Latest News
-
Container imports at the busiest US port soar in May as buyers attempt to avoid rising fuel prices
Imports into the 'busiest U.S. port for containers in Los Angeles?hit the second-highest levels in history in May as retailers rushed to get products such as plastic school supplies in before July 1, when cargo ship owners will start recovering higher fuel costs due to the Iran War. The Iran War has caused shipping to be snarled in the Middle East, and crude oil and derivatives are less available. This is affecting the production of plastics and other goods. Marine fuel prices have increased and many?retailers, manufacturers and other businesses are concerned that certain raw materials or factory goods may become too scarce to ship. Gene Seroka, Port of Los Angeles' Executive Director, said that companies are considering energy costs, tariffs and geopolitical risk when making sourcing and shipping choices. Seroka stated that "when they find a window for stability, many move quickly to take full advantage of it, speeding up cargo through the supply chains while conditions permit." In May, the?Port Los Angeles handled an estimated 840.165 20-foot equal units (TEUs). This included 449.370 TEUs of imports. Data showed that this was a 26% rise from the previous year, when tariffs were lowered on U.S. imported goods and caused shippers' brakes to be slammed. A TEU is the standard volume measurement for ocean cargo. The standard shipping container measures 40 feet. Seroka said that June and July volumes will be higher than May. He added that it would take several months to normalize supply chains after the Iran War hostilities end and the Strait of Hormuz, a vital shipping chokepoint, reopens. Fuel prices are rising. The price of bunker fuel in 20 ports around the world nearly doubled to $1,053 by March compared to the price just before the U.S.-Israeli attack on Iran. However, the price then dropped back down on the prospect of a ceasefire agreement. Starting July '1, vessel operators will begin to claw back the higher fuel costs through contracts covering most of the cargo moving. The 10% global Section 122 Tariffs may expire by the end of July, and Trump's administration has proposed new import tariffs up to 12.5% for 60 countries based on allegations of forced labour. The Port of Los Angeles reported its results on Tuesday after the supply chain technology company Descartes Systems Group announced that total?U.S. Container import volumes increased 11.5% from a year ago in May. According to Descartes Datamyne, imports of plastic products that fall under the globally recognized Harmonized System Code 39, which is a standardized code, increased by 26%, to 251,706 TEUS. This included an 87% rise in the imports of office supplies or school supplies, and a 57% rise in plastic tableware. (Reporting and editing by Jamie Freed; Lisa Baertlein)
-
Cheniere Energy CFO: Developing countries won't fully entrust their energy security to US
Zach Davis, Chief Financial Officer of Cheniere Energy, stated on Tuesday that the company does not believe developing countries will rely solely on America for their energy needs. Davis said that he did not expect many countries in the developing world to rely on the U.S. for their energy security, particularly at this time. His comments came at a time when details were emerging about an interim agreement to 'end the U.S. - Iran war and reopen Strait of Hormuz. This key waterway 'carried around 20% of the global oil and natural gas supply before it was closed off by the conflict earlier this year. Qatar's LNG imports have been seriously disrupted by the conflict, as they flow through the Strait of Hormuz. Davis stated that 'diversification in liquefied gas supply is crucial for emerging economies. It helps to ensure affordability and reduce risks of supply. He said that Qatar played an important role on the global LNG market and Cheniere would be happy to see it return in full, since this would increase supply diversity. Qatar's LNG, which is usually priced in relation to Brent crude prices, offers buyers more options than U.S. cargoes, which are tied to Henry Hub gas?prices. He added that Cheniere, which is the U.S.'s largest LNG exporter and the second-largest LNG producer in the world, prioritizes long-term growth of demand over the short-term benefits from a?increased LNG price. Davis stated that "creating demand is more critical than capturing margins, given the current price environment." He said that the company is still pursuing a disciplined expansion strategy and focuses on shareholder value rather than size. Cheniere, which has the financial capability to fund a $20-billion expansion, has chosen a smaller, approximately $6-billion?expansion for its Sabine Pass facility. Davis stated, "We are focused on creating value and not on chasing after the title of world's biggest LNG company." Reporting by Curtis Williams, Houston; Editing and production by Chizu Nomiyama, Nathan Crooks, and Aurora Ellis
-
Tropical Cyclone One could form off the Texas coast and cause dangerous flash floods
