Latest News
-
US Senators introduce bill to shorten airport security lines
Bipartisan senators from the United States proposed on Wednesday new baggage screening systems at airports and technological updates at checkpoints in order to improve security while reducing wait times. Air travel is reaching record levels. Senator Jerry Moran (Republican), chair of the subcommittee for aviation, and Democratic Senators Chris Van Hollen, Michael Bennet, and Republican John Boozman proposed spending $500,000,000 annually on explosive detection devices for checked luggage and $250,000,000 annually on technology improvements at airport security checks. The money will come from the existing fees that passengers pay -- $5.60 for each one-way ticket. The fees raised $4.5billion last year. Senators claimed that since 2014, more than 13 billion dollars in revenue generated by the fees have been diverted for non-security purposes. The air travel industry has seen a boom in the summer of 2024, and it is expected that this will lead to a new record this year. Moran stated that "increased air travel combined with a lack of investment in checkpoints for security and outdated systems has resulted into outdated screening technology and long security lines." Airlines for America, a group of airlines including American Airlines, Delta Air Lines and United Airlines, praised the bill for being "common sense legislation that returns fees travelers pay for security back to their intended purpose, improving security and facilitation for travellers." Transportation Security Administration and the Transportation Security Administration share the same goal to reduce delays. This month, the government announced that it would no longer require Passengers are required to remove their footwear at security checkpoints. Kristi Noem, Homeland Security Secretary, has also suggested that passengers could be allowed to carry more liquids through the security checkpoints. (Reporting and editing by Franklin Paul, Cynthia Osterman, and David Shepardson)
-
Chinese engines shipped as "cooling units" power Russian drones in Ukraine
According to documents and three European security officials, Chinese engines are being shipped covertly via front companies, to a Russian state-owned drone maker, labeled as "industrial refrigeration units", to avoid detection following the Western sanctions. Despite the U.S. & E.U. sanctions, the shipments allowed Russian weapons maker IEMZ Kupol increase production of its Garpiya A1 attack drone. According to sources and documents including contracts, invoices, and customs paperwork, sanctions were imposed on October to disrupt the supply chain. A document reviewed by showed that Kupol had signed a contract for the production of more than 6,000 Garpiya in this year. This is up from 2,000 Garpiya in 2024. Document stated that over 1,500 drones were already delivered in April. In a recent statement, the Ukrainian Military Intelligence Agency said that Russia uses around 500 long-range drones per month to target civilian and military targets in Ukraine. Due to the sensitive nature of the information, the European security officials requested that they and their organization not be identified. The European security officials also asked that certain details of the documents, like dates and costs of contracts, be kept secret. The European Union and U.S. sanctioned a number of companies that were involved in the production of the drones including Xiamen. According to invoices, a Kupol letter and documents on transportation, a Chinese company called Beijing Xichao International Technology and Trade began supplying L550E engines for Kupol in the wake of sanctions. First time, Garpiya has reported the increase in production and the addition of new intermediaries who supply parts for drones. The news agency was unable to determine how Xichao acquired the engines from Xiamen Limbach. Xiamen Limbach didn't respond to a comment request and couldn't reach Xichao. IEMZ Kupol and Russia's Trade and Industry Ministry did not reply to a comment request. China's Foreign Ministry said in a statement that it had no knowledge of the exports of parts for Garpiya, and has regulated the sales of dual-use products abroad to comply with China's laws and international obligations. The statement read: "China has always opposed unilateral sanction that are not based on international law or authorized by the U.N. Security Council." The European Commission didn't immediately respond to an inquiry for a comment. The U.S. as well as the E.U. The U.S. and E.U. have both imposed sanctions repeatedly on companies from third-party countries including China that are alleged to be providing dual-use technologies to Russia. Kupol is sanctioned by the EU since December 2022 and by the U.S. since December 2023 for its involvement in Russia’s defence sector. DIPLOMATIC AWARNINGS Ursula von der Leyen, President of the European Commission, is scheduled to visit China on Thursday for a meeting with Chinese President Xi Jinping. Premier Li Qiang will also attend. The trip comes amid tensions surrounding Beijing's support to Russia's military effort. Kaja Kallas, top EU diplomat, told Chinese Foreign Minister Wang Yi that Chinese companies' support of Russia in the war was a threat to European Security. She urged China to stop trade that supports Russia's military apparatus. Meia Nouwens said that China's primary concern is to sustain Russia's military effort in order to keep the United States focused on Ukraine. She said, "This doesn't help China and Europe to come closer together diplomatically." China claims it controls the export of drones, their parts and that they have never supplied either side in the Ukraine war with lethal weapons. According to a person who is familiar with Beijing's views on the matter, China produces about 75% of the world's drones. The majority of them are not used for military purposes. If Russia uses them as weapons then Ukraine also does, said