JUPITER SEA & AIR
SERVICES PVT. LTD, EGMORE – CHENNAI, INDIA.
E-MAIL : Robert.sands@jupiterseaair.co.in Mobile : +91 98407 85202
Corporate News
Letter for Tuesday February
24, 2025
Today’s Exchange Rates
|
CURRENCY▲ |
PRICE |
CHANGE |
%CHANGE |
OPEN |
PREV.CLOSE |
DAY's LOW-HIGH |
|
90.8775 |
0.112495 |
0.123635 |
90.76 |
90.99 |
90.675- 90.8975 |
|
|
1.1805 |
0.0021 |
0.178207 |
1.1784 |
1.1784 |
1.1782- 1.1835 |
|
|
122.7991 |
0.252602 |
0.206127 |
122.6412 |
122.5465 |
122.5584- 122.8544 |
|
|
107.2999 |
0.230392 |
0.21518 |
107.2662 |
107.0695 |
107.1681- 107.4142 |
|
|
154.75 |
-0.300003 |
-0.193488 |
154.96 |
155.05 |
153.998- 154.951 |
|
|
1.3507 |
0.0027 |
0.200295 |
1.3486 |
1.348 |
1.3482- 1.3535 |
|
|
97.581 |
-0.214996 |
-0.219842 |
97.698 |
97.796 |
97.355- 97.705 |
|
|
0.5871 |
0.0011 |
0.187714 |
0.5873 |
0.586 |
0.587- 0.5906 |
/// Sea Cargo News ///
ZIM
workers intensity strike over US$ 4.2 Billion Hapag Lloyd sale
According to Calcalist, labour unrest at Zim
Integrated Shipping Services escalated over the weekend as workers sharply
reduced port operations and barred Chairman Yair Seroussi from company
facilities. The action is in protest of the planned US$ 4.2 Billion sale to
Hapag Lloyd.
The Union announced last wee it would halve
exceptional operations, including the unloading of ships carrying agricultural
goods. Facilities affected include Haifa, Holon and Ashdod. Although the reduction had been planned
earlier, its implementation was postponed until now.
On Sunday, the Knesset Economics Committee
debated the sale at the initiative of MK Oded Forer. In the previous month, the
Union met with Ministers Nir Barkat, Dudi Amsalem, Avl Dichter, Gila Gamliel
and opposition lawmakers to discuss the issue.
India
will surpass Germany in global ranking in 2 years: Min Piyush Goyal
Union Minister Piyush Goyal stated that the
growth reflects structural transformation since 2014, driven by reforms in
taxation, logistics, manufacturing, digital infrastructure, compliance
reduction and ease of doing business.
Union Minister of Commerce and Industry
Piyush Goyal said that India is on track to surpass Germany to become world’s
third largest economy in two years owing to the initiatives taken by the
government to improve its logistics and manufacturing capabilities.
Addressing the Plenary Session of the
India–Brazil Business Forum, Goyal said that India is actively promoting
outward investment and that Free Trade Agreements will play a critical role.
“India is on track to surpass Germany within
the next two years to become the world’s third-largest economy. This growth
reflects structural transformation since 2014, driven by reforms in taxation,
logistics, manufacturing, digital infrastructure, compliance reduction and ease
of doing business,” Goyal said.
Collaborations playing a key role
Goyal emphasised the broader dimensions of
the partnership, including South-South cooperation and collaboration under
BRICS, IBSA, the G20 and the World Trade Organization (WTO). He expressed
confidence in the bright future of bilateral ties.
Referring to India’s trade strategy, the
Minister highlighted India’s emergence as a trusted and reliable destination
for global business and investment, attracting nearly USD 80 billion in foreign
direct investment in financial year 2025, the highest ever in a single year. He
stated that India has recently concluded a series of high-quality Free Trade
Agreements and is actively negotiating several more.
“With these agreements, India now enjoys
preferential access to nearly two-thirds of global trade. The terms of
reference have been finalised with Israel and the Gulf Cooperation Council
(GCC), discussions have been launched with Canada, and negotiations are
expected to commence in the near future,” he said.
He underlined the importance of the MERCOSUR
region and stated that India is working to expand the India–MERCOSUR
Preferential Trade Agreement to enhance market access, promote investments,
foster technology partnerships and strengthen engagement in sports, education
and culture.
These engagement comes at a time when both
economies are experiencing renewed momentum. He stated that India is currently
the world’s fastest-growing major economy, with real GDP growth in the second
quarter exceeding 8 per cent.
“India is actively promoting outward
investment and Free Trade Agreements will play a critical role in enabling
Indian industry to expand both domestically and internationally,” the Minister
added.
India-Brazil ties
Goyal also called for ambitious India-Brazil
trade surge beyond USD 15 billion, deeper ties in defence, renewables, pharma
and emerging tech. “The current level of growth is suboptimal and there is a
need for greater ambition in further strengthening economic engagement between
the two countries,” he added.
Referring to higher benchmarks set by
President Luiz Inácio Lula da Silva and Prime Minister Narendra Modi, he
expressed confidence that both nations can grow faster, grow bigger and grow
together for shared prosperity.
Highlighting the India–Brazil partnership,
the Minister described the two countries as natural partners, bound by
democracy, diversity and shared aspirations for development.
