Latest News
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Boeing asks FAA for an emissions waiver in order to sell 35 more 777F freighters
Boeing has asked the Federal Aviation Administration to waive the airplane emission rules so that it can sell an additional 35 Boeing 777F Freighters. The company cited strong customer demand as well as a delay in the certification of the next-generation aircraft. The new rules will come into effect in 2028. Boeing stated that the next-generation Freighter 777-8, which is expected comply with the limitations, will not be available until after this date. Boeing stated that the waiver would enable it to meet customer demand before the 777-8F enters service. Boeing stated that it would seek approval by May 1. The company expects to deliver its first 777-8F about two years after delivering the 777-9 which is scheduled for 2027. In February 2024, under then-President Joe Biden's leadership, the FAA issued final rules adopting international standards for reducing carbon pollution by most large aircraft flying in U.S. Airspace. These rules do not apply to aircraft in service prior to that date. Boeing stated that large widebody cargo aircraft are essential to exporting goods. Boeing stated that of the $600 billion worth of goods exported via air cargo by 2024, over $260 billion was transported on large freighters. Boeing said that each 777F exported to a foreign customer contributed $440 million in catalog value to the positive trade balance. This means that over $15 billion of U.S. Export Value could be lost without an exemption. Boeing claimed that the 777F was the most fuel efficient airplane on the global freight market, and it is also the only large-widebody freighter currently in production. Congress passed a law last year that allowed Boeing to continue 'producing its 767 Freighter in the United States for five more years, until 2033, and exempted it from FAA efficiency regulations taking effect in 2020. The FAA stated last year that "civil aircraft are responsible for 9% domestic transportation emissions, and 2% total U.S. CO2 pollution." The U.S. announced a climate plan under Biden that aims to achieve zero greenhouse gas emissions in the U.S. Aviation sector by 2050. (Reporting and editing by Edmund Klamann in Washington, David Shepardson from Washington)
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Seven people were killed by Russian missiles that attacked port infrastructure near Odesa in Ukraine, according to the deputy prime minister.
Seven people were killed and 15 injured in a Russian missile strike on Friday night, late at night, against port infrastructure around the Black Sea port city of Odesa. Oleksiy Kuleba, Deputy Prime Minister Oleksiy Kuleba's Telegram post said: "Russia attacked port infrastructure in Odesa with ballistic missiles late at night." Oleh Kiper, regional governor of Kuleba-Odesa, said preliminary reports indicated that seven people were killed, and fifteen injured. According to a?source with knowledge of the matter, the attack took place at Pivdennyi - one of the three ports in the region. Odesa is a major exporter of Ukrainian grain, and has been the target of Russian attack since Russia invaded their?smaller neighbor in February 2022. In recent days, the intensity of?attacks has increased. One attack damaged a bridge southwest from?Odesa, cut off a major route connecting the city to?the Danube River Port of Reni, and complicated border crossings into Moldova and Romania. (Reporting and editing by David Gregorio; Oleksandr Kozohukhar, Ron Popeski)
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Trump Administration imposes restrictions to Mexican train crews working inside US
After inspections raised safety concerns about the English skills of some staff, the U.S. Transportation Department announced Friday it would place restrictions on Mexican train crews operating in the United States. Federal Railroad Administration of the Department sent letters to Union Pacific and Canadian Pacific Kansas City Limited on Friday after inspectors found that inbound crews appeared to be having difficulty understanding bulletins and communicating with inspectors safety requirements in English. The Department of Transportation?said that uncertified crews operating trains for the two railroads in the U.S. could not travel more than 10 miles from their entry point. They must also stop at the customs checkpoint and all interpreters must have safety certification. Both railroads did not comment immediately. Sean Duffy, Transportation Secretary, said that the FRA is addressing concerns about cross-border train drivers who lack basic English language skills. Duffy had previously tightened rules that required truck drivers to have a basic understanding of English and threatened withholding funding from the states if they did not comply. If you are operating a big rig weighing 80 tons or a freight train weighing a ton, you must be fluent in English. Duffy stated that if you don't speak English, you pose an unacceptable risk to your safety. These common sense steps will ensure that every train crew operator is able to communicate with inspectors and comprehend basic operational bulletins. The FRA warned the railroads that because "hazardous material documents and 'emergency response info are required to be maintained... in English, the ability of operating crews to understand these materials is critical". It also warned that incidents where crews were operating in the U.S. with a lack of sufficient English language understanding to perform their duties in a safe manner could lead to the Trump Administration taking enforcement actions. Teamsters union says USDOT has taken "decisive action" to limit cross-border railroad activities from Mexico. The union also praised USDOT for prioritizing safety of trains entering the United States and protecting union jobs in the railroad industry.
