May 10, 2019 – The B.C. Maritime Employers Association has advised that further meetings have been scheduled with the International Longshore and Warehouse Union – Canada, beginning Tuesday, May 21 and continuing on May 22, 23 and 24. The meetings will be facilitated by the Federal Mediation and Conciliation Service (FMCS). This dramatically reduces the chance of labour action until at least closer to the end of the month. Canaan Transport will continue to update progress on its website.
May 9, 2019 – The Office of the United States Trade Representative (USTR) is set to publish a notice in the Federal Register on May 9, 2019, that the third tranche of Section 301 China duties will increase from 10 percent to 25 percent ad valorem effective 12:01 a.m., May 10, 2019.
Background: On September 17, 2018, the USTR announced the third set of tariffs on Chinese goods related to the Section 301 investigation. The USTR released a list of 5,745 tariff lines covering approximately $200 billion worth of Chinese imports that will be subject to additional tariffs. Beginning on September 24, 2018, additional duties were imposed at 10 percent. This third set of tariffs will now increase from 10 to 25 percent.
May 8, 2019 – Singapore-based global terminal operator PSA International is acquiring Halterm Container Terminal in Halifax from current owner, Australia’s Macquarie Infrastructure and Real Assets, for an undisclosed sum. “PSA has finalized an agreement to acquire Halterm Container Terminal in the Port of Halifax, Canada and Penn Terminals in Philadelphia, USA from Macquarie Infrastructure Partners, a fund managed by Macquarie Infrastructure and Real Assets,” confirmed a spokesperson for the Macquarie Group. “This transaction is in the process of securing regulatory approvals from the respective USA and Canadian authorities.” PSA reportedly beat out a joint bid by Canadian National Railway CN) and French carrier CMA CGM, along with another bid from Logistec Corporation of Montreal, and other bidding interests. The Halterm acquisition gives PSA International a base on the North American East Coast with which to compete with other terminal operators. The transaction marks the second major entry of PSA International this year in Canada’s transportation sector. In January, PSA acquired a 60% majority interest in privately-owned Ashcroft Terminal, British Columbia’s largest inland terminal which is undergoing a C$28 million expansion. The latter is served by both CN and CP main railway freight lines and targets cargo with the ports of Vancouver and Prince Rupert.
In recent months, the Macquarie Group has been divesting some of its worldwide assets.The assets are part of the Macquarie Infrastructure Partners funds, which are 10 year closed end funds so as the end of the 10 year period approaches, the assets are put up for sale. Another holding in Canada, Fraser Surrey Docks, a breakbulk facility in British Columbia in the Port of Vancouver, is also said to be up for sale. Container traffic at Halifax (where Ceres also has a box terminal) has been rebounding in the past few years – attaining 550,000 TEUs – thanks to new services notably with Asia and larger ships of more than 10,000 TEU calling at the Nova Scotia port, where CN offers the sole rail connection with Montreal, Toronto and the US Midwest. As a key contribution to the port’s big ship program, Halterm has ordered a super post-Panamax container gantry crane and associated lifting equipment. The new crane, slated for delivery in June 2020, will be added to Halterm’s main berth alongside four existing super post-Panamax units and one Panamax crane. A planned temporary expansion of Halterm will increase berth length to handle two large containerships simultaneously. Various options are under discussion for a second stage, including a second permanent berth with a first phase cost exceeding C$500 million. Source : American Journal of Transportation
May 8, 2019 – The B.C. Maritime Employers Association yesterday provided notification that, over the course of two days, today and Thursday, the International Longshore and Warehouse Union – Canada is planning a strike vote and all Locals have been directed to take a “yes vote.” BCMEA presumes that ILWU – Canada will receive a majority “yes vote” for its strike mandate; however, such an outcome does not mean that the Union will exercise its right to strike.
A strike could occur only if the Union:
· receives a mandate to strike;
· chooses to exercise that mandate within 60 days of obtaining it; and
· provides 72-hour strike notice.
BCMEA remains cautiously optimistic that the two sides will come to an agreement, as the Federal Mediation and Conciliation Service (FMCS) is in the process of scheduling further dates. However, past history indicates that these will be uncertain times until a deal is reached. We will continue to keep our customers informed of this situation and if a strike is ultimately occurring.
May 6, 2019 – Negotiations are continuing between the BCMEA and ILWU to avoid a possible disruption at the Port of Vancouver. Currently, there is a media blackout so news is hard to come by. The latest schedule indicates that Ms. Kathy Peters, the Conciliation officer appointed by the Ministry of Labour, is meeting on May 6 to 10, with Local 514 Ship and Dock Foremen. Progress reports on last week’s meeting with the ILWU union have not been provided. Canaan Transport will continue to update information as it becomes available.
May 1, 2019 – Labour unions went on strike in Argentina on Tuesday, shutting down public transportation in the nation’s capital and forcing hundreds of flights to be canceled. A spokesman for Aerolineas Argentinas said 350 flights were canceled due to the strike.
The protest was scheduled to last one day. We have notified our customers with affected shipments. These will be moved tomorrow as long as space permits.
April 29, 2019 – Since the present Collective Agreements with the International Longshore and Warehouse Union (ILWU) covering the West Coast of Canada expired in March 2018, The British Columbia Maritime Employers Association (BCMEA) and the ILWU Local 514 have been in bargaining with the goal of a renewal agreement. As key issues have remained unresolved, the Minister of Labour appointed Ms. Kathy M. Peters as Conciliation Officer back in February. A 60-day conciliation period was agreed upon, and already expired on April 13th. The parties are now in a 21-day cooling off period that expires on May 4, thereby enabling either party to strike or lock out at 12:01 am on May 5, provided a strike lockout vote was taken and 72 hours’ written notice was given. Meeting dates with ILWU Canada are scheduled from April 29 to May 2; during this period, it continues to be business as usual in all waterfront operations, BCMEA said. The association said it remains “cautiously optimistic” that the parties will achieve renewal agreements with the assistance of The Federal Mediation and Conciliation Service (FMCS) Conciliator in the days ahead. On April 22, CIFFA has written to the Hon. Patricia Hajdu, Canada’s Minister of Employment, Workforce Development and Labour, to express concern on behalf of member firms about the status of negotiations between the BC Maritime Employers Association (BCMEA) and the International Longshore and Warehouse Union (ILWU), which represents longshore workers at B.C. ports, including the Ports of Vancouver and Prince Rupert. The letter notes that, should a work stoppage happen at the Port of Vancouver, it would have far-reaching negative consequences for the Canadian economy and for the workers in many Canadian industries. We will continue to keep our customer’s informed.
April 29, 2019 – Canadian exporters of pork, soybeans, and peas now face additional delays when importing into China as additional trade barriers have suddenly materialized. Previously, Canadian canola shipments were delayed and then then rejected as a result of China’s government quarantine. Although not officially related to the diplomatic dispute between Canada and China over the arrest of a high ranking Huawei executive earlier in 2019, these further delays that are expanding to additional products are causing concern amongst traders in both countries. More news as it develops.
April 22, 2019 – With last week’s suspension of all Jet Airways services as a result of lack of funding, we have been assisting customers who were affected with cargo either tendered or in transit with Jet Airways. The sudden fall of this airline was precipitated by a number of warning signs and as a result, many of our customers were not affected. For customers that have been affected, please e-mail our dedicated recovery team at jetairways as we can rebook your flights on alternate airlines.
April 21, 2019 – Our thoughts and prayers go to the those who lost their lives or were injured in today’s horrific attacks in Sri Lanka.