AGP Executive Report

Logistics M&A: CMA CGM agreed to buy FedEx Supply Chain for $1.4B, a move expected to nearly triple CEVA Logistics’ North American contract logistics scale and broaden warehousing, fulfillment, and reverse logistics reach. Maritime Security & Trade: The U.S. and 12 Middle East partners pledged to keep commercial shipping flowing through the Strait of Hormuz, with CENTCOM-led talks in Bahrain focusing on defense coordination. EU Trade Rules: The EU rolled out new steel limits and tightened low-value parcel customs rules, ending the long-standing €150 exemption and adding €3 customs charges as Brussels targets China-related trade imbalance. Public Transit Demand: World Cup match days are driving record ridership across U.S. host cities, with agencies adding service, staff, and security to handle surges. Rail Cost Pressure: Finland’s Nurminen Logistics warned Russia’s July 1 rail tariff hikes could cut 2026 net sales by up to €5M, hitting cross-border freight. Tech for Supply Chains: Flipkart appointed Vinay Vaidya as SVP Technology for Supply Chain, pushing AI and platform upgrades across fulfillment and marketplace operations. Infrastructure & Mobility: Canada’s PM Carney announced Western export projects including an Alberta-to-British Columbia oil pipeline and LNG/port expansions to diversify trade routes to Asia. Aviation/Research Partnership: Cape Winelands Airport and Stellenbosch University launched a smart, green development partnership tied to airport expansion and transport/logistics innovation.

Port & Terminal Deals: CMA CGM and ASYAD signed a framework agreement to jointly develop and operate a multipurpose logistics terminal in Sohar, aiming to strengthen Oman’s maritime connectivity and regional trade corridors. Aviation Ground Handling: SAL Logistics Services will provide integrated ground handling and air cargo services for Singapore Airlines at King Khalid International Airport in Riyadh under a renewable agreement. Customs Modernization: ADB approved a $50M policy loan for Nepal to modernise customs via digitalisation and risk-based inspections, targeting lower trade costs and faster border processing. EU Trade Rules: The EU tightened steel safeguards and ended the de minimis exemption for low-value e-commerce parcels, replacing it with a €3 duty for parcels up to €150. Public Transport Payments: Bishkek moved toward cashless fares, reporting 720,000 cashless trips in a day as it boosts transparency and reinvests revenue into transport. Autonomous Robotics Push: China’s drive to move humanoid robots and embodied AI from labs into real workplaces is accelerating factory and logistics deployment at scale. Maritime Risk Watch: Analysts say Strait of Hormuz traffic is gradually rebounding, but shipping should expect volatility rather than an instant freight-rate drop. Logistics Tech & Defense Drones: Quantum Cyber unveiled the PHANTOM-950 long-range autonomous UAS platform in development, while ZenaTech is taking drone-as-a-service and counter-UAS offerings to investor and defense events.

Maritime Security & Labor: Unions and shipping employers are keeping the Strait of Hormuz in a “warlike operations” status until at least July 9, sustaining double pay and refusal/repatriation rights for covered seafarers as indirect US-Iran talks continue in Doha. Shipping Recovery Watch: Traffic is rebounding but remains far below normal—34 ships crossed Tuesday versus about 100 daily pre-conflict—keeping insurers and freight planners cautious. Aviation Costs: IATA says jet fuel and fares won’t snap back quickly after the Hormuz disruption; fuel supply-chain normalization may take months. US Trade Policy: The US won’t renew the USMCA in its current form, moving to annual reviews until the deal expires in 2036, setting up renegotiations that could reshape North American logistics flows. Trucking Market: Truckload and LTL are regaining strength as capacity tightens—carriers regain leverage, while shippers face higher rates and more variability. Public Transit Disruptions: Merrimack Valley Transit bus drivers strike suspends fixed-route service across 16 communities; MARTA warns fare-gate damage and fare evasion are now being met with arrests. Sustainability in Infrastructure: Auckland Transport is trialling recycled-tyre asphalt on Blockhouse Bay Road, using tyre-derived polymer to cut emissions and waste. Logistics Tech & Automation: A smart fulfillment hub in Hungary is running largely robot-operated for high-volume parcel processing, underscoring the push toward automated cross-border warehousing. Tolling Tech Deal: Quarterhill will buy Conduent’s tolling assets for $70M plus stock, aiming to expand intelligent transportation systems and triple tolling revenue.

