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Sources say that the Black Sea port of Novorossiysk has partially resumed oil and fuel loadings following a drone attack.
Two sources familiar with port operations said that Russia's Black Sea Port?of Novorossiysk?partially resumed oil and fuel loadings? from its Sheskharis Terminal?later?on Thursday? after this week's suspension due to a drone strike. Sheskharis, Russia's largest oil terminal with a capacity to load 700,000 barrels of crude oil per day, suspended oil loadings Monday following a Ukrainian drone attack that started fires in a fuel terminal and at some berths. Oil tanker loading resumed on one berth and only a single cargo of about 80,000 tons is expected to leave Friday. After the strikes, the oil loading schedule would?be trimmed?and it was not clear when the port's full operation could resume. Sources confirm that Novorossiysk resumed oil and fuel loadings as well on Thursday. One of the sources stated that a?diesel?load was also made from?the?port this week.
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German Minister rejects windfall taxes idea, pushes commuter tax breaks
The German economy minister proposed on Friday giving higher tax incentives to 'commuters' but rejected proposals from 'the junior coalition partner of the government for an energy windfall tax', bringing into the open a dispute about how to combat soaring fuel costs. Germany, Europe's biggest economy, was already suffering from a weak global growth rate and tariff disputes. The Iran War has caused the largest-ever disruption in global energy supply. The measures must be targeted. The measures must be targeted at the areas that are most affected. Katherina Reiche, Economy Minister, told reporters that commuters and the "logistics sector" are among them. Germany offers commuters tax breaks that are calibrated based on the distances they travel. They can deduct a portion of their driving costs between home and a primary work place from their taxable income. Reiche, highlighting tensions between the conservatives of Chancellor Friedrich Merz and the Social Democrats of Finance Minister Lars Klingbeil, branded Klingbeil’s proposals as "expensive" and "ineffective". Klingbeil proposed an energy windfall-tax, hoping to regain policy initiative after his party suffered painful losses at two regional elections in this year. Reiche stated that the proposal violated Germany's Constitution. She said: "I categorically oppose the windfall tax." Esra Limbacher, the Deputy leader of the Social Democrats' group in parliament, said Reiche wasn't fit for her position. Limbacher said to the Rheinische Post that it was regrettable that an economics minister viewed herself as representing the oil companies, instead of working together with her coalition partner to provide relief for many small businesses. Reiche, also the energy minister, has called for a temporary reduction in diesel taxes on trucks and more direct payments for people who travel long distances for work. Germany has already taken some measures. One of them is limiting petrol prices to one increase per day. (Reporting and editing by Matthias Williams, Christina Fincher and Kirsti Knolle)
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Ghana cuts fuel taxes as Iran war drives up prices
Ghana will remove certain fuel taxes and charges levied by retailers and distributors along the?supply?chain to cushion consumers?from the rising pump?prices caused by the?Middle?East Conflict, said government spokesperson Felix Kwakye Ofosu on Thursday. He said that the measures will be implemented within a week. However, the exact levies that are to be eliminated won't be determined until stakeholder consultations have been held in the next few days. Ghana imports 70% of its refined fuel. It is one of many African countries that have seen steep increases in pump prices as a result of the U.S./Israeli war against Iran. The National Petroleum Authority raised the mandatory minimum prices for the April 1-15 pricing window. This pushed petrol up by around 15%, to 13.30 Cedis ($1.21) a litre (0.26 U.S. gal), and diesel up by roughly 19%, to 17.10 Cedis ($1.55). In approximately one week, the government will consult with stakeholders ahead of the next "pricing window". We know the exact amount. Kwakye said that it would be significant. The suspension would be for the first four weeks and then the government would review. He said that the Iran conflict was the sole cause of the price increases. Transport Minister has been asked to expedite the deployment of Metro?Mass Buses along high-traffic routes, with fares that are lower than those charged by private operators. This will ease commuters' burden. Reporting by Emmanuel Bruce, Editing by Clement Bonnerot & Elaine Hardcastle
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Starmer and Trump discuss military options in the Strait of Hormuz
Keir Starmer, British Prime Minister, said on Friday that he had discussed military capabilities and logistics of moving ships through the Strait of Hormuz with U.S. president Donald Trump the day before. Starmer stated during his visit to the Gulf that "we've been pulling a coalition together of?countries... working on an?political, diplomatic plan... but also?looking into military capabilities and... the logistics of moving vessels through the Strait." "That was the main focus of last night's discussion - a reflection on the topics I have been discussing, as well as a focus on implementing a practical plan in relation to navigation across the Strait." He didn't provide any further details. Starmer didn't answer directly when asked if he had discussed the U.S. threat of a?withdrawal?from NATO, but he did say that the alliance was both in?the U.S. as well as Europe's interest. He said that NATO is a defensive alliance 'which has kept us safer than we otherwise would have been for decades.
