TODAY: More Americas expansion for DP World + Baltimore bridge collapses

Good morning, ladies and gents. We have a meaty issue this morning with more DP World expansion news, somber news developing state-side in the wake of a major ship collision, and a deep dive into how shipping emissions are affecting the Arctic. But first…

A quick programming note: Enterprise Logistics will be taking a publication holiday tomorrow and will be back in your inboxes at the usual time on Monday morning.

THE BIG LOGISTICS STORY OUTSIDE THE REGION- A Sri Lanka-bound Maersk-chartered container ship, dubbed Dali, collided with a bridge in Baltimore causing it to collapse. Six workers are missing and presumed dead due to frigid water conditions after the massive cargo ship reportedly lost power and rammed into the bridge. Search-and-rescue operations were suspended about 18 hours after the accident, US Coast Guard and Maryland State Police officials said. Eight people were on the bridge when the collision happened, Maryland’s transport secretary said a few hours after the incident. Rescuers pulled two survivors out of the water.

What happened? The Dali was exiting Baltimore’s port when it reported a problem with power and signaled a “mayday” before striking Baltimore’s Francis Scott Key Bridge. Footage of the incident shows the vessel hitting one of the bridge’s columns, causing it to collapse into the water in seconds, with some parts of the bridge falling onto the Dali and resulting in a fireball.

Baltimore’s closure is bad news for US supply chains: The port is the largest import point for cars into the US, handling upwards of 750k vehicles last year It is also the largest importer of farm and agricultural machinery, and agricultural products. Tthe bridge’s collapse has stranded some 40 vessels within the port with another 30 vessels signaling the port as their destination.

The story grabbed a lot of ink in the international press: Reuters | AP | The Washington Post | The Financial Times | The New York Times | BBC | CNN | The Guardian

WATCH THIS SPACE-

#1-Boeing needs a “strong engineering lead” after its upper management shuffle, Emirates president Tim Clark told the National. “Whether, yet again, this changing of the guard will resolve Boeing’s issues, only time will tell, but time, unfortunately, is not on their side,” Clark added. Emirates is a leading customer for Boeing, and Clark had previously hinted at the need for a shakeup in the aircraft maker’s leadership to remedy persistent quality problems and delays in deliveries, the National said. Analysts also agree that Boeing’s next chief must be an experienced aerospace engineer, the outlet also said.

ICYMI- Boeing’s top management is facing a reshuffle, with CEO Dave Calhoun set to step down by the end of the year. Former Qualcomm CEO Steve Mollenkopf has been tapped to serve as Boeing’s new chairman and will begin searching for Calhoun’s replacement.

#2- A seventh tanker, sanctioned by the US, hauling a cargo of Russian Sokol oil was set to arrive at China’s Tianjin port yesterday to discharge its cargo, clearing a backlog of the crude grade that was stored on ships, Reuters reports, citing LSEG and Kpler tracking data. Six other sanctioned tankers carrying Sokol oil arrived at the port earlier this month. A spike in US sanctions targeting Russian tankers have seen Russia “struggling with a Sokol glut,” the newswire said, with some 10 mn barrels of the crude grade stuck in floating storage amid payment difficulties due to the sanctions. India withdrew from Sokol purchases in a bid to avoid being hit by sanctions itself, giving way to China to uptake the fuel grade, in place of more expensive Iranian crude, the newswire said, citing traders and shipping data.

DISRUPTION WATCH-

Houthis have carried out six attacks with drones and missiles in the Red Sea and Gulf of Aden over 72 hours, Reuters reports, citing the Iranian-backed group’s military spokesperson Yahya Sarea. The group targeted Maersk Saratoga, APL Detroit, Huang Pu — identified as US or British — and Pretty Lady enroute to Israel, Sarea said. Attacks also targeted two US destroyers in the Red Sea, and Eilat in Israel, he added. Maersk later rebutted Houthi claims that the Saratoga was attacked, which is currently continuing its journey, the newswire added, citing company statements.

DANGER ZONE-

Turkey and Egypt are mired with oil spills: Egypt and Turkey are among the worst hotspots for oil slicks — spills of liquid petroleum hydrocarbons into the marine ecosystem — by ships despite their strategic maritime locations and reliance on tourism, The Financial Times reports. Through the use of satellite imagery and AI, researchers have identified over 2.7k oil slicks globally as a result of cheap fuel filtering and improper waste disposal, mostly located in Southeast Asia, the FT explains. Countries like Egypt and Turkey, need to monitor and report these violations more effectively, FT suggests. Experts are also calling for stringent enforcement of maritime laws to curb the pollution.

MARKET WATCH-

#1- Baltic index hits a three-month low: The Baltic Exchange’s dry bulk sea freight index — which tracks rates for the capesize, panamax, and supramax vessel segments — was down 3.3% to 2,123 points on Monday, driven by falling rates in the capesize and panamax vessel segments, Reuters reports. The larger capesize subindex dropped 5.4%, at 3,295 points, hitting its lowest since 27 February, while panamax dipped 2.1% at 2,120 points. Meanwhile, the smaller supramax segment inched up to 1,386 points, the newswire said.

#2- Oil prices held steady on Tuesday, as investors factored a more nuanced view of supply disruptions in Russia on the back of Ukrainian attacks, and a weaker USD buoyed the market, Reuters reports. Front-month Brent crude futures shed USD 0.11 to USD 86.64 a barrel by 14.15 GMT, while US West Texas Intermediate (WTI) futures gained USD 0.06 to USD 82.01 a barrel, meanwhile Brent futures for June notched down USD 0.04 to USD 86.04 a barrel, the newswire said. Ukrainian attacks have seen some 14% of Russia’s refining capacity taken offline, Reuters said citing its own calculations, while a restoration to 2023 capacity is not expected until this year’s second half, FGE analysts said. “The impact of refining disruptions on crude prices is mixed, with a bearish effect from the decline in refinery demand and a bullish effect from the potential reduction in Russia oil exports,” the newswire said citing a Goldman Sachs analyst.

#3- LNG shipping stocks dipped last week: The UP World LNG Shipping Index (UPI), which tracks share prices for companies that specialize in shipping LNG, shed 0.83% last week to close at 155.02 points, UP Indices reports. The same period saw the S&P 500, which tracks US companies, rally 2.29%.

CIRCLE YOUR CALENDAR-

The UAE will host Abu Dhabi Mobility Week from Wednesday, 24 April to Wednesday, 1 May in Abu Dhabi. The event, organized by The Department of Municipalities and Transport – Abu Dhabi (DMT), will feature announcements, forums, and introduce a mobility strategy for the emirate.

Iran will host the second Iran-Africa International Summit from Wednesday, 24 April through to Friday, 26 April in Tehran. The event will see Iran receive trade ministers from more than 40 African countries.

Saudi Arabia will host a special World Economic Forum event from Sunday, 28 April through to Monday, 29 April in Riyadh. The event will focus on global collaboration and energy.

The UAE will host the 23rd edition of the Airport Show from Tuesday, 14 May through to Thursday, 16 May in Dubai. The 23rd Airport Show will see representation from airport suppliers, airport service providers, aviation executives, and regional decision makers. The event will highlight current innovations and new technologies, while emphasizing this year’s “Sustainability and Innovation,” theme.

The UAE will host The Electric Vehicle Innovation Summit from Monday, 20 May to Wednesday, 22 May in Abu Dhabi. The event will see industry leaders come together to discuss sustainable mobility and tapping into groundbreaking advancements in electric vehicles while engaging with key decision-makers.

Check out our full calendar at the bottom of this email for a comprehensive listing of upcoming news events and news triggers.