“The relationship has evolved into a strong
and multifaceted strategic partnership driven by people-to-people ties and
expanding cooperation across sectors.
Brazil
is India’s largest trading partner in the Latin America and Caribbean region,
with bilateral engagement deepening in defence, energy, agriculture and
agrochemicals,” Goyal added.
He further stated that India and Brazil together have the potential to reshape global value chains through resources, innovation and a forward-looking vision, and invited Brazilian companies to partner with India in co-creating jobs, adding value and leveraging technology.
BUILT
TO LAST: Inside Harley Davidson’s Evolving Supply Chain
From hand-built engines and just-in-time
inventory to electrification and global sourcing, Harley-Davidson’s supply
chain is revving up for a future that balances heritage with transformation.
For more than 120 years, Harley-Davidson has been
synonymous with American manufacturing grit—hand-built
engines, steel frames, and a fiercely loyal customer base that values
authenticity as much as horsepower. But behind the roar of its iconic V-twin
engines lies a carefully orchestrated supply chain that blends tradition with
modern manufacturing discipline.
From just-in-time
inventory systems
to advanced automation and a growing global footprint, Harley-Davidson’s supply
chain has become a strategic lever as the company adapts to changing markets,
new technologies, and shifting customer expectations.
From Backyard Shed to Global Network
William Harley and brothers Arthur, Walter,
and William Davidson founded the company in Milwaukee in 1903, with
headquarters in a modest 10- by15-foot wooden shed. Early
experimentation—modifying a bicycle with a small engine—quickly gave way to
innovation, racing credibility, and a reputation for durability and
craftsmanship.
That legacy still shapes Harley-Davidson’s
operations today. The original factory site remains the company’s headquarters,
a symbolic reminder that manufacturing is central to the brand’s identity—even
as its supply chain has expanded far beyond Wisconsin.
Manufacturing as a Brand Promise
“Made in America” is more than a marketing
slogan for Harley-Davidson—it is a core supply chain principle. The company’s
largest U.S.
manufacturing facilities anchor production of its most iconic models.
The York, Pennsylvania, plant spans more than
1.5 million square feet and produces Sportster, Softail, Touring,
and Custom Vehicle Operations (CVO) motorcycles. The facility is organized by
process, with dedicated areas for welding, painting, finishing, and component
manufacturing. A fully equipped machine shop uses CNC technology to produce precision
parts tailored to individual models.
Harley-Davidson assembles its signature Big
Twin engines in Menomonee Falls, Wisconsin. Unlike fully
automated engine
lines common in other industries, these engines are largely assembled by hand,
allowing technicians to maintain tight tolerances and quality standards that
customers expect from a premium motorcycle brand.
This deliberate balance between automation and craftsmanship is a defining
feature of Harley-Davidson’s manufacturing strategy.
Advanced Manufacturing
on the Factory Floor
To remain competitive, Harley-Davidson has
steadily modernized its production operations. At the York facility, the
company employs technologies such as laser cutting, robotics, and 3D printing to
produce frames, fenders, exhaust systems, and wheels quickly and with
consistency.
Robots handle repetitive or hazardous tasks,
which improves worker safety and production efficiency. Skilled employees focus
on complex assembly steps and quality checks that require judgment and
experience—an approach that preserves flexibility while improving throughput.
This hybrid manufacturing model enables
faster time to market and allows the company to respond more quickly to changes
in demand without sacrificing quality.
Just-in-Time Inventory, Harley Style
Harley-Davidson has long embraced
just-in-time (JIT) inventory management to reduce excess stock and align
production closely with dealer demand. Its pull-based production system limits
overproduction and minimizes waste, supporting both cost control and product
quality.
The company refined its inventory strategy
further in 2020 by intentionally reducing production volume to curb
discounting. The goal: to preserve brand value and pricing integrity.
By producing fewer motorcycles and focusing
on full-price sales, Harley-Davidson positioned its supply chain as a
value-protection mechanism rather than simply a cost center—a shift that
reflects broader changes in how manufacturers view inventory management.
Quality Control as a Competitive Advantage
Few products are as emotionally driven—or as
scrutinized—as motorcycles. Harley-Davidson’s quality
control processes
are designed to protect that emotional connection.
At the York plant, every motorcycle passes
through multiple inspection stages. Components are individually checked,
assemblies are verified against strict specifications, and finished motorcycles
undergo test rides to ensure performance, safety, and ride quality.
This rigorous approach not only ensures
regulatory compliance but also reduces rework, warranty claims, and downstream
disruptions—key benefits in a tightly coordinated supply chain.
Navigating Market Headwinds
Despite operational strengths,
Harley-Davidson faces significant challenges. Global motorcycle sales declined
to 151,229 units in 2024, generating $5.19 billion in revenue—a 7%
year-over-year drop attributed largely to high interest rates and economic uncertainty.
At the same time, the brand’s traditional
image resonates less with younger buyers, putting pressure on product strategy
and, by extension, the supply chain that supports it.
Electrification and the Supply Chain Shift
Electrification represents one of
Harley-Davidson’s most consequential supply chain transitions. Through its LiveWire subsidiary, the
company has entered the electric motorcycle market with models such as the S2
Del Mar, S2 Mulholland, and S2 Alpinista.