The United States has announced that a 'potential tropical cyclone one' has formed near the Texas coast. In a Tuesday warning, the National Hurricane Center warned of dangerous flash floods and heavy rain along the energy corridor which includes offshore drilling and refinery assets. If it becomes stronger and the first named hurricane of the 2026 Atlantic Hurricane Season, the potential tropical cyclone Arthur -- located about 65 miles (105 kilometers) southwest of Corpus Christi - would be given the name Arthur. The maximum sustained wind speed is 30 miles per hour. Tropical storm watches have been issued along the northwestern Gulf Coast, from Sargent, Texas to Morgan City in Louisiana. The NHC stated that the disturbance would move off the Texas coast either tonight or Wednesday morning, then move along the upper Texas coast later in the day. It will then move inland to extreme eastern Texas and southwestern Louisiana by late Wednesday or early early Thursday. The storm system is expected to produce 4 to 8 inches in rainfall, with some isolated totals of up to 12 inches. This will occur along the Texas coastline through Louisiana and beyond. The NHC warned that a dangerous storm surge might 'flood areas normally dry. On Monday, Governor Greg Abbott declared a state of disaster in 101 counties. Heavy?rains may dampen the excitement surrounding the upcoming?FIFA World Cup game between Portugal and DR Congo, which will be played on Houston's streets on Wednesday. They could also have an impact on energy assets in the region. Earth Science Associates COO Tony Dupont said that so far the storm "doesn’t look too powerful." Andrew Polk, weather risk manager for data consultancy DTN said that major oil production sites in the Gulf are outside the forecast track of tropical storm force wind. He said that there may be disruptions due to the impact of helicopter operations, which could disrupt and delay the crew change due to winds and thunderstorms caused by Potential Tropical Cyclone One. He continued by saying that "the wave impacts will primarily disrupt operations on the water with lift boats or scuba diving operations", adding that the main focus of the system would be the total rainfall amount expected along the Texas coast and Louisiana coastline. In March, the federal offshore area of the U.S. Gulf of America produced approximately 2?million crude barrels per day. This accounted for 14% of U.S. total crude production. Shell, BP and Chevron are the biggest deepwater operators. Around half of the total U.S. refinery capacity of 18,4?million barrels a day is located in the Gulf Coast region, which runs from Corpus Christi up to Mississippi River. The Motiva Enterprises Port Arthur, Texas plant owned by Saudi Aramco has a daily throughput of?730,000 barrels. The other major Gulf Coast refineries are Marathon Petroleum's Galveston Bay facility, ExxonMobil Beaumont, Baytown and ExxonMobil Baton Rouge. Cheniere, Venture Global and other LNG giants have large liquefaction plants along the coast. Reporting by Ashitha Shivprasad from Bengaluru, and Sheila Dang from Houston; Writing and editing by Chizu Nomiyama & Aurora Ellis.
-
BYD, a Chinese battery manufacturer, increases production in Brazil
BYD, the Chinese electric carmaker, is increasing battery production in Brazil. A senior executive said that BYD was investing about $100 million into energy storage systems for Brazil's national grid. In a recent interview, Alexandre Baldy said that the expansion was part of a larger push to reach a 50% domestic content for its Brazilian-made vehicles by 2027. Baldy stated that "we are localizing" so we can become a Brazilian producer. Battery is another item that's important. In order to meet government demands and reduce its tax burden, BYD has increased local sourcing in its Bahia plant. The company aims to become the top-selling auto brand in Brazil by 2030. BYD already ranks among the top five car brands in Brazil. The launch of the passenger car battery production is part of a plan to invest $1.08 billion in its flagship factory in Camacari in Bahia. BYD will invest between 50 and 60 millions reais in order to expand the line that produces bus batteries. The company is also planning to invest up to 500 million reais (98 million dollars) in a production line for its Battery Energy Storage System, which stores electricity for the grid. This will be done in advance of the December auction for industrial-scale batteries. BYD's BESS units are seen as a key solution to the crisis that has been affecting solar and wind generators in Brazil. These companies have suffered heavy losses and stopped investments due to the fact that the national grid could not absorb their output during peak hours. Baldy stated that "this truly opens up a new segment for batteries." BYD must decide within 90 days whether to use its?BESS investment for a new production line in Manaus, which is currently focused on bus battery production, or build a facility somewhere else. The Chinese automaker, which has purchased mineral rights in a lithium rich?part?of Brazil, has no immediate plans to develop these areas, due to the low cost of the'mineral used in battery production. He said: "It's not on our agenda, and it isn't a topic of discussion within the company." "We're concentrating on consolidating BYD's passenger car factory and expanding our electric bus production capacity."