Autonomous & AI Logistics: Gather AI says drone-powered “physical AI” is giving warehouses real-time, self-verifying visibility to cut disruption and speed recovery. Warehouse Expansion: Craters & Freighters Austin opened a new 15,000-sq-ft warehouse and production site in Buda, Texas, adding capacity for custom crating and specialty logistics. Maritime Security & Trade Lanes: UKMTO reported a merchant vessel hit minor bridge damage after a suspicious armed craft approached off Yemen; separately, Iran-UAE direct cargo shipments resumed via Jebel Ali as routes normalize. Strait of Hormuz Talks: US and Iran held technical talks in Doha on shipping flow and a ceasefire framework, with Iran pushing for control and potential transit fees. EU Trade Rules: The EU rolled out new steel import protections and tighter rules on low-value e-commerce parcels amid a widening China trade imbalance. Green Shipping Fuel Push: Shanghai launched a national green marine fuel certification system and plans for a trading platform to support decarbonization. Freight Tech & Compliance: Intelligent Audit named DeepDetectAI “AI-based Logistics Solution of the Year,” targeting hidden cost drivers and fraud in shipping data. Vehicle Tech: Bahrain is moving to regulate self-driving vehicle testing under a new framework, aiming to attract transport-tech investment.

Aviation Safety: The FAA says some US-registered aircraft will face operating limits in Canada starting July 1 after 5G near airports raised interference concerns for radio altimeters. Labor & Transit: Metro Vancouver bus operators voted down a tentative deal with Coast Mountain Bus, with unions citing safety and workplace concerns; in New York, TWU alleges MTA falsified bus maintenance records. Maritime Disruption: Fiji’s Taveuni faces fuel and food shortages as shipping services are disrupted amid threats of service suspension; UNCTAD warns Strait of Hormuz reopening won’t erase longer-term food and fuel cost impacts. Logistics & Ports: Indonesia approved a merger of seven state logistics firms to cut overlap and lower national logistics costs; Oregon’s Coos Bay won a $25M federal grant to advance a Pacific Coast intermodal container terminal. Trade & Corridors: China-Europe Railway Express is increasingly scheduled and resilient, with Duisport noting daily trains through 2026. Workforce & Compliance: EEOC sued FedEx over alleged discrimination against blind workers and missing accommodation records. Defense & Industry: India’s defense minister said Gujarat could become a major defense manufacturing hub.

Port Investment: MSC will buy a 49% stake in Adani’s Vizhinjam port in Kerala for about $1.4B, backing expansion to 5.7M TEUs by Dec. 2028 and boosting transshipment ambitions. Maritime Disruption Watch: Oman reiterated it opposes Strait of Hormuz transit fees under international law, while UNCTAD warned reopening won’t quickly fix food and transport cost pressures in vulnerable economies. Air Demand: IATA reported May passenger demand down 2.2% y/y, with Middle East carriers still hit, though load factors hit record highs for May. Last-Mile Standards: The National Home Delivery Association launched an Accredited Final Mile Professional program to formalize carrier vetting as legal scrutiny grows. Digital Transport Systems: Malaysia’s LRT3 Shah Alam line gets free-fare support and is expected to cut campus congestion; Kenya’s KRA moves certain vehicle licensing to an automated customs platform from July 1. EV & Fleet Tech: EMO Energy and Revamp Moto plan 5,000 low-speed EVs for India last-mile delivery, starting with 1,000 scooters. Warehouse Costing: Easy Metrics rolled out Targeted Cost to Serve to tie warehouse costs to real workload complexity.

Strait of Hormuz Watch: Renewed US-Iran strikes and navigation disputes are keeping shipping risk elevated, with insurers and war-risk premiums reacting even as some tankers resume limited transits—an energy shock that can ripple into freight costs and inflation for Asia and beyond. Hydrogen Push: Hy-Hybrid Energy and Tianjin Hyvoda Hydrogen signed a strategic partnership to scale methanol-based hydrogen generators and electrolyser systems for the UK/EU, aiming to cut cost and speed deployment. Port & Corridor Deals: Kazakhstan and Georgia formalized a strategic partnership in Astana, including deeper work on the Trans-Caspian “Middle Corridor” with container traffic and digitalization upgrades. Logistics Tech Standards: BuyCo joined DCSA+ to advance interoperable digital standards for container shipping workflows like booking, documentation, and tracking. Maritime Decarbonization: ClassNK and NMRI launched research on corrosion rates for low-temperature, low-pressure liquefied CO₂ cargo tanks—supporting safer CCUS shipping. Regional Transport Funding: Nigeria’s federal government approved N4.34tn financing spanning transport, highways, power, and MSME credit. Transit on the Ground: Guam broke ground on a new Dededo Park & Ride Northern Terminal funded by a US DOT/FTA grant to expand access to education and healthcare routes.