While LiveWire operates independently,
Harley-Davidson leadership has been clear about its long-term direction. CEO
Jochen Zeitz has stated that full electrification is inevitable—though gradual.
Earlier this year, LiveWire introduced
electric patrol motorcycles for police departments, manufactured at
Harley-Davidson’s Pennsylvania facility. These bikes offer lower heat output,
minimal vibration, and improved maneuverability—features well suited for urban
and event security use.
Electrification introduces new
supply chain complexities, from battery sourcing and thermal management to new
supplier relationships and production processes—marking a fundamental shift
from Harley-Davidson’s traditional engine-centric operations.
Global Footprint, Local Tensions
To increase capacity and serve international
markets more efficiently, Harley-Davidson has expanded production in Thailand,
including plans to manufacture Pan America, Sportster, and Nightster models
there. The move sparked backlash from labor groups and “Made in America”
advocates.
The company has responded by emphasizing that
it will continue to design and primarily manufacture its most iconic models in
the United States, while overseas production supports global
growth and
operational flexibility.
Simultaneously, Harley-Davidson announced a
$9-million investment in its U.S. facilities, reinforcing domestic capabilities
for core products.
A Supply Chain in Transition
Harley-Davidson’s supply chain today reflects
a company balancing heritage with transformation. Advanced manufacturing,
disciplined inventory management, electrification, and selective offshoring are
reshaping how—and where—its motorcycles are built.
For a brand defined by the past, the future
will depend on how effectively its supply chain supports innovation without
eroding authenticity. As Harley-Davidson navigates shifting markets and
technologies, one thing remains clear: The road ahead will be paved as much by
supply chain strategy as by steel and chrome.
10 Supply Chain Facts About Harley-Davidson
1. Manufacturing is a brand strategy.
Harley-Davidson’s supply chain is designed to
reinforce its “Made in America” identity, with core production anchored in U.S.
facilities.
2. York, Pennsylvania is a production hub.
The company’s York facility manufactures
several major motorcycle platforms and integrates welding, painting, finishing,
and machining under one roof.
3. The company builds its engines by hand.
Harley-Davidson’s Big Twin engines are
assembled in Wisconsin with a high degree of manual labour to maintain tight
tolerances and consistent quality.
4. Automation supports—not
replaces—craftsmanship.
Robotics and advanced manufacturing handle
repetitive and hazardous tasks, while skilled workers focus on complex assembly
and quality checks.
5. Just-in-time drives efficiency.
Harley-Davidson relies on a pull-based,
just-in-time inventory model to reduce excess stock and improve production
flow.
6. Inventory protects brand value.
The company deliberately reduced production
to limit discounting, using supply discipline to preserve pricing power and
desirability.
7. Every bike is quality-verified.
Multi-stage inspections and test rides are
built directly into the production process, reducing downstream disruptions.
8. Electrification changes the supplier mix.
LiveWire electric motorcycles introduce new
supply chain requirements, including battery sourcing and electronics
integration.
9. Global production increases flexibility.
Facilities in Brazil and Thailand support
international markets and help balance capacity across regions.
10. U.S. investment continues alongside
offshoring.
Even as some models move overseas,
Harley-Davidson continues to invest in domestic facilities to support its most
iconic products.
Hapag Lloyd confirms acquisition talks with ZIM
The Management Board of Hapag Lloyd
confirms that it is in advanced talks to acquire all shares of ZIM
Integrated Shipping Services.
No binding agreement has been signed yet.
Both Hapag Lloyd’s Manage-ment Board and Supervisory Board still need to
approve the transaction.
The deals also requires approval from ZIM’s
corporate bodies and shareholders. In addition, the State of Israel must its
consent due to special rights in ZIM’s articles of association.
Hapag Lloyd is in advanced discussions with
FIMI Opportunity Funds to take over these special obligations. The transaction
will also need regulatory approvals before completion.
According to Calcalist, Hapag Lloyd has won a
six-month tender process and agreed to acquire ZIM together with FIMI, Israel’s
largest private equity fund. The two partners plan to buy 100% of ZIM for a
deal valued at more than $3.5 billion.
The transaction will lead to ZIM’s delisting
from the New York Stock Exchange, where it has traded since its 20221 IPO.
Calcalist reports that Hapag Lloyd and FIMI will split ZIM’s global and
strategic assets to comply with the Israeli state’s “golden share”
requirements.
Update : According to worker’s union, the company’s
management is offering to retain only 120 local employees. “It means that 880
employees are at risk of being laid off”, said Union Head Oren Caspi. “The loss
making activity will remain in Israel, while the profitable routes will go to
Hapag Lloyd”.
ZIM workers have begun an immediate strike
after Calcalist revealed on Sunday morning that the German shipping company
Hapag Lloyd and the FIMI fund won the tender to acquire ZIM for more than USD
3.5 Billion. Employees were instructed to stop Wlng orking immediately and
return home until further notice.
PIL’s
ota Odyssey makes maiden Red Sea call
PIL operates a regional office in Saudi Arabia. The company said strong partnerships and operational excellence enable it to support customers with cleaner shipping solutions while strengthening regional connectivity.
The Kota Odyssey is part of PIL’s efforts to
reduce emissions through LNG powered vessels. LNG fuel produces lower
greenhouse gas emissions compared to conventional marine fuels.
