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President of a Japanese shipping company fears that US tariffs could slow down cargo flow, he says
Nippon Yusen, Japan's biggest shipping line, fears that tariffs imposed by U.S. president Donald Trump could increase the price of cars and everyday goods, reducing consumer demand and slowing down cargo flow, according to its president. "The tariffs do not fall directly on the consumers but they are ultimately responsible for the burden, which reduces the flow of goods." In an interview with Takaya Soga on Monday, he said that this was his biggest concern. Last week, Trump announced plans to impose 25% tariffs on automobile imports. This move is expected to hurt Japan's export driven economy. He also promised to announce reciprocal duties targeting all trading partners this Wednesday. "Tariffs can have a significant impact on the economy," Soga added, adding that the actual cargo movement will determine the extent of this impact. Soga, however, sees benefits that could come from the trade conflict. He said that even if cargo volume declines, delays caused by tariff-related procedures could disrupt logistics and tighten ship demand, which would increase freight rates. NYK may find new business opportunities if China begins to source raw materials outside of the U.S. In anticipation of U.S. Tariffs, a rush for consumer goods drove cargo movements in December up until the Chinese New Year. However, there has not been a major change in material flow since they went into effect, Soga stated. The United States also plans to charge docking fees at U.S. port for any ship that is a part of a large fleet including Chinese-built or Chinese-flagged ships and will pressure allies to follow suit or face retaliation. According to NYK, of the 800 ships owned or operated, less than 10 percent are Chinese-built. He said that the U.S. Government will examine carefully whether or not this policy will be implemented. Therefore, we cannot state now that we are going to stop ordering vessels from China. Soga anticipates that Red Sea avoidance will continue as long as geopolitical risk in the Middle East persists. Last year, disruptions in the Red Sea caused by attacks by Yemeni Houthi militants consumed extra capacity as many ships took an extended route around Southern Africa. Soga stated that while the congestion of container vessels in the Panama Canal is mostly resolved, NYK has asked the Panama Canal Authority (PCA) to restore Tier 1 priority status for LNG tanker traffic. Soga stated that the company may delay its plans to invest in vessels for offshore wind projects in Japan due to a slower than expected market development. However, overseas investments would proceed faster. (Reporting and editing by Sonali Paul, Additional reporting by Tim Kelly)
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Shipbuilder Austal shares ride military spending wave and defy market decline
Analysts said that the policies of U.S. president Donald Trump, which have caused stock markets around the globe to tremble, are actually benefiting Austal Australia Shipbuilder. The shares of the company that supplies commercial and defence vessels to clients such as the Australian and U.S. Navy, among others, soared by 35% during the three-month period ending in March. This was their best quarter gain in almost two years, since June 2023. The broader benchmark, on the other hand, lost around 4% due to concerns about stretched valuations in financial stocks as well as the impact of U.S. Tariffs. Austal shares have risen in response to Trump's request that Australia and other U.S. allies increase their defence spending. Last week, Australia announced that it would be bringing forward A$1billion in defence expenditures in the federal budget. Dhierin Perkash Bechai is an aerospace analyst for Seeking Alpha and The Aerospace Forum. She said that with higher defense spending, and a greater need for autonomy across all domains, Austal could see more orders from Australia. "That's also driven by the sense that China could become more aggressive in this region amid a fallout with the U.S. Austal has grown its order book by 11% in the last six months, to A$14.2-billion. Austal's two shipyards are located in the United States, which shields it from Trump's possible import tariffs. These have recently roiled the global markets, and further enhances Austal's appeal to investors. The shipyards produce smaller combat vessels, reconnaissance ships and modules for nuclear powered and nuclear armed submarines. Investors want companies that can win business in the U.S. without tariffs or sacrificing their growth ambitions elsewhere, said Nicholas Sundich. Hanwha, a South Korean conglomerate, recently bought a 9,9% stake in Austal. This was nearly a full year after Austal rejected Hanwha's A$1.02 Billion takeover offer. This acquisition shows the foreign interest in Austal.