-
Dutch transportation minister defends Tesla FSD approval
The Netherlands' transport minister denied on Tuesday that the influential 'RDW' authority had used statistics provided by Tesla to approve the "Full Self Driving" software of the company for use on Dutch highways. RDW approved Tesla's software on 10 April, a European-first. It said it thought it would contribute to safety. The agency has requested that the European Union approve FSD for use in the entire 27-nation block. This led to preliminary approvals being granted to Belgium, Denmark and Estonia. Minister Vincent Karremans who oversees infrastructure faced questions in parliament after a report that claimed Tesla had misled the RDW and European agencies about safety data. Karremans stated that it is possible to doubt the statistics presented by Tesla, but they have not been the basis for the RDW's acceptance. "We asked RDW about this, and they said that it was not true," he added, adding that RDW approval is based on "independently verifiable testing". MINISTER SAYS THERE HAVE BEEN NO INCIDENTS SO FAR Tesla's FSD, or driver assistance system, can steer, brake and accelerate a vehicle. Drivers should keep their eyes on road and be ready to take control. Karremans stated that Teslas fitted with the system have driven 24 million miles in Dutch roads so far "without any notable incident". This is in line with a 'Tesla Europe's statement on X from June 9, which stated that cars fitted with the software have driven in the Netherlands 23.6?million km (15 million miles), with no highway accidents and?three on smaller roads. Tesla's statement covered a period from April 10 to June 5. RDW was unable to confirm Tesla's statement immediately. It stated that it did not rely on data provided by Tesla in its assessment. In an email response to questions, the RDW said that it "takes note of any information provided by manufacturers" but bases its decision solely on a comprehensive independent assessment in compliance with European regulations. (Reporting and editing by Barbara Lewis; Toby Sterling)
-
Riyadh Air, a Saudi-backed airline, has been granted permission to fly US routes
The U.S. Transportation Department announced Tuesday that Saudi Arabia's Riyadh Air won the rights to fly to and from the United States. Last week, the airline began its first London flight using its new Boeing fleet. Riyadh Air, Saudi Arabia's next national airline, will be launched in 2023. It is owned by Saudia's Public Investment Fund. USDOT stated that "the grant of this authority is in the public's interest." Riyadh Air informed the?USDOT last month when it requested approval that it intended to operate to more than 100 destinations Delta Air Lines, for example, has or is planning partnerships with at least 10 international airlines. Delta plans to launch nonstop flights to Riyadh in October from Atlanta. Last week, Tony Douglas, CEO of Riyadh, said that the company plans to deliver eight aircraft by the end of July and fly to 22 destinations by March 2027. Douglas describes it as "the largest global aviation startup in recent history" with up to 72 787s, 60 A321neos, and 50 A350s ordered. The airline is part of the plan for the oil-producing nation to diversify their economy by focusing on new industries like tourism, logistics, and technology. Douglas stated that Riyadh Air has so far announced routes to Cairo, Dubai, Jeddah and Manchester, with cities in India likely to follow.
-
Sources say that the Moscow oil refinery stopped production on 16 June after a drone attack.