The
Port of Riga remains fully operational
The Port of Riga remains fully operational and safe for navigation, with no traffic restrictions currently in effect. Despite the onset of the ice navigate season, vessel traffic at the Port of Riga remains unrestricted. The port is fully safe for navigation, with no limitations currently in effect.
Seven tugboats from two different companies
operate within the port waters, three of which are ice-class vessels. Port
clients may select their preferred tugboat service provider based on safety and
reliability. Further more, the multifunctional ice-class vessel LAURA, acquired
last year by LVR Flote, is actively providing icebreaking services in the port
water area.
The Freeport of Riga Authority maintains
winter navigation not only within the port’s aquatorium but also, where
feasible, along the fairway from the port to the Irbe strait. A key strategic
priority for the Freeport of Riga Authority is to ensure the port’s
uninterrupted operation and the safe passage of vessels.
Icebreaking in the Gulf of Riga is
spearheaded by the Ice breaker VARMA. Following an order from the Harbour
Master last week, the VARMA was deployed to the Gulf of Riga to support vessels
at Sea, clearing ice and securing transit routes to and from the port.
The icebreaker VARMA is currently managing
navigation in the Gulf of Riga, adapting its operations to shifting ice and
meteorological conditions. Currently, sea ice in the bay averages 15-35 cm in
thickness; however, wind driven pressure is causing significant ice ridging and
stacking in several areas.
The icebreaker VARMA is powered by a
diesel-electric propulsion system featuring four main engines (4x2541 kW),
delivering a total output of 10,164 kW equivalent to approximately 13,819
horsepower. Five auxiliary engines, with
a combined capacity of 1,642 kW, support the vessel’s internal systems.
The 84.1 meter long ship features a
reinforced steel hull and four propellers specifically designed for
icebreaking. The icebreaker clears transit routes by driving its mass onto the
ice field to fracture it, effectively opening a channel for other vessels.
Fresh
flowers flying greener this Valentine’s season
South America’s flower business hits a climax
every February – no surprise there, given that it is the month wherein
Valentine’s Day is celebrated. This year’s Valentine’s Day flower air cargo
peak from Latin America to North America exemplified both logistical scale
(Avianca Cargo and LATAM Cargo) and accelerating sustainability efforts (joint
effort between LATAM Cargo Colombia, Kuehne+Nagel, and The Elite Flower), with
record volumes and pioneering emissions cuts via Sustainable Aviation Fuel
(SAF).
Flown using SAF enables a cleaner footprint. Image: LATAM Cargo
LATAM Cargo Colombia, alongside Kuehne+Nagel
and The Elite Flower, scaled its multi-year SAF collaboration to one of its
largest deployments yet, allocating over 130,800 liters of SAF on the
Bogotá–Miami route. This achieved a lifecycle emissions reduction of about 75%
versus conventional jet fuel, avoiding nearly 300 metric tons of CO₂e. That is
equivalent to eight B767 freighter flights or the transport of 470 metric tons
of flowers (over 10 million stems). Implemented during the sector’s busiest
export window, this marked the third straight year of such chain-of-custody
initiatives, using Neste MY SAF™ from waste animal fats under a ‘Book and
Claim’ model.
SAF collaboration deepens
Partnership is key to embedding decarbonization without sacrificing speed for
perishables. Cristina Oñate VP of Sustainability and Product at LATAM Cargo
Group, highlighted how SAF integrates emissions management with airfreight’s
reliability: “This agreement is rooted in a shared conviction: managing
aviation industry emissions requires multiple solutions and, above all,
collaboration. Together with our customers, we have taken another step toward
more sustainable aviation by applying the environmental benefits of a SAF-based
operation to the flower transport chain. This action demonstrates that
emissions reduction can already be integrated alongside the speed and
reliability of air freight—both critical for fresh products such as flowers.”
Kuehne+Nagel’s Sustainability Manager for
Latin America, Ana San Carlos stressed inspiring broader value-chain change: “Collaborative
engagement with our partners drives positive and innovative change in key
industries such as perishables and air logistics, where reducing carbon
emissions is essential. We are proud of our commitment to expanding this
initiative year after year and to inspiring more stakeholders across Latin
America and globally to continue advancing decarbonization efforts within their
value chains.”
The Elite Flower’s Álvaro Camacho spoke of
balancing quality delivery with a shrinking carbon footprint, which ties in
with LATAM’s four-pillar strategy of efficiency gains, tech/fleet upgrades,
sustainable fuels, and ecosystem offsetting: “During the Valentine’s Day
season, we export close to 40 million stems through LATAM Cargo – an
operational challenge we undertake with a commitment to doing so more
responsibly each year.
Integrating Sustainable Aviation Fuel (SAF)
into our logistics chain enables us to reduce the carbon footprint of air
transport without compromising the quality or timely delivery of our flowers.
Initiatives like this reflect our contribution to a more sustainable
floriculture industry, where operational efficiency and environmental
stewardship go hand in hand.”
