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Air India is in talks with Boeing about 10 planes that Chinese airlines have rejected.
Air India and Boeing are in discussions to purchase around 10 737 MAX aircraft after Chinese customers began refusing to accept deliveries due a trade dispute with the United States. Two people who were familiar with the talks confirmed this. Boeing CEO Kelly Ortberg stated on Wednesday that, "due the tariffs many of our Chinese customers have indicated that will not be taking delivery", the company may redirect jets to customers who are in need. Both the United States and China have imposed tariffs exceeding 100% each on the other. Air India, according to two sources who refused to name themselves because the talks are private, was looking for around 10 narrowbody aircraft from Boeing. Air India Express is a budget airline with a fleet that exceeds 100 aircraft. Air India, Air India Express, and Boeing have not responded to comments immediately. The first person stated that "Air India was very interested... If the deal is completed, the planes will be added to the Fleet by the end of the Year." She also noted that the talks are in the early stages. Air India Express previously acquired white tail aircraft, or jets that were manufactured for one client but purchased by another. According to a third source who is familiar with the talks between Air India, Boeing and Chinese customers, any differences in jet configurations between Air India's fleet and the planes that are coming for Chinese customers could be taken into consideration when negotiating prices. Air India could benefit from the move as its growth has been restricted by a shortage of new aircraft. Air India CEO Campbell Wilson stated last month that the airline is a "victim" of circumstances, referring to the delivery delays plaguing Boeing & Airbus. (Reporting and editing by Abhijith Ganahapavaram; Aditya Kalra and Aditi Shah)
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US to hold Alaska LNG summit and urge Japan and South Korea to support the project
A source familiar with this matter told Reuters on Thursday that the energy security council of U.S. president Donald Trump plans to hold a summit in Alaska early in June. It hopes Japan and South Korea announce their commitments to the Alaska LNG Project. Trump has praised the $44 billion Alaska LNG project. This project would send gas from North Slope fields in Alaska via a pipeline of 800 miles (1,300 km), for domestic use, and then ship it as LNG to customers in Asia, bypassing Panama Canal. The project has been discussed for many years but has not progressed due to the cost and amount of work required. Trump has asked Japan's Prime Minister Shigeru ishiba, who has simultaneously threatened trade tariffs and urged allies to purchase U.S.-produced energy, to support the Alaskan Plan. Taiwanese energy company CPC Corp. signed a nonbinding agreement last month with Alaska Gasline Development Corp. to invest and buy LNG. Taiwanese President Lai Ching Te said that this move would guarantee the island's security of energy. The summit planned by Trump's National Energy Dominance Council to maximize oil and gas production would be around June 2. The New York Times was the first to report this. The White House or the Interior Department didn't immediately respond to an inquiry for comment. Separately officials from Thailand, who could also be consumers of LNG from Alaska, as well as South Korea, are expected to visit Alaska to discuss the project in the next couple of weeks, according to the source, who spoke under the condition of anonymity. This would be the first time that officials from Thailand have visited Alaska to discuss the project during Trump's second term. Ahn Duk Geun, South Korea's Minister of Industry, said in Washington on Thursday that he wasn't aware of any plans to announce the company's commitment. He added that "there are many things to be done" in order to "understand the local situation better". Ahn stated that the country will be sending an inspection team. The results of due diligence must be seen before discussions can proceed.