Two industry sources confirmed that a Moscow oil refinery stopped operations on Tuesday after a?Ukrainian drone attack. Sources said that the strike was claimed by Ukraine and caused a fire at the primary refinery CDU-6, which can process 21,400 metric tonnes of oil per day. This is 53% of its capacity. Sources who requested anonymity as they were not authorised to speak in public said that the refinery is expected to resume its operations at its second primary unit soon. This unit can process 18,800 tons per day. The local?emergency service said earlier on Tuesday that the fire at the refinery was put out, and operations were not affected. Sergei Sobyanin, the Moscow mayor, said that a facility on site was?damaged without providing further details. The refinery, located in the southeast part of Moscow?supplies fuel to Russia?s capital. Gazpromneft did not respond immediately to a comment request. Sources claim that the refinery will process?11,6 million metric tonnes of crude oil by 2024 (or about?230,000 barrels a day) and produce 2.9 millions?tons gasoline, 3.2million tons diesel and 1.3million tons bitumen. Reporting by Kirsten Doovan; Editing by Kirsten Doovan
-
US natgas at Waha turns positive for the first time since February, as pipeline constraints ease
?U.S. The spot price of natural gas for Tuesday at the Waha Hub, in West Texas, turned positive for the first time since February. This is because the demand for fuel has increased with the arrival of summer air conditioning and as energy firms are finishing spring pipeline maintenance. Electric companies use more gas during summer as businesses and homes crank up the air conditioners. Gas-fired power plants account for about 40% of U.S. electricity generation. Prior to Tuesday, Waha's next-day price had been below zero for an unprecedented?90 consecutive days as pipeline restrictions from spring maintenance trapped the gas in the Permian basin, the nation’s largest oil-producing region in West Texas and eastern New Mexico. Analysts have said for years that negative prices, forcing some energy companies to pay other firms to take gas in conjunction with their oil production were a sign the Permian needed more gas pipelines. There will be more pipes later this year but not fast enough to deal with the current gas production. Analysts predict that energy firms will boost Permian production as new pipes are put into service, and as rising oil prices due to the Iran war encourage oil producers to extract more oil. The U.S. Energy Information Administration predicts that Permian Gas output will reach new record highs each month between May and November as new pipes enter service. In November, it is expected to reach 30.1 billion cubic foot per day (bcfd). This amount of gas could provide around a quarter of the fuel used in the U.S. One billion cubic feet of gas is enough to fuel five million U.S. households for one day. NEGATIVE GAS PRICES Permian energy firms are willing to accept some losses in gas, as they can compensate for the profits made from selling oil. In the past decade, negative gas prices were rare. Environmental rules were less strict and drillers were able to?flare off or burn some of their unwanted gases. In recent years, this gas has gained in value as a fuel for data centers that need a lot of power. It can also be exported via pipelines to Mexico or as LNG to other markets. Waha Hub: Spot prices The price of a million British thermal unit (mmBtu), which was minus 8 cents on Monday, rose to 42 cents on Tuesday. Daily Waha prices?averaged under zero for the first time in 2019. The price of Daily Waha was first?averaged below zero in 2019. The average Waha price per mmBtu has been negative $2.19 so far in 2026. This compares to a positive $1.15 for 2025, and a $2.88 positive over the last five years (from 2021-2025). (Reporting and editing by Louise Heavens, Paul Simao, and Scott DiSavino)
Washington Airport will be closed for the majority of the Fourth of July
Ronald Reagan 'Washington National Airport is closing on July 4 at noon EST (1600 GMT), due to 250th U.S. Anniversary events in the Capital Region, including a flyover by the military. This was announced Tuesday by the Metropolitan Washington Airports Authority.
The airport in Virginia, near Washington, D.C., is also scheduled to close for several hours for rehearsals on the 3rd of July. The closures will result in hundreds of cancelled flights.
Airport?is anticipated to reopen?early?on?July 5. United Airlines has said that it "planned for this and has scheduled accordingly to ensure there is no customer impact."
Washington Airport faced temporary flight restrictions during the weekend of the 250th Anniversary of the U.S. Founding, including the Ultimate Fighting Championship bouts held at the White House.
The MWAA has said that the airport may be affected by a downtown flyover or other aerial displays, such as parachute or fireworks jumps, on other dates as well. These include 'June 24 to '25, June 28 and July 10, as well as August 22 to 23.
(source: Reuters)