the person. One European official stated that the EU did not ask China to cut its economic ties to Russia, but rather to tighten the financial and customs controls in order to reduce the flow specific dual-use products. Three European sources confirmed that the Garpiya (which means harpy) is based on Iranian Shahed drones, but uses Chinese technology. According to the Ukrainian military intelligence agency, the Chinese components included the drone's engine, navigation system, and control systems. According to a document seen by Kupol, the engines were sent by Xichao by a Russian front firm called SMP-138. This company then passed them on to a second Russian company LIBSS. Abram Goldman registered as the owner SMP-138 did not reply to an email request for comments. LIBSS did not answer any of the questions either. The contract that LIBSS signed to supply Kupol the engines was reviewed by us. It stated that they would be referred to as cooling units on shipping documents due their high sensitivity. Kupol's manufacturing facility in Izhevsk is located near the delivery route from Beijing to Moscow. Three security officials stated that by describing the products as cooling units, they were able to export them to Russia without alerting Chinese Authorities. Transport documents examined by revealed that Sichuan Airlines, China Southern Airlines, China’s largest airline, and other Chinese carriers had been transporting drone components to sanctioned Russian firms since October. China Southern has not responded to questions, and Sichuan was not available for comment. (Additional reporting from John Irish in Paris; Andrew Gray in Brussels; Tom Balmforth, in Kyiv; Qiaoyi LI, in Beijing. Editing by Daniel Flynn.
-
Sources say that Clearlake, a private equity firm, has bid on Forward Air.
Three sources with knowledge of the situation said that a handful of private equity companies, including Clearlake Capital and Platinum Equity, had submitted bids for the purchase Forward Air. The process to sell this U.S. trucker is gaining speed. Forward Air, a company that specializes in moving shipments which don't take up an entire truckload, has signaled investors that it wants to wrap up the strategic alternatives review announced in January in a matter of weeks. This could be around the time when the company expects to announce its earnings on August 11th. According to sources, Apollo Global Management and AIP are also bidding for Forward Air. The sources claimed that it was not immediately possible to determine what bidders offered to pay. AIP and Forward Air representatives declined to comment. Clearlake, Apollo Platinum and EQT have not responded to our requests for comment. Sources spoke under the condition of anonymity in order to discuss private talks. They cautioned that no deal was guaranteed, and other bidders may still appear. Reports in June indicated that Apollo and Blackstone as well as Platinum and Clearlake had expressed an interest in bidding on the company. They signed confidentiality agreements to review documents which would inform their decision. Forward Air, based in Greeneville, Tennessee, has seen its share price plummet by 75% since it announced two years ago that it would be acquiring Omni Logistics. The deal was completed at the beginning of 2024. It has increased by 27% in the last month due to expectations that the company would eventually be sold. On Wednesday, it traded at $28.14. Analysts estimate that the enterprise value of the company, when fully diluted, includes net debt and other factors, is closer to 3 billion dollars. In frustration over the acquisition's unpopularity, several investors began to push for the sale of the firm last year, which was announced officially in January. Ancora Holdings (which owns 4%) pushed for the removal of 3 long-serving Directors in May, blaming them for signing the Omni deal, and for stalling sales. They resigned shortly after the annual meeting of the company.
-
Brazil Judge rejects Maersk's request to change $1 billion port auction
A Brazilian judge rejected the request of Danish shipping group Maersk for the suspension of a bid process for the Tecon 10 Terminal at Brazil's Port of Santos, pending the review of its call to allow firms operating in the port to enter the first phase. Maersk has filed a lawsuit against Brazil's maritime transport authority (Antaq) last month, calling for corrections in the bidding process of the new megaterminal to be built and operated at Latin America's biggest port. This was first reported by. The first round of the bidding process for the terminal contract, which will require an investment of 5.6 billion reais (about $1 billion), is barred to incumbent companies. Judge Paulo Cezar Neves Junior stated that he saw no illegality in how the marine authority set up the auction. He also noted that Brazil's Federal Audit Court is also analysing the bidding process. He denied Maersk’s request for an injunction, citing that there was no imminent risk which would justify judicial intervention. Maersk stated in a statement on Wednesday that Tuesday's ruling was a request for new public consultations and did not address its questions about the guidelines which prevent incumbent operators from participating in the first phase of the auction. The company stated that it would be considering an appeal as well as other "appropriate" measures. According to current rules of bidding, if there are no valid bids received during the first round of the auction, the operators of the existing container terminals in Santos may bid in the subsequent rounds if they sell their other interests in the port complex. The marine authority didn't immediately respond to a comment request. These restrictions open the door to new players, such as Asian competitors or local players, like JBS Terminais (the recently established port operation unit of Brazilian meatpacker JBS). JBS Terminais refused to comment. Luciana Magnalhaes reported; Philippa Fletcher edited.