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Morocco launches $10 billion rail expansion plan
State media reported that Morocco's King Mohammed V gave his approval on Thursday to a rail expansion project worth 96 billion dirhams (10,3 billion dollars), which includes the construction of a fast-track line from Marrakesh (the country's tourist center) by 2030. The extension of high-speed rail, intercity, and urban networks has been a result of Morocco's preparations for co-hosting the World Cup 2030 with Spain and Portugal. The country hopes that the investments will also help to develop its fledgling rail industry. The 53 billion dirhams high-speed rail line will run from Kenitra, on the Atlantic Coast, 430 km south to Marrakesh and serve Rabat and Casablanca. The line, which is designed to travel at 350 km/h, will reduce the time it takes to travel between Marrakesh, Morocco and Tangier to just 2 hours 40 minutes. In February, the Moroccan state-owned ONCF rail operator announced that it had entered into agreements to buy 168 trains in France, Spain and South Korea. The total cost of these deals was 2.9 billion dirhams. Alstom, a French company, will provide ONCF with Avelia Horizon high-speed double-decker trains. These can transport 640 passengers at speeds of up to 320 km/h. Other trains include intercity and city trains. ONCF plans to double its number of cities to 43 by 2040, which will cover 87% of Moroccans. The deals include investments into the rail industry of the country. (Reporting by Ahmed Eljechtimi; Editing by Leslie Adler)
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Drewry: Global container shipping volume will fall by 1% due to Trump's trade policies
The maritime consultancy Drewry stated on Thursday that they expect the global container port volumes to drop by 1% due to U.S. Trade Policies. This would be the third decline in container shipping demand globally since London-based Drewry started recording this data in 1979. Container volumes dropped 8.4% in 2009 during the global financial crises and 0.9% when the COVID Pandemic was declared in 2020. The new Trump policy includes tariffs blanket of 10% on most goods and 145% on those from China. China and other countries have retaliated with tariffs against U.S. products. The consultancy stated in a presentation that if 2/3 of the current tariffs were to remain in place then U.S. exports to China could drop by 40%. Imports from China of furniture, consumer goods and industrial products dominate U.S. imports. The relocation of Chinese production into countries with lower tariffs may offset some of this decline in shipping demand. Drewry stated that U.S. imports of goods from other countries may increase by as much as 15 percent. Economists warn of the dangers that President Donald Trump’s trade policies pose to the United States' economy. This recession could then spread to other countries around the globe. The International Monetary Fund warned earlier this week that the impact of Trump's tariffs will be felt in the coming months as they begin to take effect. Hapag-Lloyd, the German container carrier, said that on Wednesday customers had canceled 30 percent of their shipments from China to the United States due to the trade war between the two world's largest economies. Walmart and Target are members of the National Retail Federation. They forecasted earlier this month a drop in U.S. containerized cargo imports by at least 20% from year to year during the second half 2025, as companies who source their goods from China paused orders. Los Angeles is the busiest port in the United States. Many containers are arriving from China. The executive director of the company warned that import volumes may start to fall as early as May.
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Air India is in talks with Boeing about 10 planes that Chinese airlines have rejected.
Air India and Boeing are in discussions to purchase around 10 737 MAX aircraft after Chinese customers began refusing deliveries due to the trade war between the United States and China. Boeing CEO Kelly Ortberg stated on Wednesday that, "due the tariffs many of our Chinese customers have indicated that will not be taking delivery", the company may redirect jets to customers who are in need. Both the United States and China, two of the world's largest economies, imposed tariffs exceeding 100% each on the other. Air India, according to two sources who refused to name themselves because the talks are private, was looking for around 10 narrowbody aircraft from Boeing. Air India Express is a budget airline with a fleet that exceeds 100 aircraft. Air India, Air India Express, and Boeing have not responded to comments immediately. The first person stated that "Air India was very interested... If the deal is completed, the planes will be added to the Fleet by the end of the Year." She also noted that the talks are in the early stages. Air India Express previously acquired white tail aircraft, or jets that were manufactured for one client but purchased by another. According to a third source who is familiar with the talks between Air India, Boeing and Chinese customers, any differences in jet configurations between Air India's fleet and the planes that are coming for Chinese customers could be incorporated into price negotiations. Air India could benefit from the move as its growth has been restricted by a shortage of new aircraft. Air India CEO Campbell Wilson stated last month that the airline is a "victim" of circumstances, referring to the delivery delays that have plagued Boeing and Airbus. (Reporting and editing by Abhijith Ganahapavaram; Aditya Kalra and Aditi Shah)
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Morgan Stanley Infra Partners is reportedly looking to sell $2 billion worth of Permian Pipelines, according to sources