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US seeks to renew relations with Peru in advance of an uncertain election
Business leaders and senior officials say that as Peru prepares to hold its first round of presidential elections on Sunday, Washington will make its most aggressive push in recent years to bolster its influence in this major?copper-producing country, which has been a strategic partner for China. The outreach by the newly appointed U.S. Ambassador Bernie Navarro marks a?shift after a decade when China overtook United?States, especially in mining and infrastructure. Washington could use the upcoming elections - in which over 30 candidates vie for the presidency with no clear frontrunners - to rebuild relations as it seeks access to vital minerals and to push back against growing Chinese influence on South America. Felipe James of the Peruvian manufacturing industry chamber told Navarro that "the relationship with the U.S. has really strengthened" when they met in February for a meeting to launch a working group aimed at boosting trade and investment. The White House declared Peru as a major nonNATO ally in January. This move would enhance defense cooperation, and increase access to programs for trade and security. The State Department approved a package of equipment to modernize a Naval Base near the Port of?Callao the next day. Last month, Peruvian officials met with U.S. president Donald Trump and some of his closest regional allies to launch a coalition to combat Latin American drug cartels. Lockheed Martin, a U.S. firm, is in competition with companies from Sweden and France for the right to sell fighter jets to Peru. Navarro's engagement of Peruvian stakeholders reflected Trump’s “commitment to strengthen the U.S. -Peru partnership in shared priorities, including economic growth and cooperation on security,” a spokesperson for the State Department said. SECURITY CONCERNS Peru is the third largest copper producer in the world and also a major supplier for other minerals that are used to make semiconductors, defence systems and renewable technology. Last year, its trade with China reached a record of $50 billion. This was more than the $19 billion it traded with the United States. Executives say that Washington is focusing on the transparency and reliability U.S. companies working in Peru. Ambassador Navarro, meanwhile, has urged Lima leaders to reduce judicial risks, and address concerns about public safety at a time when organized crime is surging. Julia Torreblanca is the head of SNMPE, an association for mining and energy, and vice-president of corporate affairs of Cerro Verde. Cerro Verde is a copper producer owned by Freeport McMoRan. Navarro also cited Peru's recent political instability as a growing concern to the business environment. Since 2018, the country has seen eight different presidents. Last month, he said to local radio station RPP that the United States would never interfere with Peruvians right to self determination. However, stability was needed. Navarro was not available for interview at the U.S. Embassy. Analysts say that Peruvian Presidents are more concerned with surviving impeachment proceedings than developing a geopolitical plan. The economic weight of China's relationship with Peru has surpassed historic U.S. relations. Martin Cassinelli, of the Atlantic Council, said that there is a correlation between political instability in Peru over the last decade and Chinese investment. TRADING PLACES Washington has redoubled its efforts after Peru opened up as a new gateway for Chinese business with South America. Cosco Shipping operates the Chinese-built Chancay Megaport, located north of Lima. It has reduced sea journey times for goods bound for Asia, such as electric cars. Washington is concerned about foreign control over strategic infrastructure. Laura Richardson, former U.S. Southern Command Chief General, warned that it could be a "gateway for Chinese intelligence and military activities in South America." The efforts of Peruvian authorities to strengthen regulatory oversight have been blocked by a court ruling earlier this year that ruled in favor Cosco's claim Chancay was a private investment. The decision is being appealed. It will be difficult to break Peru's economic ties with China. In recent months, trade imbalances have increased. Peru has slipped back into a deficit after a brief excess in 2024. The Lima government is trying to remove tariffs that President Donald Trump imposed, arguing they violate the bilateral free trade agreement which has been in place since 2009. Margaret Myers, of the Inter-American Dialogue said that "China will not leave." She said U.S. effort would likely focus on areas where national security is at stake rather than trying to undermine China's importance in Peru. This will depend?on the results of the election this Sunday. All candidates are polling under 15%, which makes a runoff in June all but certain. Keiko Fujimori is a right-leaning politician, educated in?U.S. Keiko Fujimori, a right-leaning candidate educated in the?U.S. They ask: Do you want a gringo burger or some chifa? Alvarez said in an interview. Alvarez preferred a local speciality: fried Guinea pig.
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As air freight rates and ocean gridlock persist, shippers are looking for alternative routes.