Market leadership to U.S. solidifies
LATAM Group’s cargo affiliates claimed overall leadership for the fourth
consecutive year, shipping over 24,000 tons of flowers from Colombia and
Ecuador to the U.S. and Europe in three weeks via around 430 flights from
Bogotá, Medellín, and Quito. Roughly 12,300 tons came from Colombia and 12,000
from Ecuador, backed by the region’s largest freighter fleet plus passenger
belly capacity. In 2025 alone, LATAM moved 245,000 tons, underscoring
year-round floriculture dominance with strong on-time performance and
perishables expertise.
Claudio Torres Faini, LATAM Cargo’s South
America commercial director, credited customer trust and flexible operations: “Valentine’s
Day is one of the most demanding seasons for the flower industry in the region,
and leading this market for the fourth consecutive year directly reflects the
trust our customers place in LATAM Cargo. Our role as a partner to the industry
goes beyond specific peak seasons: we support our customers year-round,
ensuring capacity, operational flexibility, and reliable service when they need
it most.”
One in every three Colombian flowers exported to the U.S. travels with Avianca Cargo – credit: Avianca Cargo
Avianca Cargo also delivers strong
performance
Avianca Cargo also laid claim to being the Number 1 carrier of flowers from
Colombia to the U.S., carrying one in every three Colombian flowers on its
aircraft. The airline airlifted 19,000 tons from Colombia/Ecuador across 320
flights to Miami and Los Angeles.
During the Valentine peak, it doubled its
Colombia capacity (operating its fleet of nine A330F), tripled Ecuador’s,
partnered with Amazon Air for 80 of its 320 flights, and boosted its workforce
by 30% amid infrastructure upgrades.
Cold-chain rigor prevailed: 4–8°C handling in
controlled zones and holds, enabling near-hourly peak-day arrivals. Diogo
Elias, Avianca Cargo CEO, praised chain-wide coordination: “For the 2026
Valentine’s Day season, we strengthened our operation to deliver the capacity,
reliability, and consistency our customers rely on during the industry’s most
critical peak.
Today, one in every three Colombian flowers
exported to the United States traveled with Avianca Cargo, reaffirming our
leadership after transporting a total of 19,000 tons of flowers. This
performance is also made possible thanks to the coordinated work with our
strategic partners across the entire logistics chain.”
Automating
Air Cargo: Robo-Ops-Part 2
In Part 1 of our 3-part
series on air cargo automation, Manuel Wehner (MW), Project Manager and
Research Associate at the Fraunhofer Institute for Material Flow and Logistics
IML, touched on the overall autonomous robot testing/maturity situation in the
industry, and the general scope for the future. In Part 2, we take a more
detailed look at the robot projects trialed by Fraunhofer IML and Digital
Testbed Air Cargo (DTAC), at Germany’s Munich (MUC) and Stuttgart (STR)
Airports.
One of the 5 robots tested as part of the DTAC project. Image: Fraunhofer IML / CFG/hs
CFG: Can you tell me a bit about the
individual robot projects you are working on? Which have been piloted already
(and where) and to what success?
MW: In the Digital Testbed Air Cargo
(DTAC), funded by the German Ministry for Digitalization and Government
Modernization (BMDS) with €13.7 million, we have already tested five different
robots at the two partner airports Munich (MUC) and Stuttgart (STR).
Two-and-a-half of which are Fraunhofer IML’s own research prototypes. They were
developed by us as the consortium leader: O³dyn (pallet transport robot),
evoBOT (piece handling robot), and a modified version of Boston Dynamic’s Spot
(autonomous patrols and information gathering). These were complemented by
Aurrigo’s AutoDolly Tug (ULD transports) and Götting KG’s Linde E20 forklift
(storage pallet transports) as a retrofit automation solution.
AutoDolly Tug was tested at STR under the
supervision of Frankfurt University of Applied Sciences; the other four were
tested at MUC under IML’s lead. Furthermore, we tested IML’s openTCS as an
open-source and manufacturer-independent centralized control system software.
Some test insights are shared on Youtube.
In these test scenarios, we tested the five
robots in air cargo import live operations between the aircraft position
airside (highloader hand-over point) and RFS truck docks landside (truck
loading hand-over point), with apron roads, checkpoints, and warehouses
in-between. The process is as follows: AutoDolly Tug picks up ULDs from the
highloader and transports them to the air cargo warehouses. After palletizing
the cargo on LSPs manually – it is still a major challenge for robots to
haptically deal with the little to no standardization in ULD loading around the
globe – Spot identifies ready-to-store LSPs on its autonomous patrol, which
triggers the forklift to transport these to the automated stacker system. After
the forklift delivers ready-to-be-picked-up LSPs to the ramp, O³dyn picks up
EPALs from the LSPs and transports them to other airport warehouses, where
evoBOT picks up single pieces from the EPALs.
CFG: What do LSP and EPAL stand for?
MW: We use LSP as an abbreviation for Large
Storage Pallet, which, in German, is a common term for certain metal pallets
(“Großlagerpalette”) used in air cargo warehouses. Our robot fleet, which we
tested at Munich Airport in 2024, was deployed to identify ready-to-store LSPs
(with a patrol robot dog) and to then pick up and transport these LSPs
(transport robot) and eventually pick up smaller standardized wooden euro
pallets (EPALs) from these LSPs (another transport robot).
CFG: What is your approach to automation?
MW: We explore automation potential in a
holistic way, with an airport automation vision extending beyond cargo
operations, and knowing that a perfect robot does not exist. It will likely
never exist, so we must continue dealing with a multitude of different
solutions, manufacturers and pallet types.
