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North Korea and China resume passenger trains service after a six-year break
An official ticketing office said in Beijing on Tuesday that tickets for the first passenger trains?in six-years from Beijing to Pyongyang's capital were sold out before its departure date of?March 12?. The return of rail service suspended in 2020 due to the COVID-19 pandemic, restores an important transport link between North Korea and its main economic ally. According to the Beijing ticketing office, entrepreneurs, government officials, and journalists purchased tickets for the trip, which was restricted to those with business visas. Tickets are still available for the service scheduled for 18 March. North Korea is still largely closed to tourists China's State Railway told the Yonhap News Agency that the Pyongyang to Beijing train will begin its round-trip service four times per week on March 12. Yonhap reported that only the last two carriages would initially be used to transport passengers, most of whom were on official business. Tickets could then be sold to the public depending on seat availability. North Korea is closed to foreign tourists, with a few exceptions, mostly for Russian tour groups, under certain restrictions, according to travel agencies that organise trips to the country. The?agencies reported that before the pandemic Chinese tourists made up the majority of foreign tourists in North Korea. The tour organisers announced on Monday that North Korea has cancelled the Pyongyang Marathon next month for unknown reasons. The race is one of the few events in the isolated country that are open to international competitors. Reporting by Kyu Seok Shim, Beijing Newsroom, Editing by Bernadettebaum, Ed Davies and Andrei Khalip
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Ninety one, an investment manager, increases its aluminium bets in response to the Strait of Hormuz crisis
Ninety one increased its aluminium exposure in its Global Natural Resources Fund after Middle East?conflict caused the Strait of Hormuz to be closed, threatening the global supply of the metal. Around seven million metric tonnes of aluminium is smelted in the Middle East, which represents 9% of global production. George Cheveley who manages this fund with Paul Gooden and Dawid Heyl said, "We could lose an important amount of supply in a market which is already quite tight." "We were over-weight aluminum a week ago, and now we are even more so," said George Cheveley. Cheveley said in an interview that we've added aluminum manufacturers who are not affected, mainly Hongqiao. Rio Tinto, a diversified miner that produced 3.4 millions tons of aluminium last year for the packaging, transport and construction industries is also included in the fund's exposure to the metal. The feedstock for aluminium smelting includes power, carbon, and alumina made from bauxite. Aluminium Bahrain, or Alba, one of the largest smelters in the world, announced force majeure last week, warning customers about delays to shipments. Meanwhile, Qatari smelter Qatalum began to shut down. The problem for EGA, Qatalum, and Alba is that they import alumina. Cheveley said that EGA imports bauxite as well as alumina. "If they don't think that the Straits will open next week, more production will be taken offline." Aluminum production is extremely vulnerable to disruptions in energy supply because smelters can't be quickly shut down and restarted. If you cut?power abruptly, it could damage the pots which hold?the metal. Smelters must reduce production gradually to avoid permanent damage. After pots have cooled down, restarting is a slow and laborious process. This keeps metal off the market for a long time after 'the initial shock. If the conflict continues, global aluminum demand could fall anyway. Cheveley stated that if it drops 5% then the problem will be solved.
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Data shows that diesel exports to Russia from Primorsk are expected to increase by 13% m/m for the period March 1-10.
The data and calculations from trade sources show that the loadings of ultra-low sulphur diesel from the Baltic Sea port of Primorsk between March 1-10 will have risen to a total of 630,000 metric tonnes. This would be an increase of 13% from the 560,000 tons produced in February. Primorsk's diesel exports are increasing as the harsh weather has caused a storage of cargos. After unplanned maintenance several?refineries have also been brought back into operation, increasing fuel production at a time when domestic demand is still low. The traders stated that the global demand for diesel fuel, driven by the Middle East conflict, is also a factor in driving exports of diesel from the Russian port. Due to disruptions in oil supplies, several large Middle -East refineries declared force majeure. This led to diesel shortages. LSEG data indicates that most of the diesel cargoes loaded between?March 1, 2010 and?March 10, 2010 are headed to?Turkey or Brazil.
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Indian edible oil buyers secure immediate shipments as prices rise
Five dealers said that the Middle East conflict and rising vegetable oil prices are driving Indian buyers to purchase oil as soon as possible. India, the world's largest vegetable oil importer, may be able to limit any further price increases in palm oil, sunflower oil and soyoil. However, it could tighten up local supplies by April. Mumbai-based dealer of a global trading house said that local edible oil prices have increased in recent days in response to a rally on global markets. However, refiners are reluctant at these higher levels to purchase overseas. He said that "buyers are not confident that prices will continue to rise or that suppliers of soyoil, sunflower oil, and other oils will be able deliver on time" because freight rates were rising. India imports a large amount of sunflower oil from Russia and Ukraine and a lot of soyoil from Argentina and Brazil. The average sea voyage from South America takes six weeks, while the Black Sea usually takes three to four weeks. Sandeep Bajoria is the chief executive officer of Sunvin Group. A vegetable oil brokerage. The market is worried that if the Middle East conflict escalates sunflower oil shipments may be diverted to Africa rather than passing through the Red Sea. He added that diverting via Africa could add more than ten days to the transit time, and would increase freight costs up to $20 per ton. India imports palm oil, and also purchases it from Indonesia, Malaysia, and Thailand. Shipments usually reach India's ports within a week. A New Delhi-based trader at a global trading house said that palm oil shipments would be able to meet Indian demand. However, buyers are still reluctant as recent price increases have pushed the refining margins down into negative territory. "Buyers prefer to purchase the lower priced inventory from local sellers than higher-priced exports. He said that they are waiting for global prices to be corrected. Last month, the landed price of crude palm oil imported was almost $100 lower per ton than crude soyoil, but now the two oils can be purchased at the same price.