Public Transport Tech Rollout (Malaysia): Malaysia’s Transport Ministry will phase in telematics for commercial vehicles from 2026–2028, starting with voluntary adoption, then building a driver database and centralized telematics data, with any mandatory licensing use only later if systems and readiness are in place. Rail Passenger Experience (Malaysia): LRT3’s Shah Alam Line opened with positive early feedback, while riders asked for better accessibility info for people with disabilities, including Braille signage at key facilities. Air Cargo & Logistics Advisory (US): Cargo Facts Consulting added two senior consultants covering airline cargo, freighter strategy, charter operations, express logistics, and cargo commercialization. Cross-Border Road Freight Digitalization (Kazakhstan/Azerbaijan): Kazakhstan and Azerbaijan will replace paper permits with e-permits for international road freight starting in 2027, exchanging 6,000 e-permits in 2026 ahead of a 28,000 quota for 2027. Supply Chain Disruption (Russia–China trucking): Russia’s diesel shortages are delaying deliveries and raising freight costs on routes to China, with trucking distances and refueling access both worsening. Maritime Network Shift (Global shipping): New analysis says box lines are decentralizing service networks, pushing capacity toward secondary regional ports as mega-hubs hit connectivity limits amid Middle East instability. Aviation Passenger Services (Pakistan): Pakistan Airports Authority and Walee Al-Nazawy launched “Khushaamdeed,” a premium meet-and-assist service at Islamabad International Airport. Cold-Chain Expansion (UK/Ireland): PRM Group broke ground on a £15m chilled and frozen warehousing expansion in Lisburn to add capacity and loading bays for Europe-wide distribution.

US-Iran Shipping Shock: Fresh strikes and counterstrikes around the Strait of Hormuz are again disrupting routing and raising oil-price volatility, with insurers and carriers warning of a “new normal” for operational chaos. Maritime Security & Rates: Tanker and container flows are uneven as some vessels manage transits while others face delays, keeping pressure on freight pricing and risk management. Workforce Crunch: BIMCO/ICS warn the global maritime sector needs about 39,100 more officers now and over 113,000 by 2030, with the officer gap worsening as training lags digital change. Clean Shipping Push: U.S. lawmakers reintroduce the Next Generation Shipping Act to fund next-gen clean shipping tech and port infrastructure. Low-Carbon Fuel Reality Check: Wärtsilä says IMO delays and the lack of carbon pricing make decarbonizing fuels financially hard for carriers. Trade Facilitation in Focus: Pakistan moves Taftan railway station toward land customs status to speed Iran rail freight, while business groups call for broader banking, logistics, and border reforms. Automation & Logistics Tech: LX Pantos highlights supply-chain reconfiguration and tech-driven visibility; separate reporting flags rapid growth in automated material handling and continued AI adoption challenges. Regional Trade Investment: Bangladesh eyes major Chinese investment proposals spanning ports, logistics, and infrastructure, aiming to boost export capacity and jobs.

Middle East Shipping Security: The US launched new strikes on Iranian military facilities near the Strait of Hormuz, after a drone attack on a Panama-flagged tanker, as Iran retaliated with missile and drone strikes on US-linked targets in Bahrain and Kuwait—raising fresh doubts about the fragile ceasefire and the reopening of the shipping corridor. Wildlife & Air Cargo Compliance: Oman Air signed the Buckingham Palace Declaration to join United for Wildlife’s Transport Taskforce, committing to tougher detection and information sharing to curb illegal wildlife trade via air transport. Cold-Chain Automation: Lineage broke ground on a major automated temperature-controlled distribution center in Hutchins, Texas, using TGW Logistics to scale refrigerated and frozen supply for US grocery demand. Warehouse Tech in Europe: TGW Logistics deployed a FlashPick automation system for INTERSPORT at its Saint-Vulbas fulfilment centre to handle seasonal peaks and improve ergonomics. Public Transport Safety: Calgary added 34 transit peace officers ahead of the Calgary Stampede, with expanded patrols and 24/7 CTrain service during the event window. Freight Rail Policy: India’s Railways plans a new wagon design policy in July to speed specialized freight wagon approvals and boost rail’s share in commodity transport. Local Fuel Theft Crackdown: South Africa’s KZN transport employee was arrested in a diesel theft syndicate probe, with officials linking fuel losses to stalled road projects. EV Charging Automation: EVACS unveiled a fully automated, hands-free charging platform aimed at residential garages and commercial fleets. UK Rail Expansion: Cambridge South station opened after a £183m build, adding connectivity for up to 1.8m passengers.