To our knowledge, our current approach
represents the world’s first scientific testbed for such a mixed robot fleet in
an airport environment. We conducted a total of 3 months of intensive live
testing, following on extensive laboratory testing.
CFG: How successful have your tests been?
MW: The individual success rates depend on
the criteria used. We tested isolated functionalities, ideal world scenarios
without disruption and, of course, we ambitiously and creatively challenged the
robots. That was fun! For example, we had the fire brigade wet the apron, we
placed all sorts of static and dynamic hindrances including humans crossing the
driveway and plastic foil, we used different types of cargo, and we loaded
pallets unevenly. It is not our goal to identify the ideal solution. We aim to
better understand automation potential based on real-life tests and are
currently developing a new robot for ULD handling from scratch, along with an
updated version of openTCS as a control system. It is worth mentioning that not
all use cases require level 5 autonomy and expensive new smart functions. For
many cases, good old automation solutions from other industries, like maritime,
production and distribution, could be a decent fit.
As Fraunhofer, representing Europe’s largest
non-profit applied research organization, we think far beyond specific use
cases. We view logistics automation as a goal yet to be achieved in
environments such as airports and air cargo facilities. This is why we develop
prototypes and software not only for cargo transport and handling, but also for
all sorts of ramp and terminal automation, such as the aircraft turnaround. New
solutions, based on swarm intelligence, will facilitate securing aircraft with
autonomous chocks and cones, among other ideas. We work on different projects
simultaneously, and we always look at economies-of-scale and long-term impact
for aviation stakeholders.
CFG: Of those robots tested so far – which
are the most mature and ready for commercial use?
MW: As mentioned, we employed both market
solutions and research prototypes. We have evaluated all of them for their
autonomy levels and their test success rates within the defined test scenarios.
We are aware, and it must be mentioned, that none of the tested solutions is
suitable for overnight implementation. There is still lots of work to do to
have these robots operate by themselves in an air cargo environment, and to our
knowledge there is no autonomous solution yet operating at level 5, no matter
what marketing brochures suggest.
This means, no matter what solution is being
evaluated, it will either be a level 3 to 4 automated solution that might be
scalable already but not autonomous, or a level 5 prototype, which still needs
further development regarding airport-specific challenges, such as taxiway
crossings, dynamic obstacle avoidance, etc.
CFG: What about O³dyn and Spot? Can they also
function outside in adverse weather conditions? (Snow, hail, ice?)
MW: While both robots are designed for
outdoor usage, difficult weather conditions remain a serious challenge for
sensors. With our trials, we could show that rain, indoor-outdoor temperature
differences, and exposure to direct sunlight do somewhat affect the robots’
performance. However, they already deal fairly well with that in many
scenarios. Snow, hail and ice are extreme weather conditions that are being
investigated in winter-specific projects, such as de-icing and snow clearing
trucks. It is not impossible to deal with extreme weather conditions, however,
employing the required sensor mix in every 365/24/7 robot will make the unit
costs even higher than they already are.
We expect this development to continue in two
tracks for a while – standard robots not suitable for extreme weather
conditions, and specialized solutions for outdoor operations in winter times.
Eventually, these two tracks could obviously be brought together once prices
start matching expectations.
Thank you, Manuel Wehner. In our third and
final part of this interview series, next week, we will talk about Circular
Economy, costs, safety, and the future warehouse set-up: man and/or machine?
Spotlight
on… Boeing 777F, Freighter, Major Cargo Airlines
Each week, CargoForwarder Global shines its
‘Spotlight On…’ a specific segment of the air cargo industry and usually hands
the mic to a human individual to explain their function and share their
opinions and experience.
Every now and again, the ETA of responses
landing in CargoForwarder Global’s inbox doesn’t quite match the STA, and an
alternative is found. Air cargo wouldn’t work without aircraft, so this week,
the seven standard questions are answered from the point of view of a Boeing
777 Freighter (B777F) – the newest workhorse in the fleet of many leading cargo
airlines.
Quietly keeping the world moving. Image: Albion Aviation Group
CFG: What is your current function and
company? And what are your responsibilities?
B777F: I’m a Boeing 777 Freighter, part of a global cargo airline’s
long-haul fleet. My main job is to carry everything from e-commerce parcels and
vaccines to oversized machinery (and a great deal more in between), across
continents. Once the cargo doors shut, it’s all about efficiency, punctuality,
and keeping the supply chain aloft – literally.
CFG: What does a normal day look like for
you?
B777F: A ‘normal’ day is anything but
ordinary. Sometimes I’m climbing out of Hong Kong with a full load of
electronics bound for Europe; other times, I’m crossing the Atlantic with
perishables that can’t afford a delay. One night, I’m gliding over the North
Sea under a full moon, and the next day, I’m baking in the Middle Eastern heat
on the tarmac. My days and nights revolve around tight turnarounds, cargo load
checks, and the rhythmic hum of jet engines. We freighters live by the clock of
global trade.
CFG: How long have you been in the air cargo
industry, and what brought you to it?