Shippers who are struggling to find a solution for high jet fuel costs and congestion on 'vital Middle East waterways' have turned to unexpected routes. A recent ceasefire between?Iran & the United States is unlikely, however, offer immediate relief. One U.S. freight broker said that clients who once transported electronics and other consumer goods from Asia to Europe via Middle East hubs now go so far as to ship their goods and fly them via Los Angeles in order to get lower rates. Flexport CEO Ryan Petersen stated that the air direct option is much more affordable than traveling by ocean. Due to the high cost of jet fuel and the strong demand for?air cargo, the cost of shipping has increased. This is due to Iran's continuing blockade of the Strait of Hormuz. WorldACD Market Data reports that the air cargo capacity in the Middle East is down by over 50% annually during the past two weeks. Flexport reported that the air cargo rates on long-term contracts between Vietnam and Europe had almost doubled, to $6.27 a kilogram, as compared to before the war. Los Angeles-Paris air cargo rates are only up 8%, as airlines increase passenger flights to meet the strong demand. This opens up more belly space for cargo. Noel Hacegaba, CEO of Long Beach Port, part of Los Angeles' busiest seaport complex, said that trade disruptions in the Middle East could cause a spike in business. LOST AIR CAPACITY Marco Bloemen is the managing director of Aevean, a consulting firm. He said that despite expectations for a 5.5% increase in global air cargo capacity this year, it has fallen by 1% so far due to the conflict with Iran, which began late February. He said that the outcome of this year will be influenced by the return of widebody passenger aircraft from the Gulf carriers, which make up roughly half the air cargo capacity in the region. Niall van de 'Wouw is the chief air freight officer of transportation pricing platform Xeneta. He said that a slow recovery in tourism after the end of the conflict could cause carriers to reduce passenger capacity. This would have an impact on air cargo. He said that Gulf carriers like Emirates and Qatar Airways operate one of the most important air cargo networks in the world. British Airways announced on Thursday that it would reduce flights to the Middle East once services resumed, indicating that regional tensions will weigh on demand. As their pilots do not fly to hubs like Dubai, dedicated cargo companies such as UPS still operate in the region with "contingency planning". Jet fuel is expected to be scarce and expensive for several months. Dan Morgan-Evans is group cargo director of Air Charter Service. He said, "The biggest issue for everyone right now is the huge increase in fuel prices." AIT Worldwide Logistics spent five to six time more to move oil drilling equipment to Saudi Arabia via air and truck, after the planned ocean voyage was cancelled due to war. This client is Ryan Carter, Americas executive vice-president of the freight forwarder. Many companies still feel that they are forced to pay more to ship via air. Morgan-Evans stated that "sometimes the cargo has to be moved." (Reporting from Lisa Baertlein and Allison Lampert, both in Los Angeles; editing by Jamie Freed).
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Cabin crew strike disrupts Lufthansa flights
The strike by the UFO union of cabin crew disrupted Lufthansa's flights on Friday. This was the third stoppage for the airline in just two months. The strike, which lasted from 12:01 am to 10 pm local time (2201 GMT on Thursday to 2000 GMT on Friday) affected all Lufthansa flights departing from major hubs. Cityline cabin crews also took part in the strike at nine German airports. According to airport operator Fraport, tens of thousands of passengers are expected to be affected by delays and cancellations. UFO said the industrial action was a result of unresolved discussions over the working conditions for 19,000 cabin staff and the redundancy policies for about 800 employees at Cityline, a Lufthansa feeder airline that is closing down. Harry Jaeger who heads UFO's negotiations said, "This escalation was a long-awaited event." "We would like to have avoided it." Fraport, operator of Frankfurt Airport reported that 580 flights had been cancelled. This affected 72,000 passengers, out of the 1,350 scheduled flights, and the 155,000 passengers expected for the day. Fraport said that the figures cover all airlines at the airport and not just Lufthansa. They may change as the day goes on. Jens Ritter, brand 'chief at Lufthansa Airlines, criticized the strike for being "completely disproportionate." He said, "Regulations of the past won't carry us forward into the future, we have to speak to the union about this." The airline also offers some of the best working conditions in the industry, according to him. In February and March, strikes by?Lufthansa pilots and cabin crew resulted in cancellations of many flights due to ongoing disputes between the German flagship carrier and its employees. (Reporting and writing by Timm Richert, Klaus Lauer. Editing by Elaine Hardcastle.)
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Fuel costs are increasing, so airlines are reducing their prices and cutting back on their outlook.
