Sept. 9, 2020 (Press Release) -The Lenzing Group is breaking new ground due to the short-term increase in demand for sustainably produced fibers from Chinese customers. For the first time, the company delivered wood-based cellulosic fibers, which are produced at the Austrian sites in Lenzing and Heiligenkreuz, directly to China by train. Thanks to this new transport route, Lenzing is able to meet the urgent demand of its Chinese customers twice as quickly as by the usual sea freight.

The first complete train with goods 100 percent “Made in Austria” started on August 20 in the presence of Leonore Gewessler, Federal Minister for Climate Action, Environment, Energy, Mobility, Innovation and Technology, His Excellency Xiaosi Li, Ambassador of the People's Republic of China in Austria, Stefan Doboczky, Chief Executive Officer of the Lenzing Group, Thomas Kargl, Board Member of the ÖBB Rail Cargo Group, Erwin Cootjans, Chief Executive Officer of Nunner Logistics, and Erich Hampel, Chairman of the Board of the B&C Private Foundation, at the Vienna South Terminal and reached his destination on September 05 at the Xinzhu train station in Xi'an, China. The train loaded with 41 containers with TENCEL™ branded lyocell and modal fibers and a total value of EUR 1.8 mn, passed a total of 10,460 km in seven countries: Austria, the Czech Republic, Poland, Belarus, Russia, Kazakhstan and China.

The first Lenzing fiber train was received in a grand ceremony on Tuesday, September 08 at the container terminal in Xi'an. Numerous guests, including the Austrian ambassador to China, Friedrich Stift, representatives of the Xi'an Municipal Government, the China Railway Xi'an Group, the Xi'an International Trade & Logistics Park as well as representatives of the Lenzing Group, the China National Textile and Apparel Council, Lenzing customers and the media attended the ceremony.

In his speech, Friedrich Stift, Austrian ambassador to China, emphasizes the importance of international trade and sustainable development: “The delivery of Austrian-made products through the CHINA RAILWAY Express adheres to the sustainable concept of Lenzing. Since China and Austria signed the bilateral railway cooperation agreement in 1994, the two countries have maintained good cooperation in the railway field and will continue to do so in the future. China is Austria's largest partner in Asia, and it is believed that after the outbreak of the corona crisis bilateral trade will normalize in 2021.”

“This is the first time for the Lenzing Group to deliver Austrian-made TENCEL™ branded fibers directly to Chinese customers. The Silk Road has been a main transport route between Europe and Asia since ancient times. Chinese consumers affectionately call TENCEL™ fibers ‘Silk from Heaven’. The China-Europe Express can reduce the transport time between Europe and China by half, thus meeting Chinese customer’s demand for environmentally friendly fibers more quickly”, states Hu Jian, Senior Vice President of the Lenzing Group for North Asia.

TENCEL™ fibers for more sustainable fashion

For local brands and retailers in China, sourcing sustainable goods is becoming increasingly important. For this reason, many manufacturers rely on TENCEL™ fibers, which contribute to a clean environment thanks to the renewable raw material wood and the ecologically responsible production. The Lenzing Group’s high-quality fibers are biodegradable and form the basis for a variety of textile applications.

About the Lenzing Group

The Lenzing Group stands for ecologically responsible production of specialty fibers made from the renewable raw material wood. As an innovation leader, Lenzing is a partner of global textile and nonwoven manufacturers and drives many new technological developments.

The Lenzing Group’s high-quality fibers form the basis for a variety of textile applications ranging from elegant ladies clothing to versatile denims and high-performance sports clothing. Due to their consistent high quality, their biodegradability and compostability Lenzing fibers are also highly suitable for hygiene products and agricultural applications.

The business model of the Lenzing Group goes far beyond that of a traditional fiber producer. Together with its customers and partners, Lenzing develops innovative products along the value chain, creating added value for consumers. The Lenzing Group strives for the efficient utilization and processing of all raw materials and offers solutions to help redirect the textile sector towards a closed-loop economy.

