Container Rates for Trans-Pacific Freight From the US to Asia Hit Rock Bottom
The imbalance of trade between Asia and the US keeps trans-Pacific westbound freight rates lower than eastbound rates. Most ships arriving from Asia to the US are heavily booked, while the return voyages are booked at less than 40% capacity. The imbalance is compounded by the current trade war. The strong dollar and retaliatory tariffs from China have made exporting from the US more costly. Further downward pressure on rates is caused by a larger volume of low value commodities like scrap materials being exported to Asia, while finished consumer goods imported to the US command higher freight rates. To learn more about the reasons for lower westbound freight rates, read here.
A Drone Delivery Startup Aims To Provide 10 Minute Package Delivery Services
Flirtey has partnered with Dominos and 7-Eleven to test a delivery method that could replace the hub & spoke model used by most logistics providers. Hub & spoke deliveries are typically routed via distribution centers. Drone delivery enables vendors to deliver directly from the nearest store to your door. Flirtey has even partnered with an ambulance service to deliver defibrillators to people suffering a heart attack before paramedics arrive. Read more about this paradigm shift here.
Are Drone-Like Flying Cars the Future of Package Delivery and Short Range Passenger Transport?
NEC of Japan has tested a prototype of an EVtol aircraft (electric vertical takeoff and landing). The Japanese government intends to develop driverless aircraft for people by the 2030’s, while Uber Air is reportedly developing a VTOL aircraft (vertical takeoff and landing aircraft) for demo flights in 2020 and commercial flights in 2023 in Dallas, Los Angeles and Melbourne. Read more here.
(Photo credit: AP Photo/Koji Sasahara)