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Argentina begins gas exports via Bolivia, says Brazilian firm
T otalEnergies exported for the first-time gas from Argentina's Vaca Muerta shale to Brazil's Matrix Energia, Matrix announced in a statement on Tuesday. Sources familiar with the situation claim that 500,000 cubic metres of gas were exported via the Bolivian pipeline Tuesday. The statement from Matrix stated that the objective of this unprecedented operation was to ensure the technical viability and stability of the logistics networks. It also added that it involved many different parts of supply chains, as well as the signing of two natural gas import contracts for a three-party operational agreement. Over the past year, companies from Bolivia, Argentina, and Brazil have been negotiating deals to ensure that Argentina's natural gas can reach Brazil, one of Latin America’s most important markets. Sources said last year that Bolivia initially refused to charge a toll fee for use of its infrastructure. Instead, it preferred a solution whereby it would buy gas from Argentina, and then resell to Brazil. Negotiations improved in the last few months and several supply contracts were identified. Since years, the pipeline has transported Bolivian gas to Brazil and Argentina. However, as Bolivia's gas production declines, export volumes have decreased. The arrival of Vaca Muerta in Brazil is a victory for Brazil's president Luiz Inacio Lula Da Silva who prioritized providing cheaper gas to Brazil's industry. Exports would be a victory for Argentina as well, since its gas production is increasing under the market-friendly policies of President Javier Milei, creating a new revenue stream for a country that had been experiencing a deficit on its energy trade. One of the sources said that the contract was a spot agreement, meaning the supply could be interrupted in winter, when the demand for goods is high in Argentina. Bolivia's state energy company YPFB has not responded to a comment request on the new exports via Bolivian pipelines. (Reporting and editing by Aida Pelaez-Fernandez, Stephen Coates and Fabio Teixeira; Additional reporting by Marianna Pararaga)
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The delays in the Paraguayan soybean barge transit has an impact on crushers in Argentina
According to transport and crushing chambers in both countries, an accumulation of sediment on the Paraguay River delayed barges that were carrying Paraguayan soya beans to Rosario. Argentina, which is the top soybean oil exporter in the world, depends on Paraguayan beans at this time, since the Paraguayan crop has finished and Argentina's harvest starts this month. The barges used to travel from Rosario via the Parana River use the Paraguay River near the mouth of the Bermejo River. Gustavo Idigoras of Argentina's chamber of grain exporters CIARA-CEC said that the delays have affected the flow barges into Argentina. Argentina's grain-processing industry also buys soybeans from Argentine farmers, though the latter have held back more beans than usual because of uncertainty about the exchange rate. Raul Valdez of the Paraguayan Center for Shipowners (CAFyM) said that the delays had also affected iron ore exports into Brazil. Valdez noted that the conditions on the river have improved over recent days due to increased river levels and dredging. Paraguayan soybean exports fell 14.2% during the first two month of 2025 compared to 2024.
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The US will no longer impose a 7-year export deadline set by Biden on new LNG projects
Wednesday, the U.S. will revoke a policy that was issued by former President Joe Biden's administration, which required that liquefied gas projects, or LNG, export within seven year of regulatory approval. The LNG industry had pressured the Trump administration to withdraw the April 2023 policy statement on Department of Energy export approvals to major markets in Europe, Asia and Africa because many projects would take more than seven year to complete. The Federal Register will publish a document on Wednesday that states, "From now on, DOE will review applications to extend the export start deadline of an authorized holder and grant extensions for good reason shown, on a case by case basis. This is consistent with DOE’s prior practice before the Policy Statement was issued." Tala Goudarzi, principal deputy assistant secretary of the Office of Fossil Energy and Carbon Management, said the Biden administration had made it unnecessarily difficult for projects to obtain and maintain an authorization to export LNG to non-free-trade-agreement countries. Energy Transfer, a pipeline operator, filed a new license in 2023 for its proposed 16,45 million metric ton per year Lake Charles LNG facility, in Louisiana. The DOE had previously denied the request for an extension of three years for the old one. Energy Transfer is not available to comment at this time. Fred Hutchison is the president and CEO at LNG Allies. He called the previous policy of deadlines inflexible. The new policy marks a return to normal order. Hutchison stated, "We're grateful that common sense has been restored to the U.S. LNG Export Process." (Reporting and Editing by Margueritachoy and Leslie Adler.)