B777F: I joined the skies in the late 2000s –
a younger freighter generation built for range, payload, and fuel efficiency. I
was drawn by the challenge and diversity of what I carry: vaccines that save
lives, live animals bound for new homes, high-value electronics, disaster
relief supplies – the very heartbeat of the global supply chain. And though I’m
proud of my cutting-edge design, I owe deep respect to my elder, the Boeing
747F, also known – and rightly so! – as the ‘Queen of the Skies’. She showed the
world what true long-haul freight could be. I’m just carrying the torch
forward, in a more fuel-efficient suit.
CFG: What do you enjoy most about your job?
B777F: The sense of purpose. Every pallet and
container that I carry, tells a story – a business counting on the just-in-time
delivery of a spare part, a family waiting for life-saving medication cargo, or
a community rebuilding after a storm. There’s power in knowing that I help make
those connections possible. Plus, there’s nothing quite like cruising at 35,000
feet with a full load and a clear sky ahead.
CFG: Where do you see the greatest challenges
in our industry?
B777F: Balancing growth with
sustainability. We fly because the world demands speed, but that speed must
come with responsibility. Sustainable aviation fuels, smarter routing, and
digital efficiency are no longer optional – they’re our new flight plan. Add to
that the constant market turbulence – yield drops, over/undercapacity,
regulatory pressures – and you get an industry that can’t afford to stand
still. The key is adaptability – both on the ground and in the air.
CFG: What advice would you give to people
looking to get into the air cargo industry?
B777F: Think of cargo as aviation’s crossroads
of technology, logistics, and people. Whether you’re training as an operations
planner, a loadmaster, or an analyst, stay flexible and learn how the full
network works together. Courses in supply chain management, aviation
technology, or sustainability will give you wings. Most of all – stay curious
and tech-savvy. This industry isn’t just about airplanes and pallets anymore –
it’s about data, automation, and global coordination. Learn the language of
logistics and bring an appetite for innovation. This business rewards those who
love thinking in global dimensions.
CFG: If the air cargo industry were a
film/book, what would its title be?
B777F: ‘Lifting the World: The Invisible
Engine of Trade’. It would be a sweeping global story – starring freighters
like me and the iconic 747F – full of night flights, close calls, and unsung
triumphs that keep the world moving, one closed cargo door at a time.
Thank you, B777F.
Costa
Rica – Green Strategy pays off
The difference could hardly be greater. While
north of the Rio Grande under Trump, the decarbonization of the economy and
industry was put on hold, a nation located about 2,500 km south of it is
celebrating great success with its green strategy: Costa Rica. Antonio Lehmann
Gutierrez provided evidence of this at the Fruit Logistica trade fair in Berlin
in an interview with CargoForwarder Global. He is the Central American state‘s
Ambassador to Germany.
Antonio Lehmann Gutierrez is Costa Rica’s ambassador to Germany – photo: CFG/hs
The message is unmistakable: “#1
among tropical countries in reversing deforestation,” reads the large
banner above Costa Rica’s stand at the Berlin-held trade show. The opposite,
namely the clearing of natural forests, leads in the long term to economic
decline and the impoverishment of the population, not to mention the gradual
loss of biodiversity, stresses the diplomat. “Not so long ago, we
exported almost exclusively coffee, bananas, pineapples and wooden products.
Many forested areas fell victim to this. Our natural resources were destroyed,
so we decided to stop and reverse this kind of exploitation of nature.”
Economic U-turn
Today, 60.4% of Costa Rica’s land mass is tree-covered again. Parallel to
reforestation efforts, the Costa Rican government launched an education
campaign. The result: 8% of GDP is invested in schools and universities, and
one-third of the country’s land area has been declared protected areas. At the
same time, there was a shift in tourism strategy. The country focused
specifically on environmentally friendly eco-tourism rather than mass
tourism.
Amplifying the business
With the slogan “Pura vida – enjoy your life,” visitors were specifically
invited to spend their vacations in Costa Rica and enjoy the country’s natural
beauty. Foreign companies were encouraged to set up operations in the country
with reference to its intact environment. “The prerequisite, however,
was that they commit to complying with the sustainability criteria specified by
the government,” stressed the Ambassador.
Intel and the pull factor
One of the first global players responding to this call was Intel, which
established a branch in Costa Rica in 1993. Starting with 240 employees, it now
has 3,800 people working there. In addition, there are suppliers and local
service providers. This development, which was also boosted by the arrival of
chemical giant Bayer, created a pull factor, attracting other European and U.S.
companies. Added to this was the decision by multinationals to scale back their
involvement in China and invest in Mexico or Costa Rica instead. “Due
to these favorable internal conditions, which also include a well-educated
workforce, as well as beneficial external developments, our annual GDP
growth is currently 19 to 20 percent,” says the diplomat. Figures, the
entire EU and the U.S. are dreaming of.
Switzerland of Latin America
At the same time, he points to stable democratic conditions and a low crime
rate compared to other countries on the American continent. The main
beneficiaries of this development are the people of Costa Rica, emphasizes
Antonio Lehmann Gutierrez’s. Earnings in Costa Rica are two to four times
higher than in all other Latin American countries.
Because labor in the agricultural sector is slowly becoming scarce, seasonal workers are being recruited from neighboring countries. “We bring them in seasonally and treat them in a respectful and friendly manner,” emphasizes the diplomat. This attitude sets CR apart. ”As we have no military, we refer to ourselves as the Switzerland of Latin America. Instead, we prefer to spend the money for defense on schools and universities.”
