global

IMO talks work towards climate goals

Tightened energy efficiency targets and a commitment to further discuss proposed speed reduction rules were the key outcomes of the International Martime Organisation’s (IMO) latest round of talks, held in London last week.

But environmental campaigners were quick to argue the results showed a “total lack of ambition” on the part of the shipping industry, which currently emits three per cent of global CO2 emissions but risks seeing its share expand to 10 per cent by 2050 unless efforts to decarbonise accelerate.

With some members and leading shipping operators calling for bolder climate policies and others continuing to push back against proposals that they fear would impose new costs on their national shipping industries, the IMO agreed to tighten energy efficiency targets for new vessels across seven ship types.

The accelerated targets for containers, general cargo ships, hybrid diesel-electric cruise ships, and LPG and LNG carriers cover about 30 per cent of ships and about 40 per cent of CO2 emitted from ships subject to energy efficiency regulations.

The measures could reduce CO2 emissions by 750 million tonnes of CO2 cumulatively from 2022 to 2050, equivalent to about two per cent of all emissions from the industry over that time period, according to an analysis by the International Council on Clean Transportation.

The IMO also committed to considering additional requirements for new ships after 2025 and looking at new efficiency requirements for in-use vehicles at the next meeting, fueling hopes standards could be strengthened as investment in cleaner shipping technologies steps up.

“IMO’s move shows that further efficiency improvements are still possible for fossil fueled ships,” said Bryan Comer, senior researcher in the ICCT’s marine program. “Future standards should promote new technologies like wind assist and eventually zero emission fuels like hydrogen and electricity.”

However, a decision on whether to implement speed reduction targets was kicked down the road, and will now be taken up at the IMO’s next GHG working group in November. The deferral of any decision on speed limits came despite a joint letter signed by over 100 shipping CEOS ahead of the MEPC74 talks calling for global speed limits at sea, which is widely seen as the most effective short-term measure for curbing the industry’s emissions.

“We’ve seen over 100 individual shipping companies united with NGOs in calling for speed reduction, overruling the policy stance of the industry associations,” said Faig Abbasov, shipping policy manager at Transport and the Environment. “The shipping industry associations no longer represent the best interests of shipping companies.”

Countries who blocked further action reportedly included Saudi Arabia, the US, Brazil, and Cook Islands, with opposition to the speed reduction proposals also understood to have come from Chile and Peru.

The outcome from the meeting should provide a boost to investment in fuel efficiency measures across the sector, but it will also provide further ammunition for those shipping operators and environmental campaigners who accuse the international body of failing to deliver sufficiently ambitious climate policies.

Aviation and shipping are the only two industries to operate outside the framework of national climate action plans established by the Paris Agreement, with the IMO and its sister body the International  Civil Aviation Organisation (ICAO) instead tasked with delivering new policies to curb emissions from the carbon intensive sectors.

But while the ICAO has come forward with detailed plans for an international carbon offsetting scheme, albeit one that has continued to face criticism from green groups, IMO has made much slower progress in delivering new policy proposals.

In April 2018, the IMO responded to post Paris Agreement calls for it to deliver a new strategy by announcing targets to reduce the industry’s greenhouse gas emissions by at least 50 per cent by 2050 compared to 2008 levels. As a mid-term goal, it pledged to reduce the carbon intensity of the sector by at least 40 per cent by 2030. In order to achieve these targets, it promised to produce a detailed plan for emissions reduction by 2023 as well as immediate measures to achieve greenhouse gas reductions before this.

Without extensive action to tackle emissions, the shipping industry – which was exempted from the Paris Agreement – could see them grow 250 per cent by 2050 as trade increases, according to a 2014 study by the IMO.

A 2018 report from the OECD warned that failure to act would leave the sector emitting the equivalent of well over 200 coal power stations by 2035. The think tank called for more research into zero carbon technologies, greater transparency on carbon footprints within the industry, a carbon price for global shipping, and other mechanisms to incentivise efficiency such as ports differentiating fees based on environmental criteria.