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The US will no longer impose a 7-year export deadline for LNG projects, as set by Biden
The U.S. will rescind on Wednesday a policy that was issued by the former administration of President Joe Biden, which required liquefied gas projects, or LNG, to export within seven year of receiving approval. The LNG industry pushed President Donald Trump's administration to reverse the April 2023 policy statement of the Biden administration on Department of Energy approvals of exports to major markets in Europe, Asia and Africa because many projects require more than seven years to complete. They have stated that if the projects are forced to restart their applications, it could cause delays in LNG exports. The Federal Register will publish a document on Wednesday that states, "From now on, DOE will review applications to extend the export start deadline of an authorized holder and grant extensions for good reason shown, on a case by case basis. This is consistent with DOE’s prior practice before the Policy Statement was issued." The Energy Department didn't immediately respond to an inquiry for comment. Fred Hutchison is the President and CEO of LNG Allies a trade association. He called the previous policy on deadlines inflexible, and that the new policy was a return to normal order. Hutchison stated, "We are thankful that common sense has been restored to the U.S. LNG Export Process." (Reporting and Editing by Margueritachoy)
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Shipping data shows that Venezuelan oil exports have fallen by 11.5% due to US tariffs and sanctions
According to documents and ship tracking data, Venezuelan exports of crude and fuel dropped 11.5% in March due to the U.S. imposing secondary tariffs on the sector and canceling key licenses. This led to delays in shipping and suspensions of cargo. Last week, the U.S. administration of President Donald Trump announced a 25% tariff on buyers of Venezuelan gas and crude oil, effective this week. It also notified foreign partners that the state-run PDVSA had been notified of the cancellation of the authorizations Washington granted for the company to export and operate from the OPEC nation. The measures were taken after the suspension of an important license that allowed U.S. based Chevron, to produce oil in Venezuela. It then exported it to the United States which was last year the second biggest market for Venezuelan crude. Washington gave the companies until May 27 to cease operations and stop exports. China and India are regular buyers of Venezuelan crude oil Cargoes to be loaded in late March or April following the announcements. According to data and PDVSA internal documents, 42 vessels left Venezuelan waters during March, carrying an average of 804,677 barrels of crude oil and fuel per day, as well as 341,000 metric tonnes of petroleum byproducts and chemicals. The average exports for March were 7.8% lower than the same month in 2024, and the lowest since December.
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Egypt's Sisi and Trump discuss regional mediation efforts in a phone call
The Egyptian presidency announced on Tuesday that Egyptian President Abdel Fatah al-Sisi discussed with U.S. president Donald Trump mediation efforts to restore calm in the region, which would have positive impacts on Red Sea Navigation and stop economic losses for both parties. Since Israel's war against Hamas in late 2023 began, the Iran-aligned Houthis are said to have launched more than 100 maritime attacks. They claim they were doing so in solidarity with Gaza’s Palestinians. The attacks disrupted the global economy and sent the U.S. Military on a costly missile interception campaign. Trump had said on Tuesday morning that he discussed with Sisi progress against the Houthis. The White House is continuing its largest military offensive against the Yemeni group since March 15 under Trump's administration. Trump said that the strikes were in response to the Houthis' attacks on Red Sea Shipping. He warned Iran, which is the Houthis main supporter, to stop its support immediately. Messages Mistakenly shared One of the U.S. official quoted by The Atlantic in a chat with a journalist from The Atlantic magazine, who revealed U.S. plans to fight the Houthis in Yemen in March, said that Trump had approved the plans. The Egyptian statement did not mention the messages, or Washington's attacks against Houthis. Egypt has been affected by the Houthis attacks in the Red Sea region since November 2023. This forced ships to avoid the Suez Canal nearby and reroute their trade around Africa. Shipping costs increased. Sisi stated in December that the disruption would cost Egypt $7 billion less in revenue from the Suez Canal by 2024. Reporting by Jaidaa, Menna Alaa el Din and Muhammad Al Gebaly. Writing by Jaidaa; Editing and proofreading by Gareth Jones & Leslie Adler.
China's state media attacks CK Hutchison for its Panama port deal, in a post that will soon be deleted
In a post that was removed minutes later, the Chinese state media attacked Hong Kong's conglomerate CK Hutchison for its plan to sell ports near the Panama Canal in a BlackRock group.
The account of state broadcaster CCTV on social media said that China had important national interests in this transaction, and that the sale was "equivalent to giving a knife to a rival."
The post Yuyuantantian made on the social media platform Weibo said that CK Hutchison, as a Hong Kong-based company, should be cautious about its dealings, which could damage China's interests.
The post disappeared minutes after it was published.
The deletion of the post, whatever the reason, highlights the growing opposition in China to the deal, where on Friday the market regulator announced that it would be reviewing the transaction.
Sources have confirmed that the deal is still on track.
(source: Reuters)