Lenzing delivers Austrian TENCEL wood-based cellulosic fibers directly to China by train

Posted in: Logistics 09/09/2020 - 02:43

XI’AN, China, Sept. 9, 2020 (Press Release) -The Lenzing Group is breaking new ground due to the short-term increase in demand for sustainably produced fibers from Chinese customers. For the first time, the company delivered wood-based cellulosic fibers, which are produced at the Austrian sites in Lenzing and Heiligenkreuz, directly to China by train. Thanks to this new transport route, Lenzing is able to meet the urgent demand of its Chinese customers twice as quickly as by the usual sea freight.

The first complete train with goods 100 percent “Made in Austria” started on August 20 in the presence of Leonore Gewessler, Federal Minister for Climate Action, Environment, Energy, Mobility, Innovation and Technology, His Excellency Xiaosi Li, Ambassador of the People's Republic of China in Austria, Stefan Doboczky, Chief Executive Officer of the Lenzing Group, Thomas Kargl, Board Member of the ÖBB Rail Cargo Group, Erwin Cootjans, Chief Executive Officer of Nunner Logistics, and Erich Hampel, Chairman of the Board of the B&C Private Foundation, at the Vienna South Terminal and reached his destination on September 05 at the Xinzhu train station in Xi'an, China. The train loaded with 41 containers with TENCEL™ branded lyocell and modal fibers and a total value of EUR 1.8 mn, passed a total of 10,460 km in seven countries: Austria, the Czech Republic, Poland, Belarus, Russia, Kazakhstan and China.

The first Lenzing fiber train was received in a grand ceremony on Tuesday, September 08 at the container terminal in Xi'an. Numerous guests, including the Austrian ambassador to China, Friedrich Stift, representatives of the Xi'an Municipal Government, the China Railway Xi'an Group, the Xi'an International Trade & Logistics Park as well as representatives of the Lenzing Group, the China National Textile and Apparel Council, Lenzing customers and the media attended the ceremony.

In his speech, Friedrich Stift, Austrian ambassador to China, emphasizes the importance of international trade and sustainable development: “The delivery of Austrian-made products through the CHINA RAILWAY Express adheres to the sustainable concept of Lenzing. Since China and Austria signed the bilateral railway cooperation agreement in 1994, the two countries have maintained good cooperation in the railway field and will continue to do so in the future. China is Austria's largest partner in Asia, and it is believed that after the outbreak of the corona crisis bilateral trade will normalize in 2021.”

“This is the first time for the Lenzing Group to deliver Austrian-made TENCEL™ branded fibers directly to Chinese customers. The Silk Road has been a main transport route between Europe and Asia since ancient times. Chinese consumers affectionately call TENCEL™ fibers ‘Silk from Heaven’. The China-Europe Express can reduce the transport time between Europe and China by half, thus meeting Chinese customer’s demand for environmentally friendly fibers more quickly”, states Hu Jian, Senior Vice President of the Lenzing Group for North Asia.

TENCEL™ fibers for more sustainable fashion

For local brands and retailers in China, sourcing sustainable goods is becoming increasingly important. For this reason, many manufacturers rely on TENCEL™ fibers, which contribute to a clean environment thanks to the renewable raw material wood and the ecologically responsible production. The Lenzing Group’s high-quality fibers are biodegradable and form the basis for a variety of textile applications.

About the Lenzing Group

The Lenzing Group stands for ecologically responsible production of specialty fibers made from the renewable raw material wood. As an innovation leader, Lenzing is a partner of global textile and nonwoven manufacturers and drives many new technological developments.

The Lenzing Group’s high-quality fibers form the basis for a variety of textile applications ranging from elegant ladies clothing to versatile denims and high-performance sports clothing. Due to their consistent high quality, their biodegradability and compostability Lenzing fibers are also highly suitable for hygiene products and agricultural applications.

