Today's Supply Chain Pulse
Strait of Hormuz closure stalls oil price surge despite 100‑day shutdown
The strategic waterway has been shut for 100 days, yet oil prices have not spiked. Prices fell after a U.S.–Iran deal was announced, and analysts warn that any relief to the oil market could take months to materialize.
Also developing:
By the numbers: GIA acquires 30% stake in De Beers' Tracr blockchain platform
UK MoD Approves Plan to Acquire GBU-53/B SDB II for F-35B Fleet
The UK Ministry of Defence has approved a Foreign Military Sales purchase of the GBU‑53/B StormBreaker (Small Diameter Bomb II) for its F‑35B fleet. The interim stand‑off weapon fills the capability gap caused by delays in integrating the SPEAR‑3 missile, a recommendation echoed by the Public Accounts Committee and the National Audit Office. SDB‑II offers over 100 km range and can be carried eight per aircraft internally, dramatically increasing payload compared with the current Paveway IV loadout. The approval also coincides with plans to expand carrier spares packs to support higher sortie rates.
Amazon's Logistics Push Threatens Freight Industry Stability
Amazon entering logistics = big disruption risk. In Talking Transports, Morgan Stanley’s Ravi Shanker breaks down: • Amazon vs parcel, LTL, brokerage • Truckload recovery outlook • Structural parcel headwinds • AI & autonomy reshaping freight 🎧 Listen - Episode 138 of Talking Transports: Apple: https://t.co/KZjW1p1gtg Spotify: https://t.co/a2REcP1PWD iHeart:...
Trucking Rates Edge Higher as Capacity Tightens in Q1
Trucking spot and contract rates edged higher in Q1 as driver shortages and carrier exits tightened capacity. Analysts said the rate gains were uneven, with spot‑dependent carriers still feeling a lag in margins while larger firms with mixed freight mixes...
Chinese VLCC Yuan Hua Hu Clears Strait of Hormuz with 2 Million Barrels of Iraqi Crude
China’s state‑owned COSCO shipping vessel Yuan Hua Hu successfully navigated the Strait of Hormuz on Wednesday, delivering an estimated two million barrels of Iraqi crude. The transit marks only the third Chinese supertanker to cross the chokepoint since the U.S.–Iran...
Calbee Adopts Monochrome Snack Packaging as Ink Supply Crunch Hits Japan
Calbee announced it will replace its colorful snack packaging with black‑and‑white designs for 14 product lines starting May 25. The move responds to a shortage of naphtha‑derived inks caused by the Iran‑Israel‑U.S. conflict that has choked the Strait of Hormuz, highlighting...
U.S. Ships Millions of Reserve Oil Barrels Overseas Amid War
The United States has shipped roughly 13 million barrels of crude from its Strategic Petroleum Reserve (SPR) to Europe and other markets, accounting for about 40% of the oil released so far. The release is part of a broader Trump‑admin plan...
FedEx Boss Downplays Threat From Amazon’s Latest Supply Chain Play
FedEx CEO Raj Subramaniam downplays Amazon’s new Amazon Supply Chain Services (ASCS) as a threat, emphasizing FedEx’s end‑to‑end global network and asset‑based capabilities. ASCS, a non‑asset 3PL, offers freight, distribution and parcel services backed by Amazon’s fleet of 80,000 trailers,...
Orbweaver Acquires Budde Marketing to Build End‑to‑End Intelligence Platform for B2B Electronics
Orbweaver has bought Budde Marketing, merging its real‑time supply‑chain automation with Budde’s point‑of‑sale analytics to launch an end‑to‑end intelligence platform for electronic component manufacturers and distributors. The deal, supported by growth equity firm Sundance Growth, was announced yesterday and did...
Automakers Face Memory Shock as AI Uses Up Semiconductor Supply
Automakers are now competing with AI data‑center builders for a dwindling supply of DRAM and NAND flash, turning memory from a commodity into a scarce resource. New EU safety regulations and the rise of software‑defined electric vehicles have pushed average...
China Fines MSC, CMA CGM, and Hapag, and Warns on Freight Rate Violations
China’s Ministry of Transport announced fines against nine international container shipping lines—including MSC, CMA CGM, and Hapag‑Lloyd—and seven domestic NVOCCs for violating freight‑rate filing rules. The penalties follow inspections at Guangzhou, Qingdao and Ningbo ports conducted in August, September and November...
Houston Gains Cargo Share as Volumes Soften at West Coast Ports
Flexport’s North America Freight Market Update highlighted a shift in U.S. import patterns as West Coast ports like Los Angeles and Long Beach saw import volumes dip about 1.5% year‑over‑year, while Houston’s inbound bookings surged 7.2% YoY. Executives cited tighter vessel deployment,...
Walmart Grows Last-Mile Network with Former Drug Stores
Retail giant Walmart is converting vacant drugstore properties into small‑format “Walmart Depot” fulfillment centers to accelerate grocery and household item deliveries. At least three 20,000‑sq‑ft depots have opened in Texas, New Jersey and Arkansas, with proposals for former Rite Aid...
Supreme Court Says Broker Liability Case Can Proceed
The U.S. Supreme Court unanimously ruled that Shawn Montgomery can pursue a lawsuit against C.H. Robinson, the third‑party logistics broker, for a 2017 Illinois crash that left him partially leg‑amputated. The decision overturns a lower court dismissal and affirms that federal...
Issue 59, 2026
AutomationDirect’s Issue 59, 2026 showcases a suite of new hardware and application stories that underline the shift toward Industry 5.0 and more accessible motion control. Highlights include the launch of STRIDE PRO Unmanaged+ Ethernet switches with IGMP snooping, the Schmersal PROTECT PSC1 safety controller, and a...
Found Industries Aims to Strengthen America’s Industrial Supply Chains
Found Industries, originally founded as Found Energy, is launching a new division called Found Metals to extract the critical metal gallium from aluminum refinery streams. The move addresses U.S. reliance on China, which supplied 99% of global gallium in 2024,...
The Freight Broker Insurance Gap Is Now Real
The U.S. Supreme Court’s unanimous Montgomery v. Caribe Transport II decision eliminated the long‑standing FAAAA preemption, allowing freight brokers to be sued for negligent carrier selection. The only federal financial safeguard—a $75,000 surety bond—covers payment defaults but not the $36 million...
F-35 Spares Shortfall Exposed as Carrier Surged to 24 Jets
The UK Ministry of Defence sent a Queen Elizabeth‑class carrier to the Middle East with 24 F‑35B jets, despite only having spare parts packs sized for 12 aircraft. To compensate, spares were drawn from a Deployable Spares Pack and the...
Hormuz Oil Flows Creep Higher as More Supertankers Exit
The number of supertankers exiting the Strait of Hormuz has risen, with four VLCCs—each carrying roughly 2 million barrels—departing since May 10, approaching a flow of about 2 million barrels per day. This is a modest increase compared with pre‑war traffic of roughly...
SCOTUS Ruling Favours Big Brokers, Punishes Small Truckers
SCOTUS decision winner/losers: Winners: Plantiffs attorneys Defense attorneys Risk management consultants Insurance brokers Mega truckload carriers Top 200 freight brokers Lobbyists Fraud and compliance software Losers: Anyone not a top 200 freight broker Small trucking firms Load boards Factoring companies Anyone working with small truckers...
New SC Ruling? Use CargoRexx for Carrier Compliance
Looking for Carrier Compliance tools after today's Supreme Court ruling? Check out the @CargoRexx landscape: https://t.co/lLi36On0Gy
Kuwait Blames Iran for Failed Attack on Bubiyan Island, Threatening Chinese‑Funded Port
Kuwait announced that four Iranian nationals, alleged Revolutionary Guard operatives, were detained after a failed infiltration of Bubiyan Island on May 1. The island hosts the under‑construction Mubarak Al Kabeer Port, a key Chinese‑financed hub, and Kuwait accuses Iran of attempting an...
Cargo War Policies Offer Buyers Unfavourable Terms, Insurers Claim
Cargo war risk buyers receiving raw deal, insurers argue ▶️Some clauses less favourable than hull war ▶️Standard wordings exclude losses from frustration of contract rather than physical attack ▶️No CTL payout after 12 months’ detention https://t.co/J9piFnAJ8d
Alsym and Juniper Deploy 500 MWh of Sodium‑Ion Battery Storage in California
Alsym Energy has teamed with Juniper Energy to install 500 MWh of sodium‑ion battery energy storage systems across California and neighboring states. The partnership emphasizes fire‑safe technology, UL9540A certification and a shift away from traditional lithium‑ion chemistries.
GreyOrange Launches AI Warehouse Simulator to Model Automation Performance and Costs
GreyOrange introduced GreyMatter Foundry, an AI‑driven warehouse simulation platform that lets operators model mixed fleets of robots, equipment, and human workers. The tool leverages live data from over 130,000 robotic agents to generate 3‑D visualizations, throughput forecasts, and ROI calculations...
Volvo Autonomous Solutions Launches Dallas‑Oklahoma City Driverless Freight Lane with DSV
Volvo Autonomous Solutions (VAS) has opened a third commercial autonomous freight lane between Dallas and Oklahoma City, still operating with a safety driver but slated for full driverless service within quarters. The rollout is tied to a new partnership with...
USAF Orders First 14 T-7A Red Hawk Trainers From Boeing
The U.S. Air Force has placed its initial order for 14 Boeing T‑7A Red Hawk advanced trainer aircraft, a deal valued at roughly $219 million. The contract, issued after the Milestone C production decision, includes digital training systems, spares and support...
WasteVision AI Introduces Route Verification to Help Haulers
WasteVision AI, a Scottsdale‑based AI service provider for waste and recycling, launched Route Verification, a tool that automatically validates every stop on a hauler’s route with timestamped images, video and geolocation. The solution expands on the firm’s Service Verification product...
Vention Expands Conveyor Platform with Integrated End-of-Line Automation System
Vention has broadened its conveyor ecosystem with modular roller conveyors, purpose‑built motors and the MachineMotion AI controller, delivering a fully integrated end‑of‑line material‑handling solution. The platform unifies design, ordering, deployment and operation in a single software environment, allowing plug‑and‑play installation...
Goodyear in Talks to Close North Carolina Tire Factory that Employs 1,700
Goodyear Tire & Rubber Co. is negotiating with the United Steelworkers to shut its Fayetteville, North Carolina plant, which employs 1,700 workers, by the end of 2027. The closure is part of a broader domestic restructuring aimed at improving competitiveness...
Kuehne+Nagel Appointed Official Logistics Partner of MCH Group
Kuehne+Nagel has been named the official logistics partner for MCH Group for a five‑year term starting July 1 2026. The deal covers MCH’s three Swiss exhibition venues—Messe Basel, Messe Zurich and Beaulieu Lausanne—totaling over 182,000 sqm of space. Kuehne+Nagel will manage international shipping,...
The Supreme Court Just Told Every Freight Broker that They Can Be Sued
The U.S. Supreme Court issued a unanimous opinion in Montgomery v. Caribe Transport II, holding that negligent‑hiring claims against freight brokers are not preempted by the Federal Aviation Administration Authorization Act (FAAAA). The Court relied on the statute’s safety exception,...
SCOTUS Rules 9-0 Against Brokers in Montgomery Case
The U.S. Supreme Court issued a unanimous 9‑0 opinion in Montgomery v. Caribe Transport II, holding that freight brokers are subject to state tort claims under the Federal Aviation Administration Authorization Act’s safety exception. The Court interpreted the phrase “with...
Rising Container Dwells Hobble Vessel Flows at India’s Nhava Sheva, Mundra Ports
India’s major west‑coast ports Nhava Sheva and Mundra are experiencing severe drayage bottlenecks as a sudden shortage of truck drivers slows container movements. The labor crunch, driven by a wave of migrant workers returning home during the April‑June holiday period, has...
Okeanis Weighs up How VLCC Owners Can Tackle Gulf Gridlock
Greek tanker owner Okeanis Eco Tankers is weighing how its Very Large Crude Carrier (VLCC) fleet can stay active while remaining positioned to re‑enter the Middle East Gulf once the Strait of Hormuz reopens. CEO Aristidis Alafouzos outlined a balancing...
MOBX to Acquire U.S. Defense Rare Earth, Critical Minerals Company
Mobix Labs (Nasdaq: MOBX) announced a non‑binding Letter of Intent to acquire Special Project Delivery LLC, a U.S. firm that builds sovereign supply chains for rare earth elements, critical minerals and energy‑storage materials. The deal would extend Mobix’s existing national‑security...
LA Container Imports Jump as US East Coast Ports Slump
The Port of Los Angeles recorded 891,000 TEU in April, a 5.5% year‑over‑year increase and an 18% rise from March, driven largely by loaded imports. In contrast, major East‑coast gateways such as New York & New Jersey, Norfolk, Charleston and Savannah posted...
FedEx Advances ServiceNow Partnership with Procurement Integration
FedEx Dataworks has been integrated into ServiceNow’s Source-to-Pay procurement platform, allowing logistics data such as shipment delays to automatically trigger workflow actions. The integration provides supplier insights, automated onboarding assessments, and ongoing performance analytics, delivering near‑real‑time visibility for procurement teams....
4 Ways Bazooka Rethought Its Supplier Strategy in Face of Tariffs
Last year, tariff‑driven price hikes on Asian‑sourced sweets forced Bazooka Candy Brands to overhaul its supplier strategy. Instead of the traditional high‑volume, low‑price model, the company negotiated cost‑sharing agreements, sometimes absorbing tariffs and, in other cases, receiving detailed cost data...
Container Spot Rates Surge as Carriers Layer Surcharges Ahead of Early Peak Season
Global container spot rates posted their sharpest weekly gain in months, with the Drewry World Container Index jumping 12% to $2,553 per 40‑foot container. Rates on key Transpacific lanes surged, highlighted by a 14% rise to $4,252 for Shanghai‑New York and...
FedEx to Spin Off Freight Unit, Delivering $4.1 Billion Dividend and New NYSE Listing
FedEx Corp. said it will spin off its FedEx Freight trucking business, with the new common stock beginning to trade on the NYSE on June 1 under the symbol FDXF. Shareholders will receive one Freight share for every two FedEx shares...
Half of Cargo Theft Cases Now Linked to Trusted Carriers
Highway’s Q1 2026 Freight Fraud Index reveals that roughly 50% of cargo‑theft incidents involved carriers with legitimate Motor Carrier numbers and clean operating histories. Ownership‑change fraud surged 169.6% year‑over‑year, while the firm blocked 527,940 fraudulent inbound emails, a 50% increase...
Scape Launches £4bn Scottish Construction Framework
Scape Scotland has opened procurement for a $5.1 billion public‑sector construction framework that will run four years, with a possible two‑year extension. The programme is divided into seven lots, the three largest each valued at $1.27 billion and requiring a £150 million ($190 million)...
Hyundai Motor Group Ramps up Factory Robots, Igniting Labor‑management Clash
Hyundai Motor Group announced plans to install Boston Dynamics‑built humanoid robots in its vehicle assembly lines, starting with its Georgia factory in 2028. The move has triggered sharp warnings from labor groups that automation could erode jobs, adding to broader...
MSC Announces FAK Rates From Far East to Europe, Mediterranean and Black Sea
MSC announced new Freight All Kinds (FAK) rates that take effect on June 1, 2026 and run through June 14, 2026. The rates cover shipments from all Far East ports—including Japan, Korea and Southeast Asia—to Northern Europe, the Mediterranean, the...
Qatar Airways Cargo Enhances Global Network with New Destinations
Qatar Airways Cargo is expanding its global footprint by relaunching Boeing 777 freighter services to Vienna and adding a second 777 to Warsaw, while also opening new passenger‑cargo routes to Caracas and Bogotá. The carrier will resume flights to Helsinki...
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Cognex announced the general availability of OneVision™, a collaborative AI vision development platform that unifies cloud‑based model management with edge‑based inspection. Since its beta in June 2025, more than 100 manufacturers have moved from single‑line pilots to multi‑site rollouts, cutting deployment...
Ola Electric in Talks to Supply Battery Cells to Global Automakers
Ola Electric is negotiating with global and Indian automakers to sell lithium‑ion cells and battery packs from its Krishnagiri gigafactory. The company currently operates India’s sole functional gigafactory with 6 GWh capacity and plans to expand to 12 GWh by July 2027 and...
Hong Kong’s ‘Multi-Pronged Strategy’ to Restore Global Port Hub Status
Hong Kong is rolling out a multi‑pronged plan to reclaim its status as a premier global shipping hub. Secretary for Transport Chan Mei‑po highlighted a 1.03‑day average vessel dwell time, the fastest among the world’s top 20 ports, and a...
C.H. Robinson Opens South TX Produce Logistics Center
C.H. Robinson’s Robinson Fresh division opened a 142,600‑square‑foot logistics center in Pharr, Texas, adjacent to the Pharr‑Reynosa and Anzalduas bridges. The facility, one of the Rio Grande Valley’s largest, offers 69 dock doors, multiple temperature zones and GFSI/USDA‑Organic certification. Integrated...
Walmart to Convert Vacant Retail Space Into Delivery Depots
Walmart is converting empty neighborhood stores—such as former pharmacies and thrift shops—into 20,000‑sq‑ft “Walmart Depots” that act as mini fulfillment hubs for grocery and household items. The depots are stocked with fast‑moving products and serve drivers in the Spark delivery...