SOUTH KOREA GOES BIG IN GEORGIA: $287M FUND FUELS GLOBAL SUPPLY CHAIN PLAY
Korea Ocean Business Corp. (KOBC) recently completed the purchase of a $120 million logistics center in Dalton, Georgia, according to a news release. The South Korean state-backed maritime financial firm has created a public-private fund — known as the Global Logistics Supply Chain Investment Fund — that could reach up to $287 million, and is aimed at snapping up logistics warehouses across Georgia.The goal is to improve supply chain competitiveness for Korean-owned firms selling products in the U.S., KOBC officials said.KOBC made the Dalton acquisition through a partnership with Korean logistics company LX Pantos. The Trump administration announced on July 31 it has reached a deal with South Korea that includes a 15% tariff on imports from the Asian nation.As part of the agreement, U.S. exports to South Korea will not face duties. South Korea will buy $100 billion in U.S. energy products and invest $350 billion into the U.S. shipbuilding sector, as well as production of semiconductors, secondary batteries and biotech products. The trade agreement between South Korea and the U.S. averts a steeper 25% import duty that would have started on Tuesday.
PORTS TO DOT: TIME FOR A MARITIME REBOOT
WASHINGTON – Seaports, waterway operators, and shippers are telling the Trump administration that a national freight plan will be incomplete without a significant focus on maritime transportation. Comments filed with the U.S. Department Transportation by the Port of Los Angeles, the American Waterways Operators (AWO), and the National Waterways Conference echo a common theme: that maritime freight is undervalued and should be a higher priority within DOT’s National Freight Strategic Plan (NFSP), which is under review by the department.“The lack of recognition and inclusion of waterborne freight transportation, and the omission of maritime facilities and networks in this national freight transportation framework creates a disconnect between the essential role of our ports and waterways and the broader goals of freight transportation, and highlights the need for a more balanced and inclusive approach in the NFSP,” said Julie Ufner, President and CEO of NWC, whose members includes ports, barge operators, and agriculture exporters.
EXCLUSIVE: BEYOND THE MYTH OF THE TRUCK PARKING SHORTAGE
When the Federal Highway Administration or the American Transportation Research Institute (ATRI) puts out new numbers on truck parking, the conversation almost always circles back to the same point: there aren’t enough spaces. But a new all-encompassing study, commissioned by Truck Parking Club and conducted by transport economist Noël Perry, argues the story is more complicated. There isn’t truly a shortage of truck parking. Instead, the industry suffers from a lack of awareness, poor connectivity, and inefficient use of the spaces that already exist.Truck parking has been a headline problem for years. Organizations like ATRI and OOIDA have sounded the alarm, policymakers have pledged more funding, and drivers themselves consistently rank parking availability among their top concerns. But even after years of discussion, the experience on the ground hasn’t changed much: drivers still circle crowded truck stops, pull onto ramps, or risk tickets by parking on private property.The new research reframes the issue: it’s not simply about building more parking spots, but about understanding the market, unlocking underutilized supply, and making information available in real time.
CONTAINER SHIPPING FACES A DECADE OF OVERCAPACITY
The container ship orderbook has reached its highest level since 2010 with some 31.7% of the current fleet now on order, boosted by a flurry of orders this year.Analyst Linerlytica reports that the last time that vessel orders exceeded this level was in the period between 2004 and 2009 with the overcapacity and that “ended in a decade-long supply overhang that took 10 years to clear”.Market volatility coupled with excess capacity in the major trades is expected to continue as some 1 million teu in capacity is expected to be delivered by the end of the year.Linerlytica pointed out that with the US tariff disruption the peak season normally seen from July to September has already passed in June and July with shippers looking to avoid import duties front loading freight.Capacity management may offer some respite, but with the two Gemini Cooperation lines, Maersk and Hapag-Lloyd refusing to cut services in order to meet their performance obligations, a slide in demand and new capacity arriving fast the expectation is that spot rates will continue on their downward trajectory.