COMPANY NEWS

CP Rail moves to lock out union

March 17, 2022 – Canadian Pacific Railway has issued 72-hour notice to the Teamsters Canada Rail Conference (TCRC)-Train & Engine of its plan to lock out employees at 00:01 ET on March 20, if the union leadership and the company are unable to come to a negotiated settlement or agree to binding arbitration. “For the sake of our employees, our customers, the supply chain we serve and the Canadian economy that is trying to recover from multiple disruptions, we simply cannot prolong for weeks or months the uncertainty associated with a potential labour disruption,” said Keith Creel, CP President and CEO. “The world has never needed Canada’s resources and an efficient transportation system to deliver them more than it does today. Delaying resolution would only make things worse. We take this action with a view to bringing this uncertainty to an end.” Over the past week, CP and the TCRC leadership have been meeting daily with federal mediators to reach a new negotiated collective agreement in hopes of avoiding a labour disruption. Despite those talks, the two sides’ positions remain far apart.

Shenzhen to enter a lockdown, will affect supply chains signficantly

March 15, 2022 – Ocean carriers are scrambling to adjust their networks as the Chinese city of Shenzhen begins a week-long lockdown. According to a notice issued by the Shenzhen COVID-19 Prevention and Control Command Office, the city’s circa-17m residents must stay at home until Sunday – apart from going out for three rounds of testing – following which, “adjustments will be made according to the new situation.” Most carriers have yet to release advisories as “we don’t know what to say”, said one carrier source on March 14.

CP Rail talks ongoing, no resolution

March 15, 2022 – With a potential rail strike at CP looming tomorrow, talks are continuing in Calgary today. More news as it develops.

CP Rail strike still a possibilty for this week

March 14, 2022 – As advised last week, approximately 3,000 Canadian Pacific Railway locomotive engineers and conductors may take labour action as early as this week which would significantly affect all rail services in Canada. Its effect would significantly impact rail services in Canada and there may be suspension of certain rail services prior to an anticipated strike date. Canaan Transport will continue to be in contact with our ocean carrier partners, as they review and announce contingency plans and will also advise our clients of options to divert potentially affected cargo to other modes or carriers. The situation is fluid and with the intervention of federal mediators in contract negotiations, there may be strike date extensions to forestall any labour action while talks proceed. We will continue to monitor and update you as the situation progresses.

Potential CP Rail strike

March 7, 2022 – The Teamsters Canada Rail Conference (TCRC) has voted to authorize a strike action as early as March 16, 2022. The TCRC represents approximately 3,000 of Canadian Pacific’s locomotive engineers and conductors. The parties will continue to participate in the mediation process with the assistance of the Federal Mediation and Conciliation Service (FMCS) with planned meetings in the March 11-16, 2022 timeframe. A work stoppage would have far reaching effects on the entire supply chain, particularly with ocean inland moves. Canaan Transport is looking at contingencies in the event of a disruption, which could potentially arise prior to March 16. We will continue to monitor and provide you with updates as they are received. Customers are invited to contact their local representative to discuss contingency planning.

New CERS Form

February 28, 2022 – CERS associations and new applications must now be completed on the CBSA’s new BSF831: Exporter reporting application form. This form can be completed and signed electronically.

Ukraine situation will upend global supply chains

February 25, 2022 – With Russia’s invasion of Ukraine early Thursday, energy costs are soaring, stocks are plunging, Western sanctions are being sharpened, and central bankers already worried about inflation face additional drags from weaker consumer confidence and bigger potential shocks to fragile European economies.

For global supply chains, “a kinetic conflict in Ukraine could generate a wide range of challenges,” Chris Rogers, an economist in the UK with Flexport, says in a report this week. The risks extend beyond higher energy costs to include disrupted air space in the region, higher rates for shipping insurance and cyberattacks, he says.

Empty containers will likely be a problem when supply chains normalize

February 21, 2022 – When global supply chains snap back to some form of normality – widely tipped to be in the second half of the year – transport operators will have to brace for a new headache, with an avalanche of empty containers predicted to cause some chaos. The delays in the supply chain during the pandemic have led to the need for additional containers to be used. When the supply chain normalizes, this will potentially create a pile of 3.5 million TEU of empty containers from the transpacific alone, according to a new report from Denmark’s Sea-Intelligence.

Delays in Port of Vancouver and Port of Prince Rupert

February 11, 2022 – Please note that currently Vancouver and Prince Rupert are experiencing delays with dwell times and longer berthing times for vessels. Currently, we are seeing delays of two to four weeks in delays for vessels docking in comparison to their original ETA. The empty return situation has improved slightly, but there are still many delays in containers being accepted for return versus normal return timing. Similarly, even when a vessel has docked and offloaded, terminals are experiencing delays (some more than others) in making the containers available for pick up as some are being put on block stow.

Understandably, this can cause much frustration as to importers it can appear that vessel and containers have arrived but are still not available for pickup, delivery or furtherance by rail. In some instances, containers were not being made available for up to one month. These delays are being felt across the board and are expected to continue for the foreseeable future.

Ottawa still at a standstill

February 6, 2022 – Ottawa’s chief of police says he does not have enough resources to end the turbulent protests launched in the nation’s capital more than a week ago – nor can he say when they might come to an end. "We need an additional surge of resources," Chief Peter Sloly said Saturday, even though every available Ottawa Police Service (OPS) officer is on active duty and hundreds of other law-enforcement officials have come to help. More than 7,000 demonstrators came into the downtown Saturday, according to police, and 500 heavy trucks still remain in the so-called "red zone." Deliveries to Ottawa will be delayed until this situation is resolved.