Hurricane Ida Disrupts Gulf Coast, Stalls Regional Supply Chains

Hurricane Ida slammed into the Gulf Coast earlier this week, hitting Louisiana with particular force. The Terminals at the Port of New Orleans are currently closed due to an enduring city-wide power outage. Local roads along with state and interstate highways throughout Louisiana are obstructed by floodwaters and debris. Multiple rail lines have paused service in the region.

West Coast Port Congestion Again Breaking Records 

A new report from American Shipper shows that the number of ships waiting outside the ports of Los Angeles and Long Beach has surpassed its previous record high. Up to 47 vessels were spotted waiting for berth space outside the port complex this week. The situation is expected to get even worse as we move further into this year’s peak season volumes.

US Regulators Reject Bid for CN-KCS Merger 

The U.S. Surface and Transportation Board turned down a bid from Canadian National Railway to merge with Kansas City Southern. The action does not permanently stop the deal from moving forward but makes the path forward more difficult for the two parties. Rival Canadian Pacific has been seeking to derail the talks after CN had outbid its original merger offer. A merger would link Mexico, the U.S. and Canada by a single rail line.

Tightening Air Freight Capacity Sets Stage for High Rates 

While ocean shipping deals with historic disruptions, air freight is dealing with its own issues. Tight pandemic restrictions at Chinese airports has severely delayed freight shipments and constricted capacity. The restrictions take away an important pressure release valve desperately needed by U.S. importers. Rates are already climbing and sources expect them to continue growing.

Sign up below for weekly logistics news headlines delivered to your inbox.

Weekly Logistics News Headlines: