JUPITER SEA & AIR
SERVICES PVT. LTD, EGMORE – CHENNAI, INDIA.
E-MAIL : Robert.sands@jupiterseaair.co.in Mobile : +91 98407 85202
Corporate News Letter for Friday September 12, 2025
Today’s
Exchange Rates
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CURRENCY▲ |
PRICE |
CHANGE |
%CHANGE |
OPEN |
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88.45 |
0.339996 |
0.385877 |
88.12 |
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1.1685 |
-0.001 |
-0.085511 |
1.1695 |
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119.4145 |
0.105095 |
0.088086 |
119.2355 |
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103.3451 |
0.149101 |
0.144484 |
103.0989 |
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147.926 |
0.465988 |
0.31601 |
147.46 |
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1.3513 |
-0.0016 |
-0.118266 |
1.3529 |
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0.5979 |
-0.0006 |
-0.100257 |
0.5977 |
/// Sea Cargo News ///
Adani’s Kattupalli Port handles record 35,000-tonne soda ash consignment
Adani Ports and Special Economic Zone (APSEZ) has set a new benchmark in bulk cargo handling at its Kattupalli facility near Chennai, successfully discharging a 35,000-metric-tonne consignment of soda ash — the largest of its kind ever received at an Indian port.
The operation underscores Kattupalli’s
emergence as a bulk cargo hub for South India, supported by mechanised handling
systems, warehousing, and multimodal links that connect industries across Tamil
Nadu and neighbouring states.
APSEZ said the record shipment
highlighted both the port’s operational efficiency and its ability to manage
high-volume cargo flows. “The smooth execution demonstrates Kattupalli’s
capability to deliver speed and reliability for customers,” the company noted.
Kattupalli has become a key node in
Adani’s strategy to expand India’s maritime infrastructure and strengthen its
role in global supply chains, the release stated.
VOC
Port becomes first Indian Port to produce Green Hydrogen; Key MoUs signed to
boost maritime growth
Union Minister of Ports, Shipping and
Waterways Sarbananda Sonowal on Saturday inaugurated a state-of-the-art Green
Hydrogen Pilot Plant at V.O. Chidambaranar (VOC) Port, marking a historic
milestone in India’s maritime sector.
Built at a cost of ₹3.87 crore, the
facility has a production capacity of 10 Nm³/hr, making VOC Port the first port
in the country to produce Green Hydrogen. The project is seen as a major step
towards sustainable energy transition and aligns with the Prime Minister’s
vision of achieving Net Zero Emissions.
Alongside the inauguration, a series of
important MoUs were exchanged to pave the way for transformative
growth: With SIPCOT, the Government of Tamil Nadu for the National Mega
Shipbuilding Cluster. With IPRCL for the Rail Connectivity of the Outer
Harbour Project. With NTPC for advancing Green Mobility.
Matarbari deep sea port opens new gateway for South Asia trade
Bangladesh’s ambitious Matarbari Deep Sea
Port project has opened a “new window” in South Asia, enabling mother vessels
to anchor directly at the jetty — a first for the region.
Officials say the facility will
significantly boost trade and connectivity, not just for Bangladesh but also
for India’s northeastern states. The Bangladesh government, with Japanese
financing, is developing the port at Matarbari on Maheskhali Island near Cox’s
Bazar as part of the larger Moheshkhali–Matarbari Integrated Development
Initiative (MIDI).
This mega initiative combines port
infrastructure with power plants, energy terminals, free trade zones, and
industrial hubs to create one of the largest commercial ecosystems in the
country. Currently, a 2,400 MW coal-based power project forms the
backbone of the development, of which 1,200 MW is already operational.
The deep sea channel, originally designed
to bring coal for the plant, has now evolved into a full fledged maritime
gateway. “Initially, this channel was only for the Matarbari Power Plant, but
now a separate Matarbari Deep Sea Port Authority has been set up. By 2030, two
vessels will be able to anchor simultaneously, with unloading completed in just
48 hours,” said Sazzadur Rahman, Manager at CPGCBL, in an interview.
US trade deficit widens sharply in July as imports surge
The US trade deficit widened
significantly in July, driven by a surge in imports of capital goods and
industrial supplies, raising concerns that trade could weigh on economic growth
in the third quarter. The gap jumped 32.5% to $78.3 billion, the Commerce
Department’s Bureau of Economic Analysis reported Thursday,(4 Sep) well above
economists’ expectations of $75.7 billion. Imports rose 5.9% to $358.8 billion,
while exports edged up 0.3% to $280.5 billion.
A surge in industrial supplies and
materials, including a $9.6 billion spike in nonmonetary gold, fuelled the jump
in goods imports, which climbed 6.9% to $283.3 billion. Capital goods imports
also hit a record $96.2 billion, boosted by computers, telecom equipment and
machinery, though semiconductor shipments slipped. Vehicle imports declined
$1.4 billion.
Exports of goods were little changed at
$179.4 billion. A $0.6 billion increase in capital goods shipments, led by
computer accessories and civilian aircraft, offset declines in excavating
machinery and finished metal shapes. Nonmonetary gold exports rose $2.9
billion.
The goods trade deficit widened 21.2% to
$103.9 billion, with the gap with China expanding by $5.3 billion to $14.7
billion. The US also posted large goods trade deficits with Mexico, Vietnam,
the EU, Switzerland, India, South Korea and Japan. In services, imports
rose $1.7 billion to a record $75.5 billion, led by transport, travel and
business services. Exports climbed $0.6 billion to an all-time high of $101.0
billion, lifted by transport, intellectual property charges and government
services. Travel exports fell $0.3 billion amid tighter immigration policies.
The widening gap follows volatile trade
swings linked to former President Donald Trump’s tariff measures, many of which
were ruled illegal by a U.S. appeals court last week. Trade subtracted a record
4.61 percentage points from GDP in the first quarter before rebounding to add
4.95 points in the April–June period. The economy grew at a 3.3% annualized
pace last quarter, and the Atlanta Fed is projecting 3.0% growth in the current
quarter.
US tells countries to reject UN ship fuel emissions deal or face tariffs,
sources say
The Trump administration is looking to boost U.S. economic might, including by taking a bigger role in global shipping, and has used tariffs as a weapon to extract better terms from Washington’s trade partners.
In April, countries struck a draft agreement through the U.N.’s
International Maritime Organization (IMO) that would impose a fee on ships that
breach global carbon emissions standards.
Washington pulled out of the talks in April leading up to the draft
deal, and said in August it would retaliate against countries that supported
the accord. It has argued the measures would place unnecessary burdens on the
shipping industry, and would be of little help to reduce emissions.
The U.S. State Department has reached out to other IMO member countries
in recent days warning them not to adopt the so-called “Net-Zero Framework”,
according to four sources, who declined to be identified due to the sensitivity
of the matter.
A State Department spokesperson said the U.S. was “actively exploring
and preparing to act on remedies including tariffs, visa restrictions, and/or
port levies should this effort succeed in the October IMO extraordinary session
vote”.
The department will be engaging “our partners and allies” to propose
they take similar measures, the spokesperson said, but would not comment on
“private diplomatic discussions with other countries”. The Dutch
government received a verbal warning from representatives of the U.S.
government, who said the Netherlands could face tariffs or other retaliatory
measures if it supported the adoption of the framework, a spokesperson for the
Dutch ministry of infrastructure and water management said.
It was unclear which other IMO countries had been approached by
Washington…“The upcoming (IMO) session in October provides the appropriate
platform to address any concerns from member states ahead of the adoption
process,” an IMO spokesperson said. The initial deal was passed by 63 states,
with 16 voting no and 24 abstentions. A majority will be required for adoption
if it goes to a vote, and sources said it was unclear if it could pass if more
countries abstained.
World’s largest cruise ship sets sail
The world’s largest cruise ship has
officially embarked on its maiden voyage. Royal Caribbean’s Star of the
Seas departed from Port Canaveral, Florida, on August 31, carrying
more than 5,000 passengers across 20 decks.
A sister ship to the Icon of the
Seas, the Star is designed as a floating city, divided
into eight neighbourhoods featuring 40 bars and restaurants, a lush park with
30,500 plants, and seven pools—including a 12-metre surf simulator.
It also hosts Category 6, the
largest waterpark at sea, boasting six record-setting slides, such as the
tallest drop slide, the first open free-fall waterslide, and two raft
slides...Guests can also enjoy a music hall, casino, fitness centre, Starbucks
café, spa, and even an escape room.
The seven-night journey will include
stops in the Caribbean and the Bahamas, with ticket prices starting at
£745.
YEIDA clears logistics and warehousing hub near Jewar Airport
The Yamuna
Expressway Industrial Development Authority (YEIDA) has approved the
development of a logistics and warehousing hub in Sector 8-F, located close to
the upcoming Noida International Airport in Jewar. The decision was taken at a
recent board meeting.
Officials
said cargo demand is expected to surge once the airport becomes operational
later this year. A consultant will soon be appointed to study market demand,
determine plot sizes, and prepare a layout plan for the new hub, along with
recommendations for infrastructure and future expansion. “Sector-8F is
very close to the airport, so goods can be stored here and moved quickly to the
terminal,” a YEIDA official said.
The move
comes alongside the construction of a multi-modal cargo hub inside the airport
complex. Spread across 87 acres, the AISATS-led facility will initially handle
2.5 lakh tonnes of cargo annually.
YEIDA is
also advancing other major logistics projects, including a 364 acre
state-of-the-art park at the Tappal-Bajna Urban Centre, to be developed in 3
phases at a cost of Rs.1000 crore. The park will feature cold storage units,
silos, open yards and a dedicated container freight station.
Air cargo grows again in August but outlook remains uncertain
Photo: Aun
Photographer/ShutterstockAir cargo
continued to beat expectations in August as volumes grew again, but the outlook
for the remainder of the year remains uncertain.
The latest
figures from data provider Xeneta show that air cargo demand increased by a
“surprise” 5% year on year in August - the second month in a row demand has
grown at this level.
Xeneta
said the increase in demand is likely to reflect modal shift as businesses look
to move goods quickly by air rather than sea to avoid the potential impact of
tariffs.
Capacity,
meanwhile, increased by 4%year on year in August and the dynamic load factor
was down slightly at 56%. It wasn’t all good news for air cargo - the average
spot rate for the month declined by 3% year on year to $2.55 per kg.
Xenata
said that airfreight spot rate performance was probably a better indicator of
the underlying economic conditions than airfreight volumes.
“Air cargo’s higher demand remains the result of modal shift we saw in July, with a bit of support from e-commerce. It is not an indicator of increased economic activity. It’s just that airfreight is getting a bigger share,” said Xeneta’s chief airfreight officer, Niall van de Wouw.
“Many
shippers looking to lessen the impact of tariffs just do not know how the
market will look in 3-4 weeks’ time because of the lack of clarity.
”Consequently,
I think more businesses are deciding to take a hit and move their products by
air - but this good news for the air cargo market remains under constant
review. Overall, it’s hard to see where strong, sustainable airfreight growth
will come from.”
He added:
"Because of all the uncertainty, the hurt for airfreight has been softened
and delayed. But, for how much longer is anyone’s guess."
The
decline in spot prices may be even steeper once currency effects are included,
Xeneta said, with the dollar having lost 4% against other currencies over the
past year.
On the
other hand, a 7% fall in jet fuel prices may have helped protect carriers’
bottom line to some extent.
Xeneta
figures show that air cargo spot rates from Southeast Asia to North America and
Europe were down 20% year on year to $4.80 per kg and $3.05 per kg,
respectively, as capacity constraints eased.
”North
East Asia to North America routes fared somewhat better, with rates down 8%
year on year and remaining stable compared with July. Delicate capacity
management narrowed the pricing gap with Southeast Asia to less than five
cents, settling at $4.76 per kg," Xeneta said.
North East
Asia to Europe spot rates were steady compared with last year at $4.01 per kg
and were down 4% on July levels.
"But this is at the cost of backhaul prices, which showed a 13% year-on-year decline due to continued trade imbalance," Xeneta said.
Spot rates
on the transatlantic increased 5% year on year to $1.82 per kg, although volume
and rate performance on the trade weakened as the month progressed.
"Seasonal
holiday slowdowns in Europe and the fading effect of frontloading - previously
spurred by extended Trump tariff deadlines - played their part in the lower
demand," Xeneta said.
Looking
ahead, the US decision to end the de minimis exemption for low-value e-commerce
goods at the end of August is likely to impact markets from Canada, the UK and
Mexico while Purchasing Managers’ indices in the big exporting economies
fell in August, and American consumer sentiment also softened, Xeneta said.