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US Army Corps of Engineers: Dakota Access pipeline should be operated as usual
The U.S. Army Corps of Engineers released a much-anticipated 'Environmental impact statement for the Dakota Access Pipeline on Friday. It recommended that the oil pipeline operations?continue... with some conditions. The EIS is a document that must be produced by the DAPL operator Energy Transfer to assess the environmental impact of federal actions. This represents a victory for Energy Transfer, and a significant step towards the end of a long-running court battle between Energy Transfer, the company, and the Native American tribes who are fighting to close the pipeline. The 'document' recommends that DAPL continue to operate, if safeguards such as groundwater monitoring and fish tissue residua analyses, water & sediment sampling as well as new leak detection technologies are implemented. In 2022, a U.S. Court ordered that the federal government conduct a more thorough EIS on the crude pipeline route of 1,800 km (1,100 miles). This was in response to the dispute between Energy Transfer, and tribes citing water quality concerns as the pipeline crosses Lake Oahe just half a mile from the Standing Rock Sioux Reservation. While the review was being conducted, the pipeline continued to operate. It is the largest oil pipeline coming from the Bakken oil basin and can transport 750,000 barrels per day of oil from North Dakota to Illinois. The USACE recommendation has not been implemented. (Reporting and editing by Paul Simao in Houston, Georgina McCartney from Houston)
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Italy sells digital payments unit PagoPA for up to 500 million euros to Poste, the state mint
The mint announced on Friday that Italy's Treasury had?agreed? to sell PagoPA (which handles digital payments to public administrations) to the state mint, and the Poste Italiane, backed by the Italian state, for up to 500 millions euros (586 million dollars). Italian banks have expressed concern about the deal in recent months because it could increase competition among smaller lenders who are already struggling to keep up with rapid changes in payments. The mint did not provide any further information. Sources have previously stated that lenders voiced their concerns to the Treasury about Poste using PagoPA?to bolster its position in digital payments where it has an already significant presence and competes directly with banks. The deal, which was struck to satisfy the concerns of the Italian antitrust authority and the banks, gives 51% ownership of PagoPA over to the mint. Poste, a Milan-listed company, will hold the remaining 49%. Apple, Alphabet-owned Google and PayPal are among the global players that have increased their competition with banks in terms of payments. Poste is now a financial conglomerate that has expanded beyond its core postal services into mobile services, energy, insurance, and investment products. PagoPA is expected to be a major player in Rome's 'plan' to create a digital wallet via the IO app. It allows users to store official documents including digital credentials and pay public entities.
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The new airline group formed by the Volaris and Viva merger will have lower fleet costs.
Executives from both companies said that the proposed merger?of Mexican low-cost carriers Volaris Aerobus and Viva Aerobus aims at putting the new 'airline group' in a stronger position to negotiate its most expensive costs, including acquiring & renting aircraft. Exclusively reported on Thursday, Volaris confirmed that the two airlines were close to an agreement. "Reducing aircraft ownership costs is a significant opportunity, as they are the biggest expense - even more than fuel," Viva's CEO Juan Carlos Zuazua told analysts in a conference call. He added that "major global carriers, such as Viva and Volaris, operate with up to 60% less ownership costs than their Latin American counterparts." Both airlines fly exclusively Airbus aircraft and have similar routes. The new group, Grupo 'Mas Vuelos', will trade under the Volaris brand and Viva as separate brands. This would make it Mexico's biggest domestic airline by far. Volaris shares jumped nearly 17% following the call, putting them on track to have their best day ever. According to the agreement, both companies will merge in a merger on equal terms. Volaris CEO Enrique Beltranena admitted that his carrier represented approximately 60% of the enterprise value, while Viva contributed 40%. Volaris had a higher net debt. He said that when you convert enterprise value to equity value the relative equity contributions are much closer. REGULATORY HUNDLES AHEAD Analysts pressed executives repeatedly on the regulatory process to clear the deal. The two Mexican carriers accounted for 69% of all passengers carried in the period from January to October. Aeromexico was the next largest airline, and is expected to be against this merger. Beltranena stated, "We are confident in the merits of the transaction." Beltranena said, "We prefer not to speculate right now on the outcomes or potential outcomes or conditions or remedies" stipulated the regulator. Mexico's government disbanded its independent anti-competition regulatory agency, Cofece. Its powers were transferred to a new organization controlled by the Economy Ministry.
