Transport Infrastructure

After canceling $4 billion of federal grants in July for California's ambitious, but long-delayed, high-speed railway project, the U.S. Transportation Department announced on Tuesday that it will cancel $175 million of funding for four projects. The Trump administration announced Tuesday that it would withdraw funding from grade separations, overcrossings, design work, and the construction of a high-speed train station in Madera. California sued in July to contest the withdrawal of funds, calling it illegal. The USDOT has threatened to revoke $33 million of safety funding to California after it claimed that the state was not following federal regulations requiring truckers...

Two major rail operators pulled out of the merger race that has gripped industry in the last month. This has reshaped the competitive landscape, and raised the stakes on the proposed $85 billion union between Union Pacific and Norfolk Southern. Canadian Pacific Kansas City, along with Warren Buffett's BNSF Railway BNSF Railway, publicly rejected any consolidation of the rail industry in the near future on Tuesday. This move reduces the likelihood that a $85 billion merger proposed last month by top U.S. railroad operator Union Pacific with Norfolk will lead to further corporate marriages. The merger will create the first...

The Federal Aviation Administration announced on Tuesday that a system had been installed at Philadelphia International Airport to stop an airplane from taking off. The FAA granted $8.5 million for the first Engineered Material Awaiting System at the airport, which is a system of 2,000 tiles that are designed to stop an aircraft overrunning traveling up to 70 knots. The system is designed to stop an overrunning aircraft traveling at speeds up to 70 knots by using a crushable material that's installed and compressed by the landing gear. At a Tuesday press conference, Philadelphia Mayor Cherelle Park said: "This process...

Abacus Storage, based in Australia, announced on Tuesday that the consortium led by Nathan Kirsh (a South African billionaire) and Public Storage of the United States had withdrawn their A$2,17 billion ($1.41billion) bid for its firm. Abacus' independent board committee received notification overnight that the consortium withdrawn its offer. The firm didn't give any explanation for the consortium's decision to withdraw. The consortium offered Abacus shareholders A$1.47 for each stapled security, and all shares that were not held by Ki Corp or its subsidiaries. Abacus rejected the offer in May citing concerns about timing, valuation and deal completion. The consortium...

Warren Buffett, the billionaire investor, shut down speculation on Monday that his company Berkshire Hathaway was looking to acquire another train company. After Buffett said to CNBC that he wasn't interested in a merger - and shattered investor hopes that Berkshire Rail unit BNSF might acquire CSX - shares of CSX dropped about 5%. Later, a representative from Berkshire confirmed Buffett’s remarks. Investors have been speculating for weeks that CSX Corp. and BNSF may merge. Last month, Union Pacific and Norfolk Southern announced a $85 billion surprise merger proposal. The goal was to create the U.S.'s first coast-tocoast freight rail...

CSX, owned by Berkshire Hathaway, and BNSF, which is also owned by Berkshire Hathaway announced on Friday new coast-tocoast services that will boost freight connectivity across the United States. Shares of CSX dropped about 6% following the announcement but have risen about 5% this year. The new routes will connect Southern California to Charlotte, North Carolina and Jacksonville, Florida. This move follows reports last month that a possible deal could be struck between the two railroad companies to counter a rival merger of Union Pacific and Norfolk Southern. Union Pacific has launched an intermodal domestic service connecting Southern California's Inland...

The Canadian government intervened four times last year to stop strikes in seven companies, using a obscure Labour Code provision. The same decree was issued on Sunday, but Air Canada flight attendants refused and went on strike for 3 days. Unions and labor experts said that their defiance was a watershed. They claimed it would strengthen unions during negotiations, discourage employers from seeking government assistance in sectors regulated by the federal government, and complicate efforts made by the federal government to end work stops through this provision. "We will look back at this dispute, and this strike as a turning-point,"...

These are the most popular stories from the Wall Street Journal. These stories have not been verified and we cannot vouch their accuracy. Ancora, an activist investor, is pressing CSX to merge with a competitor or replace Joe Hinrichs as CEO. The investor has threatened a proxy battle if CSX does not act in the face of industry consolidation. Elon Musk, CEO of Tesla, has backed away from his plans to create the America Party. He will instead focus on his business and continue to maintain close ties with Vice-President JD Vance while considering future political involvement. The American Academy...