“A lot of
people think of de minimis as being about B2C, but the de minimis changes now
in effect are also a big thing for B2B into the US and we are already seeing
some SME businesses reacting to, and challenging, this impact,” van de Wouw
said. “The starting point for closing the de minimis threshold was mainly
politically motivated against the big Chinese e-commerce platforms.
"But
the widening of this legislation is levelling the playing field again for all
e-commerce shipments entering the US, and I would now expect to see lower
e-commerce volumes moving by air from Europe to the US. If anything, observers
suggest this will now benefit China because of its lower production cost base.
“So, I see
this having a bigger impact on B2B business and less on B2C. It adds another
barrier of administrative procedures and cost to the supply chain,” he stated.
US postal volumes plummet following de minimis suspension
William
Potter/Shutterstock.comPostal
volumes being transported to US - largely by airfreight - have dropped by more
than 80% following the country’s suspension of the duty-free de minimis
exemption.
The
US suspended de minimis globally on 29 August, following the end of the exemption for China and Hong Kong at
the start of May.
The
exemption had allowed e-commerce platforms to fly packages worth less than $800
into the country without paying any import fees, resulting in a boom in online
sales in recent years.
The
Universal Postal Union (UPU) said new rules placed the burden of customs duty
collection and remittance on transportation carriers or US Customs and Border
Protection (CBP) agency-approved qualified parties.
“Carriers,
such as airlines, signalled they were unwilling or unable to bear this
responsibility and postal operators had not yet established a link to the list
of CBP qualified parties, causing major operational disruptions,” the UPU said.
Following
the suspension, more than 88 postal operators have now suspended some or all
postal services to the US until a solution is implemented.
In an
update issued this weekend, the UPU said it had deployed a tool that would help
postal operators calculate and collect duties.
As of 5
September, postal operators can access a landed-cost calculator via an
application programming interface (API) that can be plugged into their retail
and counter solutions. The solution enables posts to calculate and collect the
required duties from customers at origin.
The UPU’s
Delivered Duty Paid (DDP) solution will also soon be integrated in its Customs
Declaration System (CDS) platform, allowing a gradual roll-out by the 176
postal operators using this platform.
Solutions
to transfer the required data and to remit the amounts to the qualified third
party will also be provided, and posts will have at their disposal all the
necessary technological tools to keep the mail moving. The UPU will support
postal operators with the roll out of this complete solution, including
adapting their internal procedures and training postal staff.
“The UPU
has in its mission the responsibility to guarantee the free circulation of
postal items over a single postal territory. We’re working to uphold that
responsibility with the rapid development of a new technical solution that will
help get mail moving to the United States again,” said UPU director general
Masahiko Metoki.
Under the
postal network exception, goods shipped through the postal system will face one
of two duty types:
·
Ad valorem duty: A tariff based on the
package’s value, calculated using the tariff rate for the country of origin
under the International Emergency Economic Powers Act (IEEPA).
·
Specific duty: A flat rate of $80 - $200
per item, also based on the effective IEEPA tariff rate applicable to the
country of origin of the product.
The
specific duty option will be available for six months, after which
all applicable shipments must comply with the ad valorem duty
methodology.
Low-value
goods shipped through means other than the international postal system will be
subject to all applicable duties immediately.
FAA imposes penalties after lithium-ion batteries catch fire during air transport
Photo:
ShutterstockRecent
fires involving lithium-ion batteries shipped via cargo aircraft highlight
risks posed by such shipments and prompted the Federal Aviation Administration
to dish out fines to three companies.
The agency
disclosed the fines on 5 September, saying the companies violated hazardous
material regulations. Two of the firms shipped packages that were carried by US
express shipment airlines and that caught fire.
“The
package was emitting smoke and smelled of burning. Inspection of the contents
revealed a fire had occurred, and three of the batteries had melted together,”
the FAA says of an 8 August 2024 incident involving a shipment of 25
lithium-ion batteries for mobile phones.
A Virginia
company called Mobilesentrix had shipped the batteries via FedEx but failed to
package them properly or to declare the shipment as hazardous, according to the
agency. The FAA does not say when the fire occurred during the journey.
Mobilesentrix,
which describes itself as a wholesale supplier of cell phone parts, also
improperly shipped lithium-ion batteries via FedEx twice in September last year
and once in November, the FAA adds. “None of the shipments were properly
classed, described, packaged, marked, labelled or in the proper condition for
shipment.”
The
regulator proposes fining Mobilesentrix $170,000 and says the company has asked
to discuss the case with the FAA.