Also last week, environmental campaigners demanded a moratorium on the shipping industry’s use of Exhaust Gas Cleaning Systems (EGCS), known as scrubber technology.

EGCS were seen as a possible route to ensure compliance with IMO rules which will enforce the use of bunker fuels with a sulphur content of 0.5 per cent from 2020, down from the existing limit of 3.5 per cent. But concerns over their efficacy have been thrown into sharp relief by their role in an ongoing case against cruise operator Carnival Corporation, in which multiple EGCS failures contributed to significant air and water pollution violations.

With the clock ticking, international pressure is intensifying on the IMO to take meaningful steps towards meeting its own emission reduction targets. Focus will now move on to the organisation’s next session in November with hopes growing that recent calls for bolder action are finally taken on board.

Source: Businessgreen.com

future of shipping

Maritime black carbon emissions must decrease

The Clean Arctic Alliance has issued a call for international shipping operators and national governments to cut maritime black carbon emissions.

Black carbon particles are predominantly produced by ships burning heavy fuel oil; when black carbon is released by vessels operating in the Arctic region, the particles reduce the reflectivity of ice and snow – the resulting heat absorption accelerates the rate of warming across the Arctic. Black carbon emissions represent both the second largest contributor to global warming and a significant health hazard to humans. The Clean Arctic Alliance, a collective of non-profit bodies advocating an end to the use of heavy fuel oil (HFO), is calling on International Maritime Organisation (IMO) member states to agree on measures to ensure the reduction of maritime black carbon emissions at this year’s meeting of the Marine Environmental Protection Committee, which begins today.

Sian Prior, Lead Advisor to the Clean Arctic Alliance, said. “By cutting ship-sourced emissions of black carbon, IMO member states could take a quick and effective path to countering the current climate crisis; and minimise further impacts on the Arctic. We’re calling on IMO member states to champion a move away from using heavy fuel oils – shipping’s number one source of black carbon – in Arctic waters. With cleaner shipping fuels already available and innovation and ambition driving the global shipping industry towards lower emissions, IMO member states must move rapidly towards zero emission solutions.

“All eight Arctic countries made a commitment to demonstrate leadership on black carbon in 2015 – and it now seems that all except Canada are backing a move away from heavy fuel oil in the Arctic. As recent comments from Russia’s President Putin and Finland’s President Niinistö demonstrate, the political will for a HFO Free Arctic exists – now it is the time for IMO member states to turn this will into action, by moving urgently to reduce black carbon emissions and by backing the ban on the use and carriage of HFO in the Arctic, currently under development.”

Source: Governmenteuropa.eu

air freight

Air cargo carriers develop online distribution

After years of criticism that cargo airlines were failing to develop new distribution channels – the increase in digitisation and online sales means online distribution is on the increase. 

Air France-KLM Cargo has signed up to Freightos’s air freight WebCargo platform, which claims to be the world’s largest. It allows AF-KLM customers to view live rates, assess capacity availability and secure bookings on specific flights in real-time, following a pilot conducted with the carrier and Panalpina. While the platform is proving successful they are also researching others. 

Manel Galindo, chief executive of WebCargo, said the platform was used by more than 1,400 forwarders, with market pricing from more than 300 airlines. It also can provide airlines with API capability, which some other platform do not offer. It also offers an internal platform that can be used to manage offline rates, manage quoting and more. Freightos added that “real-time e-bookings would be launched in a number of countries and gradually expanded”. 

A spokesperson for cargo.one said it was an open platform for every cargo airline globally”, with a 12-week integration period. She added: “Because cargo.one is free of charge to any size freight forwarder, we have become a significant distribution channel for our partner airlines. We also offer a variety of integration methods and have successfully integrated with multiple established infrastructures. All our integration methods, whether based on legacy infrastructures or APIs, are designed to deliver the same outstanding digital user experience. 

Meanwhile, Etihad Cargo looks as if it could be next to launch a new distribution channel, following the success of its digitisation programme. 

It said it was “successfully completing trials for another major distribution channel, using automated Freight Forwarder Messaging to instantly allow bookings to be made and confirmed. These pilots were with DHL Express and DB Schenker, completed successfully in March and are in the process of being progressively rolled out across their global operations as well as to other key forwarder customers. 