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Fuel costs are increasing, so airlines are reducing their prices and cutting back on their outlook.
The U.S. and Israel war against Iran has caused a surge in jet fuel costs, which has impacted the global aviation industry. Airlines have raised fares, revised financial forecasts, and increased fares. In recent days, jet fuel prices have risen from $85 to $90 per barrel up to $150 to $200 per barrel for an industry that accounts for as much as a quarter in operating costs. Here is an alphabetical list of the ways airlines are responding to this issue: AIR NEW ZEALAND - The airline announced on Tuesday that it would be increasing ticket prices and suspending its earnings forecast for fiscal 2026 due to the unprecedented volatility of global jet fuel markets. Price increases for domestic flights are NZ$10 ($6), NZ$20 on short-haul services, and NZ$90 for long-haul flights. Further price, schedule, and network changes may be made if jet fuel costs continue to rise. CATHAY PACIFIC AIRWAYS Hong Kong Airlines said Tuesday that it had added additional flights in March to London and Zurich to deal with disrupted travel routes. The airline stated that it reviews fuel surcharges on flights from Hong Kong to Europe and North America monthly, and they remained at $72.90 last month. HONG KONG Airlines Local carrier announced that it will increase fuel surcharges up to 35.2% starting Thursday. The biggest increases are on flights between Hong Kong, the Maldives and Bangladesh, and Nepal, where the charges will go from 284 Hong Kong dollars to 384 Hong Kong dollars ($49). QANTAS AIRWAYS On Tuesday, the Australian airline announced that it would 'raise fares' on international routes during the week of the 9th March and is looking at adding capacity to its existing Europe routes. SAS (Scandinavian Airlines). The dominant airline of the Nordic countries announced on Tuesday that they had made a temporary adjustment to their prices due to the rising costs for jet fuel. VIETNAM Airlines Local officials said that the Vietnam-based airline had requested assistance from the government to remove an "environmental tax" on jet fuel. Operating costs for Vietnamese airlines, they claimed, have risen by 70% as a result of rising jet fuel prices. Reporting by Mireia Kaesebier and Marleen Merino; editing by Matt Scuffham
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Gold gains and oil price declines counteract each other to boost TSX futures.
The Canadian stock index futures rose on Tuesday as the gold rally cushioned the oil price decline after President Trump said that the Middle East war could soon be over. This kept investors cautious in the resource-heavy markets. As of 5:57 a.m., March futures for the S&P/TSX Composite Index gained 0.4%. ET. U.S. Stock Futures edged upwards Tuesday, as optimism about a faster resolution of the Middle East conflict eased fears over inflation due to energy. Toronto's benchmark index closed higher on Tuesday after briefly reaching its lowest intraday levels since February 6. Trump said Monday that the conflict with Iran might end "soon", causing crude oil prices to fall below $100, after spiking as high as $119 one day earlier. Crude oil remains volatile, with crude falling as much as?11%?the day after a?20% gain on Monday. This is affecting Canada's commodities-heavy markets. The G7 nations announced on Monday they are ready to take the "necessary steps" to reduce surging oil prices, but did not commit to releasing emergency reserves. As of 0954 GMT, spot gold was marginally higher at $5,182.85. U.S. Gold Futures for April Delivery rose 1.9% to $5199.70. The monetary policy outlook will be determined by the U.S. jobs report and U.S. inflation numbers due later this week. The timing is perfect as the Bank of Canada faces increasing geopolitical risks and supply-side challenges ahead of its policy decision on March 18. Scotiabank has downgraded Air Canada from "sector Outperform" to "sector Perform" and reduced its target price from C$27 to C$21. CLICK CODES TO GET CANADIAN MARKETS UPDATES TSX Market Report Canadian Dollar and Bond Report Global Stocks Poll for Canada Canadian Markets Directory (Reporting and Editing by Vijay Kishore in Bengaluru, with Rashika Singh reporting from Bengaluru)
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India increases coal usage for summer electricity as Mideast crisis affects LNG supplies
Two industry 'officials' said that India would likely rely more on its coal -capacity this summer to meet the peak demand for electricity as liquefied gas supplies become tighter after shipping disruptions caused by the u.s.