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Union Pacific begins regulatory review of $85 billion coast to coast rail merger
Union Pacific and Norfolk Southern filed a nearly 7,500-page merger request with the U.S. Department of Justice on Friday. Surface Transportation Board (STB) will now have 30 days to review the plan and request more information. It can also propose some initial remedies. The filing opens up a formal response window for all stakeholders, including shippers and labor unions as well as rival railroads and consumer advocates, to comment on the $85 billion deal. In July, analysts and executives in the industry were surprised by the merger agreement between Union Pacific and Norfolk Southern. The analysts said that a merger proposal like this, which was publicly supported by President Donald Trump, could have been subject to 'tougher antitrust scrutiny in previous administrations. Public disclosures reveal that Union Pacific was one of the companies who contributed to Trump's White House Ballroom Project. Both sides confirm that UP Chief executive Jim Vena met Trump in the Oval Office to discuss the merger in September. Vena and Trump said that creating a single East West railroad aligns with President Trump's vision to "make America Great Again." Todd Dubner from KPMG, the consulting firm, said: "This is an innovative deal that could reshape how goods are transported in the U.S. from coast-to-coast if it can pass regulatory hurdles." Plan Draws Opposition From Competitors This proposal has been met with strong opposition by competitors in a consolidated industry. The?U.S. market is dominated by four Class I freight railroads. Four Class I freight railroads dominate the?U.S. UP and NS claim that a single-line service would remove the East-West barrier, especially the expensive and time-consuming Chicago interchanges. This would, they say, reduce the number of handoffs and improve transit times. It would also help rail compete better with long-haul trucks. Vena, from Union Pacific, said that he was confident of the approval. We will be left behind if we do not move. That's not for me. Vena stated that the benefits of this deal are indisputable. BNSF is owned by Warren Buffett and Berkshire Hathaway. The company said that the merger would reduce shipper choice and increase rates. BNSF CEO Katie Farmer stated that the company was still reviewing the filing, and would have more information soon. However, she added that it "doesn't change BNSF’s opposition to proposed?merger." She said that the transaction posed a serious threat to the U.S. consumer and economy because of its long-term harms. Canadian Pacific Kansas City, (CPKC), has also criticized this deal in the past. Its CEO said that the company is not interested in any further consolidation. Anthony Hatch, a independent analyst, says that the future of rail consolidation is still uncertain. CSX, BNSF, and Canadian Pacific may eventually join forces to respond to the UP-NS offer, depending on the concessions made by the STB, such as market access, or operational advantages. He said that if these railroads gain enough market access via the STB process they might decide to remain independent. If not, they could be outmatched and forced to merge unless they merged. It is still too early to tell. CSX will review the STB filing and participate in the STB to ensure that it is well positioned for competition, the company stated. Hatch stated that the UP-NS merger is the first major merger of railroads reviewed under the STB framework, adopted in 2001. This requires railroads prove a merger enhances competition, not just preserves it, and shows clear public interest benefits. Sabrina Valle reported from New York, and Nick Zieminski edited the story.