-
Sources: Russia's Black Sea oil exports are suspended due to a lack of paperwork for ship access.
Two industry sources said that the suspension of oil loading at Russia's Black Sea major ports Novorissiisk & Yuzhnaya Ozereevka is due to paperwork related to the new regulations regarding tanker access to ports. One source said that he thought the situation would be resolved within a few days. The suspension will increase the uncertainty on the Mediterranean oil market, which is already jittery after a contamination scare that led to the recent delay in loadings of Azeri BTC Crude Oil from the Turkish Port of Ceyhan. The Caspian Pipeline Consortium and the Russian Ministry of Transport declined to comment. On Monday, President Vladimir Putin signed a law that said foreign ships would need to be approved by the FSB security services in order to enter the ports of Russia. In the decree, it was stated that the FSB (the main successor organization to the Soviet KGB) would be the one to agree with port authorities to allow foreign ships entry. The decree came into effect immediately. Black Sea CPC blend oil exports were set to 1.66 million barrels a day in August or approximately 6.5 million tons. This is almost the same as the July plan. According to industry sources, the July exports and oil transit via Novorossisk were around 2.2 millions metric tons.
-
Chevron: Zinc levels in US Mars oil production within limits
Chevron, the oil producer, said that recent tests showed that zinc levels in Mars' flagship U.S. off-shore crude are within acceptable levels. This month, the start-up a well offshore increased the zinc levels in Mars crude. The tightening of crude supplies at the Gulf Coast's key refining hub led the U.S. Government to release barrels of its emergency stockpile. Chevron stated in an email that it was not aware of any compositional problems with the Mars crude blend. Chevron announced that it is working with Shell, the operator of pipelines to develop a program for monitoring zinc levels in all pipelines. The crude grade price rose 10 cents on Tuesday to trade at $1.30 less than it was on Monday, when it had reached its lowest level in nine months. Exxon Mobil, the world's largest oil company, briefly stopped buying Mars crude at the beginning of July because of contamination. Sources say that the company resumed its purchases for August delivery last week. The company also used the U.S. Strategic Petroleum Reserve to obtain up to one million barrels for its Baton Rouge Refinery in Louisiana. Mars, a medium-sour crude oil produced off the coasts of Louisiana, has been chosen by refineries on the Gulf Coast due to its properties and close proximity. Refineries typically run a certain grade of oil to get the best yields for different types of fuels. Switching crude grades can limit production and shrink profit margins. Zinc is not a natural component of crude oil. Industry sources are concerned that running crude oil with zinc may damage refining units or catalysts. Reporting by Arathy S. Somasekhar, Houston; editing by Ni. Williams
-
Sources say that the US EPA will withdraw its foundation rules for greenhouse gas regulations
Two sources with knowledge of the discussions said that the U.S. Environmental Protection Agency (EPA) plans to reverse the scientific determination that greenhouse gases endanger the public's health. This will remove the legal basis that supports all major climate regulations. The reversal of "endangerment findings" would undermine one of the most important federal standards, which had allowed the U.S. combat climate change through regulation of vehicles, industries and energy-producing plants that emit heat trapping greenhouse gases. The sources claimed that without the finding, it would be easier for the EPA to undo major regulations limiting emissions of greenhouse gases. A spokesperson for the EPA said that the agency had sent its proposal to reconsider the endangerment findings to the White House Office of Management and Budget on June 30, and other federal agencies are currently reviewing it. In an email, an EPA spokesperson stated that the proposal would be made public for public comment and notice once it had been approved by all agencies and signed by Administrator. The Washington Post was the first to report on this decision. The International Court of Justice issued a statement on Wednesday. A landmark advisory opinion The world faces a "real existential threat" from greenhouse gas emissions, and all countries must work together to reduce them. Sources said that the proposal would be based on EPA's legal authority, and not its scientific basis, to regulate greenhouse gas emission. Lawyers said it would be hard to challenge the scientific basis for the findings because the evidence is "unambiguous" that humans cause climate change. It would be an unjustifiable denial of overwhelming scientific evidence and a shocking breach of a clear duty under the law to protect the public. "It would be a