-israeli war against Iran impacted?exports of major producers. New Delhi usually pushes the power plants to increase production during the summer months of April-June, including expensive gas-fired generators, to meet the surging demand for electricity. It also subsidises companies' costs to shield the customers from higher prices. An official familiar with the matter said that the government has not received any bids yet from power companies for supplying 12,000 megawatts-hours of gas-based electricity during the summer months. The tender will be closed in two days. Second official stated that the power ministry is working to get coal plants back online after planned outages. They also advise generators to avoid shutting down during summer peak months. Two sources from the company said that NTPC, India's largest utility, has informed India's grid regulator they will not be able to provide gas-fired power? during the summer months of April-June. NTPC and federal power ministry have not responded to emails seeking comments. EMERGENCY DISPOSITIONS India invoked emergency provisions, declared force majeure and reprioritised natural gas supply to key sectors like households and fertiliser factories. Petronet LNG Ltd., India's largest?gas importer has also sent a notice of force majeure to its customers, including the top power suppliers GAIL (India) Ltd., Indian Oil Corp. and Bharat Petrol Corp., after supplies from Qatar and Abu Dhabi National Oil Company ceased. The country has about 20 gigawatts of gas-based power generation capacity. This is typically operated at 6-10% due to the high cost of LNG but increases to around 30% in summer. India will not face any material power cuts even if the peak demand reaches between 250 and 260 GW in this?summer. This is because there are ample coal, lignite nuclear, hydro, and wind capacities, according to Gautam 'Shahi senior director at Crisil Ratings. India relies on coal for?75% or its electricity generation. Vasudev Pamanani, director of Gujarat-based coal trader i-Energy Resources, said that India's thermal market has seen steady import demand. This is especially true for coal grades used by electricity producers. Sethuraman NR, Saad Sayeed (Editing and Reporting)
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US container imports dropped 6.5% in February but are still the fourth highest on record according to Descartes
According to Descartes Systems Group, a provider of supply chain technology, U.S. container volumes dropped 6.5% in February compared to last year. This is typical for the holiday shopping season following the winter holidays. The U.S. seaports handled 2,093,422 TEUs (standard measure of container volume)?last?month. Descartes reported that this was the fourth strongest February in history. This performance highlights the relative resilience in U.S. demand for imports, despite ongoing policy and economic uncertainties," the 'firm' said. It added that import volumes in February 2025 were likely inflated due to importer frontloading aimed at rushing goods into the country before U.S. president Donald Trump’s new tariffs took effect. Imports from China were 728,562 TEUS last month. This is a 16.5% drop year-over-year. Descartes reported that China's share in total U.S. container imports rose marginally to 34.8%. Imports from India, Thailand, and South Korea each experienced larger declines. Descartes stated that "trade conditions are increasingly shaped by geopolitical shifts and escalation," The U.S. Supreme Court ruled in a 6-3 decision on February 20, that Trump had overstepped his powers by using emergency powers to impose "sweeping tariffs." His administration announced an immediate 10% tariff on all imports, with plans to increase it to 15% for 150 days. On a different front, the?U.S. The attacks by the U.S. and Israel on Iran has slowed down the essential oil trade across the Strait of Hormuz, causing fuel prices to soar. MSC, the industry leader in container carriers, has implemented emergency fuel fees and stopped picking up and delivering cargo to Gulf ports. This could cause a 'backup' that would cascade throughout global supply chains. It has also reignited fears that Iran-backed Houthi militants may resume attacks against commercial ships in Red Sea. (Reporting and editing by Jamie Freed; Lisa Baertlein)
Economic Times reports that India has eased investment restrictions against China
The Economic Times reported that sources indicated that the Indian cabinet approved the relaxation of restrictions on foreign investments coming from China and other countries bordering India to boost capital inflows into the world's fifth largest economy.
India will be more cautious about Chinese investments in 2020 as the relations between India and China soured following clashes that took place between their soldiers along a largely unmarked Himalayan border, which resulted in 20 Indian soldiers and four Chinese being killed.
Since then, Chinese companies investing in Indian companies must obtain security clearances from the Indian home ministry and?foreign ministry.
NITI Aayog is India's policy think-tank. It suggested last year that?Chinese firms could take a 24% stake in an Indian firm without approval.
New Delhi, facing steep U.S. Tariffs, has been cautiously re-establishing ties with Beijing since last summer. In August, Indian Prime Minister Narendra Modi met Chinese President Xi Jinping and discussed 'ways to improve ties.
Since then, India and China have resumed direct flights and New Delhi has 'eased visa procedures for Chinese professionals.
Last month, a report said that India had also eased the?curbs? on the purchase?of Chinese equipment?by state-owned?power and coal?companies. Reporting by Nikunj Ohri, Sarita Chaganti and Sharon Singleton. Editing by YPrajesh and Sharon Singleton.
(source: Reuters)