The business model of the Lenzing Group goes far beyond that of a traditional fiber producer. Together with its customers and partners, Lenzing develops innovative products along the value chain, creating added value for consumers. The Lenzing Group strives for the efficient utilization and processing of all raw materials and offers solutions to help redirect the textile sector towards a closed-loop economy.

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COPENHAGEN, Denmark, Sept. 2, 2020 (Press Release) -Following the announcement on July 6 2020 and receipt of required competition approvals, A.P. Moller - Maersk has now completed the acquisition of the European customs services specialist to further enhance its logistics and services offering.

A.P. Moller - Maersk has on 1 September 2020 finalised the acquisition of KGH Customs Services, a pan-European customs services provider, further strengthening its capabilities as an integrated container logistics company, offering end-to-end supply chain solutions to its global customers.

“I am very pleased that we can now officially welcome KGH into the Maersk family”, says Karsten Kildahl, Regional Managing Director of Maersk in Europe. “The integration process now begins, and we are very excited to start working together and start learning from one another.”

“The whole KGH team is looking forward to closely collaborating with our new Maersk colleagues on providing a range of different services within the transportation and logistics industry as one combined entity. Our enhanced product portfolio and geographical reach will enable us to serve our customers and their growing needs even better”, says Lars Börjesson, CEO of KGH Customs Services.

During the remainder of 2020, Maersk and KGH teams will work together on establishing a joint operating model and optimal structure to serve their customer base going forward. Customers will meanwhile continue to interact with their current contacts in both organisations and enjoy the usual level of service.

Lars Borjesson, CEO of KGH, will going forward lead the combined customs related activities of both KGH and Maersk in Europe.

About A.P. Moller –Maersk

A.P. Moller -Maersk is an integrated container logistics company working to connect and simplify its customers’ supply chains. As a global leader in shipping services, the company operates in 130 countries and employs about 80,000 people. 

About KGH Customs Services

KGH is a leading European Customs Services specialist that optimises customers’ trade and customs management through innovative strategy and compliance, operations and digital services.

A.P. Moller - Maersk completes acquisition of KGH Customs Services

Posted in: Logistics 09/02/2020 - 05:00

COPENHAGEN, Denmark, Sept. 2, 2020 (Press Release) -Following the announcement on July 6 2020 and receipt of required competition approvals, A.P. Moller - Maersk has now completed the acquisition of the European customs services specialist to further enhance its logistics and services offering.

A.P. Moller - Maersk has on 1 September 2020 finalised the acquisition of KGH Customs Services, a pan-European customs services provider, further strengthening its capabilities as an integrated container logistics company, offering end-to-end supply chain solutions to its global customers.

“I am very pleased that we can now officially welcome KGH into the Maersk family”, says Karsten Kildahl, Regional Managing Director of Maersk in Europe. “The integration process now begins, and we are very excited to start working together and start learning from one another.”

“The whole KGH team is looking forward to closely collaborating with our new Maersk colleagues on providing a range of different services within the transportation and logistics industry as one combined entity. Our enhanced product portfolio and geographical reach will enable us to serve our customers and their growing needs even better”, says Lars Börjesson, CEO of KGH Customs Services.

During the remainder of 2020, Maersk and KGH teams will work together on establishing a joint operating model and optimal structure to serve their customer base going forward. Customers will meanwhile continue to interact with their current contacts in both organisations and enjoy the usual level of service.

Lars Borjesson, CEO of KGH, will going forward lead the combined customs related activities of both KGH and Maersk in Europe.

About A.P. Moller –Maersk

A.P. Moller -Maersk is an integrated container logistics company working to connect and simplify its customers’ supply chains. As a global leader in shipping services, the company operates in 130 countries and employs about 80,000 people. 

About KGH Customs Services

KGH is a leading European Customs Services specialist that optimises customers’ trade and customs management through innovative strategy and compliance, operations and digital services.

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