Last Week in Logistics, 14-20 April
Turning again to the world logistically, first, a musical introduction to the review, Pachelbel’s Canon in Trains.
Ukraine War
Russian industry flagging on arms production and, as oil revenues drop, Gazprom searches for new business opportunities. Ukraine targets Russian 112th Missile Brigade early in the week, thought to be responsible for the attack on Sumy last weekend. And the LOCs War continues, as Ukraine MiG-29 takes out a bridge in Belgorod region. To celebrate the holiday as the Russian announced ceasefire was ritually broken across the country, Easter Cakes were delivered by drone to front line soldiers.
European Arms and Defense
Swiss public sentiment has turned against the 2022 contracted purchase of the American F-35 to upgrade the nation’s fighter fleet, amid growing geopolitical concerns and decreasing trust in the US government’s role in the contracts.
On refinancing the EU arsenal, this IRIS note covers the issues and the possibility of a Rearmament Bank. However increased funding is arranged, European defense spending should focus on capabilities, not GDP percentages, per Spain’s Defense Minister, Carlos Cuerpo.
Transportation
A week that ended celebrating transport and communications with the 250th anniversary of the Ride of Paul Revere, Monday kicked off in modernity with some good shots of an Antonov. Ukraine’s monster air mobility craft is also a perfect idea for the current European arms moment: a means to support the war-torn nation’s industry now and when peace comes, and a backfilling of capability and capacity lost as the US military re-shapes its global footprint. This idea would conform with the defense industry cooperation between Ukraine and EU urged by von der Leyen last week.
In other demonstrations of scale, the Mary Rose social media account made fantastic use of the medium to demonstrate with more posts than I was willing to count the relative depth of the Titanic wreck site
A United Airlines flight suffered an engine fire after collision with a rabbit on takeoff. Bird strikes are the historic concern, going back to the years immediately following WWII, as aircraft speeds advanced, generating one of humanity’s great niche developments, Chicken Guns.
Research proves public transit is safer than driving. Seoul updates its subway map, including important points of interest with pictograms.
As the French Navy polices the Straits of Civilization, here’s video of one crew taking down a Houthi drone in the Red Sea. Further north, Lithuania and Poland look to bolster the transportation support to the Suwalki Gap, where Lithuania/Poland and Belarus/Russia meet, to shore up military mobility in crisis.
The Logistical Economy and Tariffs
From JP MORGAN: “.. survey data continuing to flag a deleterious effect on business and consumer sentiment. Indeed, today’s Empire State Survey showed .. a continued drop in future expectations, which fell back to its lowest point since the September 11, 2001 attacks.”
DHL will suspend high value deliveries to the US - the freight volume massacre looming in May for the trucking industry is leading to the self-reinforcing deterioration in the sustaining industries. As tariffs hit the trucking industry - “Heavy-duty truck orders continue to be negatively affected by market uncertainty about freight rates and demand, possible regulatory changes, and the impact of tariffs,” spokesperson Kimberly Pupillo said - orders for new vehicles drop and drive Mack Trucks layoffs at Lehigh, PA factory. Senator Tammy Baldwin checked in with local Milwaukee businesses, “from beer to automotive parts”, affected by the tariffs. And of what little might get through from China faces increased port charges for PRC flagged ships.
The Logistical Economy and the Administrative State
FDA announces cuts to food safety inspections:
"Unfortunately, significant reductions in force, including a key quality assurance officer, an analytical chemist, and two microbiologists at FDA's Human Food Program Moffett Center have an immediate and significant impact on the Food Emergency Response Network (FERN) Proficiency Testing (PT) Program," says the email sent on Tuesday from FERN's National Program Office and seen by Reuters.
….
"These PTs and Exercises are critical to demonstrating the competency and readiness of our laboratory network to detect and respond to food safety and food defense events," the email says.