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Union Pacific begins regulatory review of $85 billion coast-to-coast rail merger
Union?Pacific filed a merger application of nearly 7,000 pages with the U.S. Department of Justice on Friday. Surface Transportation Board (STB) will now have 30 days to review the plan and request more information, or make initial "remedies" as it evaluates the creation of the nation's only coast-to-coast railroad. The filing opens up a formal response window for all stakeholders, including shippers and labor unions as well as rival railroads and consumer advocates, to comment on the $85 billion deal. In July, analysts and executives in the industry were surprised by a merger agreement between Union Pacific and Norfolk Southern. The analysts said that such a merger proposal, which was publicly supported by President Donald Trump, had been subject to more intense antitrust scrutiny in previous administrations. Public disclosures reveal that Union Pacific was one of the corporations?that contributed to Trump’s White House Ballroom Project. Both sides confirm that UP Chief executive Jim Vena met Trump at the Oval Office to discuss the'merger' in September. Vena and Trump said that creating a single East West railroad aligns with President Trump's vision of "making America great again." CONSOLIDATION This proposal has been met with strong opposition by 'competitors' in an industry that is already highly concentrated. The U.S. freight market is dominated by four Class I railroads, with Union Pacific and BNSF dominating the west and Norfolk Southern and CSX in the east. UP and NS claim that a single-line service would remove the East-West barrier, especially the expensive, time-consuming Chicago interchanges. This would, they say, reduce the number of handoffs and improve transit times. It would also help rail compete better with long-haul trucks. Jim Vena, CEO of Union Pacific, said that he was confident about the approval of this deal by regulatory authorities. We will be left behind if we do not move. That's not for me. Vena stated that the benefits of this deal are indisputable. BNSF is owned by Warren Buffett, whose Berkshire Hathaway company has billionaire status. Buffett has argued that the merger will reduce shipper options and increase rates. He also warned it would create a "railroad of such immense scope" it could undermine competitiveness along key corridors. Canadian Pacific Kansas City, (CPKC), has also criticized this deal. Its CEO said that the company is not interested in more consolidation and questioned whether a transcontinental merger of such?scale would serve the public interest. Anthony Hatch, a independent analyst, says that the future of rail consolidating is still fluid. CSX will review the Friday filing, and BNSF, Canadian Pacific, and UP-NS could 'eventually' pair up to respond to the UPNS bid depending on the competitive concessions, the market access, or the operating?advantages that the STB grants. If these railroads are able to gain enough market access via the STB process, then they might decide that they want to remain independent. But if not, they could be outmatched, unless they merge. CSX will review the STB filing and participate in the STB to ensure that it is well positioned for competition, the company stated. Hatch stated that the UP-NS merger is the first major merger of railroads reviewed under the STB framework, adopted in 2001. This new STB framework requires railroads prove a merger enhances competition, not just preserves it, and shows clear benefits to the public, Hatch added. (Reporting and editing by Nick Zieminski in New York, Sabrina Valle from New York)
Ukraine claims it has hit a Russian oil rig and patrol ship in the Caspian Sea
Ukraine has confirmed that its drones have struck a Lukoil oil rig in the Caspian Sea, as well as a military patrol ship near a Lukoil rig. This comes amid a new round of attacks by Kyiv on Moscow's oil infrastructure.
The Ukrainian general staff confirmed that the attack took place on Friday. It is part of a series of strikes against Russian drilling infrastructure at the Caspian Sea in recent weeks. However, this was the first time the Ukrainian military acknowledged the incident. According to the Ukrainian military, the attack damaged a drilling platform on the Filanovsky Oil Rig. The rig was targeted by drones at least twice more in December.
The report was not confirmed. Lukoil did not respond to a request for comment immediately.
Ukraine claims that Russia's oil infrastructure is a "legitimate" target, as the revenue from trade is the main source of funding for Russia in its nearly four-year long "full-on conflict against the country."
The general staff said that the strike also targeted a'military patrol vessel,' and the extent of damage is being assessed.
Ukraine has been attacking Russian oil refineries since 2024, but in recent weeks has increased its attack, taking credit for drone attacks against Russian shadow fleet tankers on the Black Sea and Mediterranean. (Reporting and editing by William Mallard and Kirsten Donovan; Yuliia Dyesa)
(source: Reuters)