Similarly,
lithium-ion batteries shipped by South Korean firm LG Energy Solution to Los
Angeles on 4 January 2024 caught fire, the FAA says. “FedEx personnel
discovered the shipment when it emitted heat, smoke, ember and flames in its
sorting facility in Irvine, California. One or more of the lithium-ion
batteries were charred and melted.”
The agency
proposes a $60,000 fine against LG Energy for not declaring the shipment as
hazardous and for improper packaging and labelling.
The FAA
also proposes fining Mokwheel E-Bikes $74,250 for allegedly violating hazardous
materials requirements when shipping lithium-ion batteries to Shenzhen, China
via UPS in December 2023. That company is based in California, according to its
website.
Mokwheel
did not properly declare the shipment and failed to ensure its workers had
completed hazardous materials training, the FAA says. “UPS personnel discovered
the shipment at the company’s sorting facility in Anchorage.”
This article first appeared on Air Cargo News sister title Flight Global.
Chinese airfreight market faces
structural change
Source:
Supakitswn/Shutterstock.comThe
Chinese airfreight market is shifting away from the US in favour of Europe as a
result of Washington’s imposition of new trade and tariff policies, according
to WorldACD.
The latest
figures from the data provider show that in August, cargo volumes from China
and Hong Kong to the US were down 5% year on year. In contrast, volumes from
China and Hong Kong to Europe increased by 11% on last year’s levels during the
month.
"The
full-month figures for August highlight what appears to be a structural change
of outbound air cargo trade flows from China and Hong Kong," WorldACD said
in its monthly market round-up.
"Those
figures back up anecdotal reports from multiple sources of freighter capacity
being shifted from China/HK-US markets to other markets, and particularly to
China/HK-Europe destinations, in response to the changes in US ‘de minimis’
rules for China/HK, and higher tariffs."
WorldACD
On a
global basis, air cargo tonnages in August increased by 3% year on year, while
worldwide rates were 3% down on a year ago.
"Compared
with last year, tonnages in August from Europe, North America and Middle
East/South Asia (MESA) origins were all flat year on year, but there were year
on year increases of 7% from Asia Pacific origins and 3% from Central and South
America," WorldACD said.
Spot rates
from China and Hong Kong to the US are down 9% compared with last year, while
to Europe prices are stable compared with a year ago.
"It’s
worth noting that despite the considerable geopolitical and trade uncertainty
and volatility this year, worldwide chargeable weight and tonnages from Asia
Pacific origins specifically, have continued to show year-on-year growth in
every calendar month throughout 2025, continuing a pattern of worldwide demand
growth seen in 2024, although at a much slower pace.
"On a
year-to-date basis, volumes increased 3% worldwide and 7% for ex-Asia Pacific
year on year, whereas in the same period last year, the year-to-date growth
stood at 12% and 18%, respectively."
While
demand has continued to rise this year, rates have been trending downwards
since May, although for the year to date, prices are up 1% on last year, thanks
to improvements in the opening months.
Looking
ahead, trade with the US is expected to continue to change as the year
progresses.
"Although
the picture for US import tariffs has become clearer in recent months for many
countries, particularly those that have negotiated new terms with the US, two
major new US announcements in recent weeks seem likely to have significant
implications for air cargo flows in the coming weeks and months: the imposition
of 50% tariffs on US imports from India, and the removal of US ‘de minimis’
exemptions for imports from all countries, not just imports from China and Hong
Kong," the anaylst said.
I hope you have
enjoyed reading the above news letter.
Robert Sands
Joint Managing Director
Jupiter Sea & Air Services Pvt Ltd
Casa Blanca, 3rd Floor
11, Casa Major Road, Egmore
Chennai – 600 008. India.
GST Number : 33AAACJ2686E1ZS.
Tel : + 91 44 2819 0171 / 3734 / 4041
Fax : + 91 44 2819 0735
Mobile : + 91 98407 85202
E-mail : robert.sands@jupiterseaair.co.in
Website : www.jupiterseaair.com 1Branches : Chennai, Bangalore,
Mumbai, Coimbatore, Tirupur and Tuticorin.
Associate Offices : New Delhi, Kolkatta, Cochin &
Hyderabad.
Thanks to : Container News, Indian Seatrade, Cargo Forwarder Global & Air Cargo News.
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