national disgrace," said Sean Donahue. He is a lawyer at Donahue Goldberg & Herzog who has represented environmental organizations in cases before Supreme Court. The United States is currently the second largest emitter of greenhouse gases after China. The United States is the second largest emitter of greenhouse gases after China. In its landmark Massachusetts vs. EPA decision in 2007, the U.S. Supreme Court said that the EPA had authority under the Clean Air Act, to regulate greenhouse gases emissions. The court also required the agency make a scientific determination on whether these emissions endanger the public's health. In 2009, under the former president Barack Obama, the EPA issued a conclusion that emissions from motor vehicles contributed to pollution and endangered public health and welfare. The EPA's findings were upheld by several legal challenges, and they influenced subsequent greenhouse gas regulations. During the first term of President Donald Trump, the EPA did not take any action regarding its endangerment findings because industry expressed concerns. Trump's current administration has been focusing on the endangerment conclusion since its inception. In January, EPA administrator Lee Zeldin said at his confirmation hearing that the agency has Authority but not obligation to regulate greenhouse gas emissions. In March, the EPA began a review, following a Trump executive order. Ross Vought, White House Budget Director, said that the review had been "long overdue," because it led to regulations he claimed were harmful to the economy. Zeldin announced more than two dozen de-regulatory measures aimed at " Driving a dagger into the heart "The climate change religion." Reporting by Valerie Volcovici, Editing by Chizu nomiyama and David Gregorio
-
COMEX copper reaches record highs as the August 1 deadline for tariffs looms
The copper price in the United States rose 3.6% to $5.93 per lb on Wednesday, a new record. This is ahead of Donald Trump's planned 50% tariffs on August 1, which will be imposed on imports. The COMEX copper contract that is most actively traded has gained 32 percent since Trump's investigation into the copper tariffs in February. This prompted a massive flow of metals to the U.S., to take advantage the premium offered over the London Metal Exchange benchmark. The COMEX premium over LME copper was also at a record-high on Wednesday. It topped $3,100 per metric tonne. Trade Data Monitor reports that copper exports to the United States during the first five months 2025 increased by 127% on an annual basis, reaching 680,727 tonnes. The LME is the source of most copper exported to the United States. Between mid-February and the end of June, LME stocks dropped by 66% to almost 90,000 tonnes, the lowest level since August 2023. LME stock levels have rebounded since then to 124 825 tons, as only those shipments already in transit are expected to make it to the U.S. before the deadline of August 1. Reporting by Eric Onstad, Pratima Dasai and David Gooding.
INDIA RUPEE-Rupee dips but firmer yuan, exporter dollar sales cushion losses
The Indian rupee finished Wednesday slightly weaker, with the strength of the Chinese yuan helping to keep the currency above an important psychological support level.
The rupee closed the session at 86.4075 against the U.S. Dollar, down from the previous close of 86.3675 but still holding above the 86.50 level.
The offshore Chinese Yuan reached a three-week high, while the dollar index fell a bit to 97.4.
A large private bank's dollar sales and exporter activity helped to contain the rupee's losses for the day. Positive regional cues were also helpful, according to a trader from a state-run banking institution.
The BSE Sensex, and Nifty 50, India's benchmark equity indices, closed up by 0.6%, each. This was in line with gains made by global equities, which were boosted by the hopes that trade tensions would ease after a recent deal between the U.S.
In a recent note, ING stated that "equity markets around the world are rallying because they believe that transactions reduce uncertainty."
Donald Trump, the U.S. president, also announced a new trade agreement with Philippines. He released details of an earlier deal with Indonesia and stated that EU representatives would be coming to trade negotiations in Washington on Wednesday.
Next week, officials from China and the U.S. will also meet to discuss a possible extension of the deadline to negotiate a trade agreement.
India's chances of reaching a deal by the deadline of August 1 have diminished, as talks on tariff reductions for key agricultural and milk products are at a standstill.
Dilip Parmar is a foreign exchange analyst at HDFC Securities. He said that the pressure on the rupee has been maintained by the outflow of portfolios from abroad and the failure to reach a conclusion on trade negotiations.
Parmar believes the rupee will fall towards 86.70 within the next few months. (Reporting and editing by Jaspreet K. Kalra)
(source: Reuters)