Strait of Hormuz Security: A Panama-flagged crude tanker was hit by a drone near Ras Al Khaimah as Iran and the U.S. trade strikes, pushing the Joint Maritime Information Center threat level back up and raising fresh shipping risk for one of the world’s busiest energy corridors. Defense & Logistics: The U.S. says it bombed Iranian surveillance, comms, air-defense and drone-storage sites in retaliation for attacks on commercial shipping, while Iran counters with strikes tied to U.S. forces. Urban Transit Investment: Harare received approval for a US$3bn light rail PPP to link the CBD with key suburbs, the airport and Mt Hampden, aiming to boost mobility ahead of major trade events. Rail Decarbonization: India’s first hydrogen-powered train completed a 120 kmph speed trial in Haryana, moving closer to passenger service. EV Policy Shift: Delhi’s revised draft would ban new ICE three-wheelers from 2027 and new ICE two-wheelers from 2028, targeting a major share of the city’s vehicle emissions. Port & Maritime Development: India’s ports ministry secretary visited New Mangalore Port Authority, reviewing operations, digital initiatives and expansion plans. Freight Economics: The U.S. goods trade deficit jumped to a 14-month high as import surges reflect supply-chain anxiety. Autonomous Mining: AHS adoption is shifting from “does it work?” to “how much does it save per tonne,” with 2026 benchmarks showing major cost and productivity gains. Public Transport Reliability: OC Transpo reported a software issue that kept some electric buses off the road, triggering weekend garage shuffles. Local Mobility: Senapati district proposed a bus service to connect commuters to Kohima via NH-02.

Strait of Hormuz Disruption: A tanker was hit by an unidentified projectile in the Strait of Hormuz; UKMTO says the bridge was damaged but the crew is safe, while US and Iran trade accusations and strikes that could further strain the fragile ceasefire and shipping recovery. AI for Road Safety: Cyprus is testing AI traffic cameras to detect drivers using mobile phones, with possible legislative follow-up if the pilot works. Port & Corridor Investment: Georgia’s New Sea Port of Poti is moving ahead with a new berth supported by a second US loan, aiming to boost bulk cargo capacity and strengthen Middle Corridor links. Logistics Market Access: Ethiopia opened its logistics sector to full foreign ownership, removing a 49% cap to attract investment and improve supply chains. Digital Start-up Funding: NMB Bank and UNCDF launched a new pathway for Tanzania’s tech start-ups with regulatory support, market access, and mentorship. Innovation Prize: Nigeria’s NSIA opened applications for the $275,000 Prize for Innovation (NPI 4.0), including transport and logistics among eligible sectors. Urban Mobility Politics: Taxi operators in Botswana warned they may surrender permits and move to e-hailing if regulators favor platform-based services. Maritime Safety & Tech: Turkmenistan is accelerating digitalization in oil and gas, using AI and automation to improve logistics and operations. Infrastructure Hope: Kenya’s Dhogoye Bridge project is progressing to restore an all-weather crossing on the Bondo–Usenge–Osieko corridor after recurring flooding cut off communities.