The U.S. and Israeli war against Iran, which has pushed up jet fuel prices, has shook the aviation industry around the world. Airlines have been forced to increase fares and change their financial forecasts. In recent weeks, jet fuel prices have increased from $85-$90 per barrel up to $150-$200 per barrel. This is a major financial blow to an industry where fuel can account for as much as a quarter or more of its operating costs. Here is an alphabetical list of the ways airlines are responding to this issue: AEGEAN AIRLINES The Greek airline anticipates that the suspension of Middle East flights, as well as a spike in fuel prices will have "notable impacts" on their first-quarter results. AIRASIA X Malaysian Airlines executives announced that the company has cut 10% of its flights in the group and imposed a fuel surcharge of around 20%. AIR FRANCE-KLM The airline group?said that it planned to raise long-haul ticket fares to deal with surging fuel prices, and cabin?fares are set to increase by 50 euros ($58). AIR INDIA The Indian flag carrier announced that it would change its fuel surcharge from a flat domestic surcharge to one based on distance. The airline said that surcharges for international routes do not compensate the steep rise in jet fuel costs. AIR NEW ZEALAND On April 7, the airline announced that it would cut flights in May and June, and raise fares. It was one of the first airlines to announce a large increase in ticket prices after the conflict began. The airline also suspended its earnings forecast for the full year due to volatility in the fuel markets. AKASA AIR Akasa Airlines, based in India, announced that it would be imposing a fuel surcharge on both domestic and international flights ranging from 199 to 1,300 Indian Rupees ($2 - $14). ALASKA AIR The U.S. carrier said that it would raise fees by $5 for the first bag and $10 for the second for flights in North America, as well for Hawaiian Airlines. The third checked bag was raised from $50 to 200 dollars. AMERICAN AIRLINES The U.S. carrier announced that it will increase the fees for checked baggage by $50 for the third bag and $10 for the second on short-haul flights and domestic flights. The airline has also reduced?certain benefits to economy passengers. The fuel price increase was expected to cause a $400-million increase in the first quarter expenses. CATHAY PACIFIC Hong Kong Airlines announced that it will increase its fuel surcharges by 34% on all routes starting April 1, and to review them every 2 weeks. The CEO of the carrier said that it will maintain flight capacity, despite high fuel costs. However, its 10% passenger growth plan may change if there is a decline in demand due to high prices. CEBU AIR The Philippines-based carrier said that the sharp increase in fuel prices is a major concern. It will continue to review pricing and network strategies and try to minimize the impact. CHINA EASTERN EXPRESS AIRLINES Air China said that it would increase fuel surcharges on domestic flights starting April 5. Flights under 800km will be charged a surcharge of 60 yuan, and flights above 800km will be charged a surcharge of 120 yuan. DELTA AIR LINES Delta announced that it would reduce capacity by 3.5 percent from its original plan, and increase fees for checked baggage in order to offset the rising costs of jet fuel. The price increase will be $10 for the first and second bags and $50 on the third bag. The U.S. carrier pulled all planned growth in capacity for the current quarter, and forecast profits below Wall Street expectations. Delta CEO said that it would not update its full-year forecast due to uncertainty about how long fuel prices would rise. EASYJET EasyJet CEO Kentonjarvis warned that European consumers can expect to pay more for tickets at the end of the summer when fuel hedges end. FRONTIER AÉRIENS The airline is reviewing its full-year forecast as fuel prices have increased significantly since it issued the outlook. The airline has revised its forecast for the full year as fuel prices have increased dramatically since it released the outlook. GREATER BAY Airlines The Hong Kong-based firm said that it will increase fuel surcharges for most routes starting April 1, but keep them the same on routes to mainland China and Japan. The carrier has announced that the surcharge on flights between Hong Kong, Philippines and other destinations will be more than doubled. HONG KONG Airlines The airline announced that it would increase fuel surcharges up to 35% starting March 12. The biggest increases would be on flights between Hong Kong, Bangladesh, and Nepal where the charges would go from HK$284 to HK$384 (US$49). British Airways' owner IAG stated on March 10, that it does not intend to increase ticket price immediately as it has hedged a large amount of fuel in the short to medium term. INDIGO India's largest airline announced that it will begin charging fuel fees on both domestic and international flights as of March 14. The charges include 900 rupees per flight to the Middle East, and 2,300 rupees per flight to Europe. Sources say that the company is lobbying for fuel tax reductions by the Indian government. JETBLUE AERWAYS As a result of "rising operating expenses", the low-cost carrier in the United States has increased fees for optional services, such as checked baggage. The airline said that baggage prices would rise either by $4 or $9. Sources with knowledge on the subject have confirmed that KOREAN will be in emergency