Wide product range
CR has long since moved away from its focus on pineapples, bananas, and coffee.
Today, the product range is very diverse and broad, as official figures show:
Last year, 644 companies exported 320 agricultural products from Costa Rica to
109 different destinations. Many of these goods were transported by air, such
as flowers and other perishable products. In addition, there is an increase in
industrial goods such as optical, technical, and medical apparatus, accounting
for 44% of all exports, added by pharmaceuticals and electrical machinery
equipment.
Challenges impact production and supply
chains
Despite all changes, agribusiness remains a cornerstone of the country’s
economy, contributing around 7% to the national GDP and employing nearly 14% of
the population. According to a report by the Ministry of Foreign Trade (COMEX),
over 50% of Costa Rica’s agricultural exports are sent to markets in North
America and Europe.
But new challenges are just around the
corner, impacting international supply chains. Evolving global trade dynamics,
shift towards more protectionist policies, as seen in the USA, and growing
demand for sustainable practices (EU) are reshaping the landscape of Costa
Rica’s agricultural export market. As a result, many small and medium-sized
farmers, as well as larger cooperatives, are navigating these changing
conditions with urgency.
Cuba’s
airports go dark
Aeropuerto José Martí – Habana, few passengers, hardly any air freight, and most lights are turned off at night – courtesy: operator
No kerosene, no flights, no tourists, and no
air freight transport. The Caribbean Island is largely cut off from
international air traffic. Lighting at José Martí Airport, the capital’s
airport, is kept to a minimum. The fuel shortage is the result of the oil
embargo imposed by Washington and the regime’s chronic dependence on external
sources.
Until now, Venezuela was Cuba’s main supplier
of crude oil and aviation fuel. However, since Maduro’s overthrow and
imprisonment by the Trump administration, this source has dried up. The result:
an increasing number of international airlines have suspended their flights to
Cuba or announced doing so due to the worsening fuel shortage. This includes,
among others, Air Canada and its national competitors, WestJet and Air Transat.
Air Canada said in a statement that aviation fuel is not commercially available
at local Cuban airports, as governments issue notices warning that the supply
is likely to be unreliable.
Traffic figures plummet
Other airlines such as Iberia, Air Europa, and Turkish Airlines have changed
their routes and are making an additional tank stop in the neighbouring
Dominican Republic. The German leisure airline, Condor, had already announced
before the oil crisis that it would stop serving Cuba come spring. This is
likely to cause a further slump in air freight exports of Cuban cigars and
perishable goods for the country, which is already short of foreign currency.
Germany advised on Tuesday (10FEB26) against
all non-essential travel to Cuba. The country is “facing an acute
energy crisis, which is also being compounded by widespread dilapidated energy
infrastructure,” the German foreign ministry said in its
announcement. “The shortages are affecting all areas of life, including
medical care.”
Fuel instead of cargo
Copa Airlines from Panama has found an alternative solution. The carrier
refrains from loading air freight in the lower decks of its passenger jetliners
on routes between its home base, Tocumen International, and Havana’s José Martí
Airport. This saves weight and allows an increased amount of kerosene on board
to ensure a safe round trip.
The three major U.S. carriers, American
Airlines, Southwest Airlines, and Delta Air Lines, which serve routes between
Florida and Cuba, are taking a similar approach. They haven’t cancelled their
Cuban services because their aircraft are capable of carrying sufficient
kerosene to operate safe roundtrips, they unanimously declared.
In contrast, the Russian airlines, Rossiya
and Nordwind, will only continue to fly there until around 4,000 Russian
tourists have been flown out. Then it’s over. Communist Cuba has been a favourite
destination for Russian tourists since the days of Fidel Castro. In other
words: for more than 60 years.
Fuel shortage becomes systemic crisis
The oil shortages have threatened to plunge Cuba into complete darkness, with
power plants struggling to keep their operations running. The government’s
decision to restrict fuel sales, reduce banking hours, cancel cultural events,
and implement a four-day working week for state-owned companies, demonstrates
how grave the situation has become. In Havana, the public transport system has
effectively ground to a halt, leaving residents stranded as endemic power
outages and grueling fuel lines reach a breaking point.
Historically, Venezuela was the biggest
supplier of oil and jet fuel to Cuba followed by Mexico. Oil from Caracas
covered around 30% of Cuba’s energy needs, with between 32,000 and 35,000
barrels per day.
No relief from Mexico
Mexico only ever shipped a fraction of the oil that came from Venezuela.
Mexican President, Claudia Sheinbaum has now confirmed that oil shipments to
Cuba are “on hold” following U.S. President, Donald Trump’s threats to impose
tariffs on any country that provides oil to the Caribbean island.
Nicholas Watson, Managing Director, Latin
America, at consulting firm, Teneo, summarized the situation with a grim
forecast that is unlikely to please those in power in Havana: “The
economic crisis is so severe that it could be existential for the regime.”
Cuba’s dire situation is not the result of an
isolated event. It is the consequence of decades of mismanagement, of an
economic model that never generated real wealth or autonomy, and of a chronic
dependence on external allies who can no longer – or do not want to – sustain
the island.
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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