Strait of Hormuz Security & Shipping: The U.S. carried out strikes inside Iran after a drone attack on a cargo ship in the Strait of Hormuz, escalating a corridor that carries a major share of global oil and LNG and is already reshaping tanker rates and insurance costs. Energy Markets: With traffic improving after an interim U.S.-Iran understanding, tanker rates on key routes are falling sharply, while crude benchmarks slide as risk premiums ease. Transit Access: Pace launched VanGo in Illinois—$5-a-day rental vans for commuters to cover first/last-mile gaps from Metra stations within a 13-mile radius. Public Transit Planning: Timmins, Canada, opened a community survey to shape a 20–25 year Timmins Transit master plan, with riders pushing for reliability and better weekend service. Logistics & Infrastructure: SMSA Africa Logistics broke ground on a new Benoni, Gauteng head office, warehouse and workshop to expand contract logistics and cross-border operations. Air Cargo Recognition: Miami International Airport was named North America’s best airport for freight at the AFLAS awards after record cargo growth. Electric Aviation: Hawaiʻi is set for trial routes of an all-electric cargo aircraft from BETA Technologies, aiming to cut inter-island shipping and emergency transport costs.

Maritime Security Shock: Iran struck a Singapore-flagged cargo ship in the Strait of Hormuz, while the UN shipping agency temporarily paused its evacuation plan for vessels and seafarers; Iran also reiterated that safe passage won’t be guaranteed outside Tehran-approved routes, keeping shipping risk elevated. Energy & Markets: Despite the attack, Strait traffic showed signs of recovery, and crude benchmarks slid again as investors weighed easing disruption against renewed geopolitical volatility. Port Automation & Capacity: ICTSI secured a 26-year extension for Melbourne’s Webb Dock East, extending operations to 2066 and pushing capacity upgrades for the automated terminal. Logistics Finance Payments: U.S. Bank teamed with GigSafe to speed and streamline driver payouts via push-to-card workflows for regulated logistics contractor networks. Regional Integration Push: SADC transport ministers in Bulawayo adopted 75 decisions aimed at faster regional integration, with emphasis on implementation, customs modernization, and transit facilitation. Workforce & Transit Stability: A tentative union deal averted a Metro Vancouver transit strike during the FIFA World Cup, covering bus and SeaBus workers. Industrial Real Estate: A logistics operator took a refurbished Irlam warehouse ahead of completion, underscoring continued demand for smaller, ready-to-run space.

Maritime Security & Policy: U.S. Secretary of State Marco Rubio warned Iran’s plan to impose Strait of Hormuz shipping fees could generate up to $40B a year and spread “like a contagion,” as officials push back on any toll-and-services model for the world’s key energy lane. Seafarer Focus: On Day of the Seafarer, IMO and industry groups highlighted how geopolitical disruption is leaving thousands of mariners stranded and exposed, while BIMCO/ICS warned of a looming shortage of STCW-certified officers. Transit Funding: Sound Transit approved about $423.3M in budget amendments to advance Seattle’s West Seattle and Ballard Link extensions. Local Transit Planning: Timmins launched public input for its new Transit Master Plan, seeking feedback from riders and non-riders. Trade & Connectivity: Pakistan and Iran agreed to fully activate a Joint Transport Committee to strengthen road and rail links. Logistics Tech: NAVTOR rolled out Digital Logbooks updates, adding a visitors log and tools aimed at cutting crew workload. Aviation & Space: OmanSat-1 entered final design ahead of manufacturing, while Oman hosted an Advanced Air Mobility forum to move unmanned aviation toward safe operations.

Strait of Hormuz Watch: Trump says Iran won’t impose tolls or other charges on ships, easing fears for one of the world’s busiest energy corridors as transit activity picks up. Airline Consolidation: South Korea’s transport ministry approved Korean Air’s integration with Asiana, clearing the way for a combined carrier launch on Dec. 17 under safety and consumer-convenience conditions. Supply Chain Capacity Building: The World Bank brought 100+ transport and logistics officials to CJ Logistics’ Korean smart fulfillment sites to study how to upgrade logistics and connectivity in developing economies. Logistics Tech for ERP: LG CNS launched PerfectWin ERP Edition, using agentic AI to automate SAP ERP testing for faster, safer go-lives. Cross-Border Trade Friction: FedEx highlights how customs requirements and border delays still dilute AfCFTA benefits for SMEs, especially along key corridors. Regional Air Liberalisation: SADC ministers pushed faster rollout of the Single African Air Transport Market and linked it to AI-enabled, climate-resilient infrastructure. Mobility Platforms: JSW Green Mobility invested in Lithium Urban’s EV and charging mobility platform, targeting enterprise fleet and logistics growth. Automation at Borders: Westwell says its AI-driven autonomous chassis and fleet management system is already deployed at major cross-border land ports.