mode as of April due to rising oil costs. The airline will implement a phased response based on the oil price level and increase company-wide efficiency to offset rising fuel costs. PAKISTAN INTERNATIONAL FLIGHTS The carrier announced that it would increase domestic flight fares up to $20, and international fares up to $100. It cited higher fuel surcharges. Scandinavian Airlines announced that it would cancel 1,00 flights in April due to high jet fuel and oil prices. In March, the airline had cancelled "couples of hundred" flights. SAS, which has already raised flight prices, stated that even if they tried to absorb rising fuel costs, the price increase would still be a major blow to the aviation industry. SPRING AIRLINES Budget Chinese airline announced that it will increase fuel surcharges for domestic flights starting April 5. Details to be announced in due course. SOUTHWEST SOUTHWEST SOUTHWEST SOUTHWEST SOUTHWEST SOUTHWEST SOUTHWAST AIRLINES The American carrier announced that it would increase the fees for checked bags by $10 each for the first two bags. This will bring the cost to $45 and $55 respectively for the first bag. The Portuguese airline claimed that its price increases would partially offset the impact of fuel prices changes on its revenues. THAI AIRWAYS The airline based in Thailand said that it would increase fares between 10% and 15% due to rising fuel prices. TURKISH AIRLINES LUFTHANSA SunExpress, the joint venture between Turkish Airlines, Lufthansa and Lufthansa announced that it would be imposing a temporary fuel charge of 10 euros per person from May 1, on routes between Turkey and Europe. The fuel surcharge will be applied to all bookings made after April 1, for departures after May 1. UNITED AIRLINES Scott Kirby, CEO of the U.S. carrier, said that the airline will cut unprofitable flights in the next two quarters to prepare for the oil price remaining above $100 by the end 2027. Andrew Nocella, United's Chief Commercial Officer, said that the company was able to increase fares in response to a rapid rise in jet fuel and oil prices. In a statement sent via email, the carrier said that it would also be increasing the first and second checked bags fees by $10 to customers traveling in North America, Mexico, Canada, and Latin America. VIETJET A potential fuel shortage has led to the Vietnamese budget airline reducing flight frequencies on certain routes. VIETNAM Airlines Vietnam's Aviation Authority announced that the carrier will cancel 23 flights per day on domestic routes starting in April after it requested assistance from the government to remove an environment tax on jet fuel. VIRGIN AUSTRALIA Virgin Australia announced that it would be adjusting its fares in order to reflect the rising costs across the aviation industry, which were being exacerbated significantly by the Middle East situation. WESTJET Canadian Press reported that the airline would add a fuel surcharge of C$60 ($43), and will combine some flights to reduce costs.
PDVSA, Reliance resume oil swap under United States permission, file shows
Venezuela's state oil business PDVSA and India's Reliance Industries have resumed an oil swap that had actually been paused due to U.S. sanctions on the South American nation, an internal PDVSA file seen on Thursday showed.
Reliance and other Indian refiners had actually imported Venezuelan oil earlier this year under a broad U.S. license that expired in April. In July, Washington approved Dependence an individual permission green-lighting the trade.
Before sanctions, India was Venezuela's 2nd largest market for its crude. Due to the U.S. procedures and different licenses issued to a few of PDVSA's joint endeavor partners, China has this year remained the primary destination for Venezuela's oil, followed by the United States and Europe, according to deliver tracking information.
A supertanker carrying about 1.9 million barrels of Venezuelan Merey heavy crude departed previously this month for India's Sikka port, while an unit of Dependence delivered a. 500,000-barrel cargo of heavy naphtha to PDVSA this month in. exchange, according to the document.
PDVSA and Dependence did not immediately respond to ask for. remark.
Dependence, which runs the world's biggest refining. complex, plans to pay in cash for the balance of the crude. purchases after the swaps, a source told Reuters in August, in. a plan comparable to past exchanges.
U.S. President-elect Donald Trump informed press reporters this. week his nation does not need oil from Venezuela, which. currently exports about 240,000 barrels each day (bpd) to the. United States, mostly delivered by oil manufacturer Chevron.
Chevron did not provide talk about Trump's remarks.
Possible changes in the U.S. sanctions regime on. Venezuela, which because 2019 overcome a combination of. executive orders and licenses, might result in a brand-new disruption. of the OPEC nation's heavy oil streams to the U.S., while also. halting Venezuela's imports of fine-tuned products from the United. States.
If that occurs, the Venezuelan barrels presently. exported to the U.S. are expected to be rerouted to Asian. destinations, analysts and professionals have actually stated.
Venezuela's government has said the U.S. sanctions are. invalid steps that total up to an financial war developed. to cripple Venezuela. President Nicolas Maduro and his allies. have actually cheered what they say is the nation's durability regardless of. the measures.
(source: Reuters)