Maersk to Produce 0.5 percent Sulfur Fuel Blend
As the International Maritime Organization (IMO) sulfur mandate approaches, Maersk is partnering with Royal Vopak, a tank storage firm, to produce a bunker fuel that complies with the IMO sulfur mandate that will go into effect in the beginning of 2020. The mandate will drop the sulfur limit allowed in bunker fuel burned on a marine vessel from 3.5 percent down to 0.5 percent. The mandate forces marine vessels to either use lower-sulfur fuel, install scrubbers to clean the higher-sulfur fuel, or switch to an alternative energy source like liquified natural gas (LNG).
Maersk, with the help from Vopak, will produce their own version of a 0.5 percent sulfur blended fuel. The Rotterdam-based operation will produce and supply about 20 percent of Maersk’s global demand for the cleaner, less sulfur-intensive bunker fuel. They plan to do this by purchasing blend stocks from refiners rather than buying the actual finished products. Vopak plans to convert their Europort terminal to support the operation and will plan to deliver 2.3 million metric tons per year.
Trucking Industry Revenue Topped $700 Billion in 2017
According to the American Trucking Association (ATA), the trucking industry generated $700.3 billion in economic activity in 2017, which is a 3.5 percent increase compared to 2016. These numbers were released in the American Trucking Trends 2018 report. Trucking moved a total of 10.77 billion tons of freight in 2017. The report also showed that trucking accounts for moving 69.1 percent of all trade between the US and Mexico and 57.7 percent of all US-Canada trade. ATA president and CEO Chris Spear said, “trucking is literally the driving force behind our great economy.” Jobs related to trucking employed about 7.7 million people last year, including 3.5 million drivers. The increase in freight year-to-year is mainly supported by strong economic demand.
In Other News
According to new research from the Diesel Technology Forum, Class 3-8 trucks model years 2011 and newer made up 36 percent of all commercial trucks on the road at the end of last year – a jump of 6 percent over 2016 and more than 10 percent higher than 2015.
A.P. Moller Maersk and Royal Vopak announced they will partner to launch a 0.5 percent sulfur bunker supply operation in Rotterdam. Vopak has previously hinted at such engagements in its 1H 2018 earnings call, when the bunker supplier mentioned customer commitments beginning in mid-2019. Also see, Shipping Company Maersk May Produce Own 0.5% Sulfur Bunker Fuel Blend
Chinese buyers of Iranian oil are starting to shift their cargoes to vessels owned by National Iranian Tanker Co (NITC) for nearly all their imports to keep supply flowing amid the re-imposition of economic sanctions by the United States.
The U.S. trucking industry generated $700.3 billion in economic activity in 2017. That represents a 3.5% increase compared with the previous year, when the industry generated $676.2 billion.
Oil exports from the Texas Gulf Coast eclipsed imports for the first time earlier this year as growing U.S. oil production pours into foreign markets and the shale revolution continues to reshape the global energy industry.
The Trump Administration has proposed shifting the regulatory burden of power generation pollution limits to states, thus weakening the Obama administration’s pollution limits on coal-fired power plants. The Environmental Protection Agency’s “Affordable Clean Energy” proposal will give states the flexibility to design their own plans for paring carbon dioxide emissions at power generation sites.
More than a year after it built a large following through its app for drivers, Uber Freight is now turning the spotlight on shippers. The company today announced the launch of Uber Freight for Shippers, a desktop-based app platform that provides direct access to carriers and more transparency into shipments.
The Federal Motor Carrier Safety Administration is moving forward with plans to solicit public comment on current hours-of-service (HOS) regulations. The agency will formally announce its intentions in an Advanced Notice of Proposed Rulemaking (ANPRM) to be published in an upcoming issue of the Federal Register.
The freight brokerage arm of J.B. Hunt Transport Services has created a rewards program for the mobile app used by third-party carriers and independent contractors. The mobile app is designed to help carriers save money, spend more time driving, and have an overall better experience.
Global sales of electric vehicles cracked the 400,000 barriers in the second quarter, rising 77 percent from a year earlier to 411,000, according to a report from Bloomberg NEF. China, with 225,000 units, not only maintained its lead but outsold the rest of the world combined. Europe accounted for 22 percent of EV sales in the quarter, with North America at 19 percent.
Mexican President-elect Andrés Manuel López Obrador will hold off auctioning any new oil blocks for at least two years and plans to modify laws to bolster the dominant role of state oil company Petróleos Mexicanos, according to two people with knowledge of the situation.
Canada’s gas-rich province of Alberta is looking to recreate the building boom spreading along the U.S. Gulf Coast, where inexpensive natural gas generated billions of dollars in investment by petrochemical companies.
As recent industry headlines across the heavy-duty truck market have been dominated by a slew of new electric truck products and record-breaking class 8 truck orders, the previously steady-stream of news about the growing natural gas market has subsided. In spite of the headlines, or lack thereof, the heavy-duty natural gas truck market continues to steadily march forward and mature, and is on track to have one of its best sales years ever.
The United States and China went ahead with tariff hikes on billions of dollars of each other’s automobiles, factory machinery and other goods Aug. 23 in an escalation of a battle over Beijing’s technology policy that companies worry will chill global economic growth.
Saudi Arabia’s planned initial public offering for its state-firm Saudi Arabian Oil Co. had been rumored to be canceled but on Thursday the kingdom dismissed concerns that plan has been called off, The Wall Street Journal reports.
News coming in this week from the ports of LA and Long Beach reveals that the hubs to have bucked the trend by showing a steady decrease in air pollution emissions from port operations – even as cargo volumes kept spiraling up over the year.