Morgan Stanley Infrastructure Partners has been exploring the possibility of selling its majority stake in Brazos Midstream II. The deal is expected to be valued at over $2 billion, including the debt, according to three sources familiar with the situation. Brazos transports natural gas, liquid natural gas and oil from wellheads in five Texas counties into larger pipelines located on the Delaware portion of Permian basin. The company owns infrastructure, including natural gas storage and compression capability. The people who spoke to us asked not to be named because they were private discussions. Investment bankers from Jefferies Financial Group have in recent weeks been selling MSIP's controlling interest in Brazos, to potential buyers including midstream companies, investment firms and other financial institutions. They warned that the sale process was ongoing and that a deal may not be reached, nor will it include the price demanded by MSIP. MSIP could also decide to keep its investment. Morgan Stanley, Brazos and Jefferies declined to comment. Morgan Stanley's Infrastructure Investment arm purchased Brazos midstream II for $1.75billion in 2018. Williams Companies struck a deal with Brazos in the same year. Williams provided assets in exchange of a 15% stake. Sources said that Williams will not be bidding on the majority MSIP stake. Williams has not responded to a request for comment. Brazos midstream II is the latest in a long line of private pipeline companies that have been involved in deals in the US shale sector. The majority are bought by infrastructure companies listed on public exchanges looking to increase scale. Energy Transfer purchased WTG Midstream from a group headed by infrastructure fund Stonepeak for $3.25 Billion. ONEOK paid $2.6 billion for Medallion Midstream, which was acquired by Global Infrastructure Partners. Kinetik bought Durango Permian from Morgan Stanley Energy Partners for $765m. (Reporting and editing by Joe Bavier in New York, with David French reporting from New York)
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Ukrainian Railways Expects Freight Tariff Increase Soon
A senior official at Ukraine's State Rail Company said that the company anticipates that the government will increase freight transport rates soon, despite resistance from farmers and steelmakers. Ukrzaliznytsia announced last year that it would raise freight rates by 37% in order to cover significant increases in fuel, electricity, and equipment repair costs as it attempts to deal with the effects caused by Russian attacks. The agricultural producers, however, said that the move could cause some farmers to go bankrupt as it would increase their transport costs from $3 to $6 per ton. Rail.insider, a specialist media outlet, quoted Valeriy Tkachev as the deputy head of Ukrzaliznytsia's commercial department. "I believe there will be indexation regardless." Tkachev stated that the Ministry of Development, Ukrzaliznytsia’s regulator will decide the size of indexation. He said that the tariff could increase by 20 to 40 percent. Tkachev said that the logistics costs would increase by $4 per ton, and "wouldn't have a negative impact on the agriculture sector". The Ukraine is one of the world's largest producers and exporters of agricultural and metal products. These are transported via rail to seaports before being exported. (Reporting and Editing by Mark Potter.)
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Union Pacific misses its quarterly forecast due to weak auto shipments
The shares of railroad operator Union Pacific fell 3.5% on Thursday in premarket trading after missing Wall Street expectations for the first-quarter revenue and profit. This was due to weak automotive shipments as well as a lower fuel surcharge. Omaha, Nebraska based company stated that its volumes were being pressured by economic insecurity and a weaker demand for coal. Union Pacific is struggling with a lower demand for coal as customers switch to natural gas, which is cheaper. This trend is expected change, however, after U.S. president Donald Trump signed an executive order last month to increase coal production. Norfolk Southern also joined the company. Reaffirmation Its annual target. Union Pacific's operating ratio, which is a key metric of profitability, was 60.7%. This is the same as a year earlier. The quarterly revenue for intermodal shipment (which involves the transport of goods using two or more modes of transportation) increased 10% to $1.19billion. According to LSEG, Union Pacific's adjusted earnings per share were $2.70 in the first quarter compared to the $2.75 average analyst estimate. The revenue for the quarter ending March 31 was $6.03 billion compared to estimates of $6.08billion. (Reporting and editing by Shinjini Ganuli and Maju Sam in Bengaluru)
Source: US to hold Alaska LNG summit and urge Japan, South Korea, and other countries to support the project
A source familiar with this matter told Reuters on Thursday that the energy security council of President Donald Trump plans to hold a summit in Alaska early in June. It hopes Japanese and South Korean representatives will announce their commitments to the Alaska LNG Project.
Trump has praised the $44 billion Alaska LNG project. This project would send gas from North Slope fields in Alaska via an 800-mile pipeline (1,300 km), for domestic use, and then ship it as LNG to customers in Asia, bypassing Panama Canal.
The project has been discussed for many years but has not progressed due to the cost and amount of work required.
Trump has asked Japan's Prime Minister Shigeru ishiba, who has simultaneously threatened trade tariffs and urged allies to purchase U.S.-produced energy, to support the Alaskan Plan.
Taiwanese energy company CPC Corp. signed a nonbinding agreement last month with Alaska Gasline Development Corp. to invest and buy LNG. Taiwanese President Lai Ching Te said that this move would guarantee the island's security of energy.
The summit planned by Trump's National Energy Dominance Council to maximize oil and gas production would be around June 2. The New York Times was the first to report this.
The White House or the Interior Department didn't immediately respond to an inquiry for a comment.
Separately officials from Thailand, who could also be consumers of LNG from Alaska, as well as South Korea, are expected to visit Alaska to discuss the project in the next couple of weeks, according to the source, who spoke under the condition of anonymity.
This would be the first time in Trump's second term that officials from Thailand have visited Alaska to discuss the project. (Reporting and editing by David Gregorio; Timothy Gardner)
(source: Reuters)