Ancora Holdings urged CSX to either pursue merger options in the near future or to replace CEO Joe Hinrichs. The activist investor urged that the railroad evaluate possible tie-ups between Berkshire Hathaway's BNSF Railway, and Canadian Pacific Kansas City to determine which merger partner would be best. CSX warned that once Norfolk Southern, Union Pacific and other transcontinental networks start operating together as a unified network, CSX will be the biggest loser. The activist investor stated that "if a deal is not struck, it's unlikely we will need to run a proxy competition in order to replace Mr. Hinrichs with...

If the U.S. Transportation Department does not improve, it could withhold up 25% of federal funding for New York Metropolitan Transportation Authority's track maintenance workers. According to the agency, the Federal Transit Administration of the Department issued a directive to New York City Transit in August 2024 after the MTA failed to improve safety measures following the death in November 2023 of a track-maintenance employee and the second serious injury in June 2024. The MTA is required to submit a comprehensive risk assessment for its Rail Transit Roadway Worker Protection in 30 days. This was announced by the Department on...

People familiar with the situation said that Toms Capital Investment Management, a hedge fund, has asked to meet the board of U.S. railroad operator CSX, after buying a stake recently. This raises speculation about the firm pushing for a merger. Toms Capital (run by Ben Pass) invested in the railroad in the second quarter. As of June 30th, the company held 5.6 million common shares in CSX. Pass is not clear on what it wants, but he has been known to push for mergers in companies such as U.S. Steel or Kenvue, the maker of Band-Aids and Tylenol. The hedge...

Firefly Aerospace, the U.S. rocket manufacturer expanding its satellite launch services worldwide, is looking at the option of launching its Alpha rocket in Japan. A Japanese company that operates a spaceport on the northern island of Hokkaido confirmed this Monday. Firefly's Texas-based competitor to Elon Musk’s market leader SpaceX is planning an Alpha launch for Sweden. SpaceX made its Nasdaq debut this month. Space Cotan (the operator of Hokkaido Spaceport, located approximately 820 km 510 mi northeast of Tokyo) and Firefly have signed a preliminary contract to examine the feasibility of launching Alpha, a small-lift rocket, from the spaceport. Adam...

Turkey broke ground on a rail connection between its Kars province in the northeast and Azerbaijan’s Nakhchivan Exclave. The move was made to take advantage of an American-brokered agreement signed by Azerbaijan, Armenia and Azerbaijan this month. The railroad will be a part of the Southern Caucasus Transit Corridor, for which the U.S. has exclusive development rights. The aim is to increase economic ties and energy exports between Azerbaijan, Armenia and the U.S. The initial peace effort was hindered by the management and development of what is called the Trump Route for International Peace and Prosperity. This route will connect...

Investors waited to hear what Jerome Powell, the U.S. Federal Reserve Chair, would say at a major conference later this week about the direction of interest rates. Powell's Friday speech at the annual Jackson Hole Symposium is the focus of traders, who are looking for any pushback on market expectations that a rate reduction will be coming next month. The dollar is the most common currency in Gulf markets. The benchmark index in Qatar fell 0.6% due to declines across the board. Qatar National Bank, which is the largest lender in the region, decreased by 1%, while Qatar Navigation dropped...

Sources in the industry said that new requirements for ship entry and inspection have significantly hindered Russian grain exports through Kavkaz on the Black Sea. These exports accounted almost a quarter (24%) of all seaborne imports during last season. According to a presidential decree issued in July, foreign vessels must have permission from the port authorities to enter Russian ports and receive approval from the FSB security services. One of six sources said that since the beginning of August around 350,000 tons of grain has been shipped through Kavkaz. This compares to 1.5 million to two million tons per month...

Kyiv announced on Friday that Ukraine had attacked the Syzran refinery located in Russia's Samara Region in the middle of the night. The previous day it also struck a Caspian Sea cargo vessel and port used to transport supplies from Iran into Russia. The strikes took place hours before the summit between U.S. president Donald Trump and Russian President Vladimir Putin, which Ukraine was not invited to, in Alaska, to discuss war in Ukraine. Russia is also making gains in Ukraine's eastern part. According to new General Staff figures published on Friday, Ukraine, facing regular Russian missiles and drone attacks...

Iraqi navy detained an oil tanker with Liberian flag in its territorial water as part of crackdown against fuel smuggling on sea, according to sources from the oil and transport ministry and navy. The sale of fuel on the black-market by some countries, heavily subventioned, to buyers in the Gulf region is a common practice. However, it was relatively rare for Iraqi authorities until recently to seize vessels. The tanker, which was identified as Liliana by the authorities and shipping companies, was carrying 93,000 tons of fuel oil at the time it was intercepted this week. It was located 26...

Investors were cautious in early trading on Thursday as they digested mixed earnings from corporates and continued to be wary of the leadership of the U.S. Federal Reserve. The expectation of a more accommodating Fed policy has increased in response to weaker macroeconomic data from the United States and Donald Trump's nomination of dovish candidates for the Fed board. According to CME FedWatch, traders now price in a 95.2% probability of a rate cut for September, up from 63% by the end of July. The U.S. monetary policy changes have a major impact on Gulf markets where the majority of...

Sudan's Civil Aviation Authority, a state-run news agency, reported that the United Arab Emirates had banned Sudanese aircraft from landing on its airports. This is the latest tension between the two nations. Sudanese authorities said that the UAE had also prohibited a Sudanese aircraft from departing from Abu Dhabi Airport. Sudan's authority expressed surprise at the reported decisions and said that it would be contacting airlines to reprogramme the reservations of passengers departing and arriving from the Gulf Country. Abu Dhabi authorities didn't immediately comment on Sudanese statements. Sudan cut diplomatic ties with the UAE last May. The Gulf nation...

The Italian government approved the construction on Wednesday of the longest single-span span bridge in the world, which will connect Sicily with the mainland. This project has been delayed for years due to financial and environmental concerns. The right-wing Government of Prime Minister Giorgia Melons has allocated 13.5 billion euro ($15.63billion) over the next ten years for its construction and facilities around it. The following are some key facts about this bridge. They were compiled from data provided by the Italian Infrastructure Ministry and the construction company Webuild. Webuild is the leader of the Eurolink consortium that has won the...

The major Gulf stock markets fell on Wednesday as investors focused on corporate earnings and the tepid performance of the private non-oil sector. Dubai's benchmark index of stocks fell by 0.3% with all sectors falling. Dubai Investments fell 1.7%, and Dubai Islamic Bank declined 1.4%. DIB, the largest Islamic bank in UAE, reported an increase of 10.7% in its second-quarter net profits attributable shareholders. The benchmark Abu Dhabi index fell 0.2%. This was due to a drop of 1.3% in Burjeel Holding and a fall of 4% in Phoenix Group. ADNOC Gas however rose 1.5% following a 16% increase in...

Investors increased their bets on the U.S. Federal Reserve to support the world's biggest economy. CME Fedwatch says that the soft U.S. payroll data on Friday has increased the odds of a Fed rate cut in September. This is a significant increase from the 63% chance it had at the beginning of the week. The Fed's interest rate movements have a major impact on the Gulf Region's monetary policies because the majority of their currencies are pegged with the U.S. Dollar. Dubai's benchmark index of stocks rose 0.6% on the back of gains in shares related to real estate, utilities,...

The manager of the vessel in Greece that sank earlier this month after it was attacked by Houthi militants near Yemen expressed his relief after watching a video which showed 11 crew members still alive. The Houthis, allied with Iran, released the six-minute video on Monday. They claimed to have rescued seafarers aboard the Eternity C cargo vessel flying the Liberian flag. The Athens based ship management company issued a statement saying that efforts are being made to ensure "safe and rapid return of the sailors to their families". The company said that it was "deeply relieved" to see the...

Houthis, who are Iran-aligned and live in Yemen, said on Monday that they had rescued ten seafarers off the Greek cargo ship EternityC which they had attacked and sunk earlier this month in the Red Sea. Eternity C, flying the Liberian flag, was the second vessel to sink in Yemen this month following repeated attacks from Houthi militants using sea drones and rocket propelled grenades. The Magic Seas was another Greek-operated ship that had been lost days before. The Houthis have been resuming their attacks on ships, having hit over 100 vessels between November 2023 to December 2024 as a...