Etihad last year completed its migration to IBS iCargo’s system, and launched its own online booking portal. It claims to make more sales through this channel than any other cargo airline: 16.4% of its monthly bookings coming through the platform in March. It said it had more than 6,000 registered users making online bookings every month, and volumes sold on the channel are increasing steadily. 

The new distribution channel, using API and web services, will launch by the end of the second quarter. 

“Within such a short period of time we have gone from being a very conventional air cargo operator to being the most digitised air cargo carrier of our size globally,” said Rory Fidler, head of technology and innovation. “As we move forward, we will continue to invest in technology and seek to put ourselves at the forefront of the industry’s drive for digitalisation”. 

Source: The Loadstar

air pollution

Vessel emissions won’t be cut by sailing slower

Policy director of the UK Chamber of Shipping Anna Ziou has slammed French proposals to impose speed limits as a way to cut shipping emissions.

She claims it would give a “false impression” of the industry taking action. 

Ms Ziou’s objection follows an outcry from container lines following the French IMO delegation’s proposals becoming public last month. 

“To achieve a 50% cut in emissions, the shipping industry needs continued investment in green technologies that will allow ships to conduct their business through a range of low-carbon fuels, such as battery power, hydrogen fuel cells or even wind power,” said Ms Ziou. 

“Shipowners have already limited speeds considerably in the past decade and while these proposals are well-intentioned, slow-steaming as a low-carbon [plan] is just not good enough. 

“It will give a false impression that the industry is taking action, when in reality it will deliver no meaningful reduction in emissions, and the scale of ambition required for the industry to meet the 50% target should not be underestimated.” 

Ms Ziou noted that if selected, the plan could penalise companies developing and installing low-carbon technologies and could discourage “meaningful” attempts at cutting emissions. 

At best, she claimed, speed limits would delay any form of transition to low-carbon fuels and in so doing would store up greater costs for the industry. 

She added: “Speed reduction could result in supply chains using alternative modes of transport, such as road haulage, which would increase overall emissions. 

“In addition, ships may call at certain ports that are tidally constrained where a delay of just one hour could result in a knock-on delay of 12 hours to the vessel as it awaits the next tide, unnecessarily creating further emissions during the additional waiting time.” 

Despite the objections, it seems there is mounting support for the introduction of speed limits after chief executives from more than 100 shipping companies described climate change as “possibly the greatest challenge of our time” in a recent open letter to IMO member states. 

Source: The Loadstar

China flag

China-Europe rail service exports grow by 106%

China’s Belt and Road initiative (BRI) may have faced recent strong criticism from the EU, but that has not dented the growth in its exports to Europe.

Chinese officials have claimed a 106% increase in the value of cargo travelling by rail from China to Europe, equating to some $33bn.

Xiao Weiming, from the office of the leading group for promoting the BRI, told Xinhua that 14,691 trips have been made by China-Europe freight trains since 2011.

Operator United Transport And Logistics Company Eurasian Rail Alliance (UTLC ERA) recorded a 54% (62,622 teu) upturn in volumes between China and Europe.

While the bulk is exports from China (35,536 teu, up 69%), imports from Europe have been closing the gap, recording a 44% increase to more than 27,000 teu in Q1.

The Russian-Kazakh-Belarussian-owned UTLC ERA has furthered its links between the two regions, having announced cooperation agreements with two European partners.

President of UTLC ERA Alexey Grom said: “I am perfectly confident the agreements signed with our partners will contribute to the active growth of the transit transportation market, enabling UTLC ERA to strengthen its leading positions in cargo shipments on Europe-China-Europe routes.”

During this month’s TransRussia exposition the operator entered an agreement with Slovakia’s public rail company, ZSSK Cargo, to facilitate IT collaboration on container shipments from China, to include route scheduling and an analysis of potential customer bases between Slovakia and China.

“This is the first time we have fixed in writing the intention to build a direct transit transportation technology process,” said Mr Grom. “We will be solely responsible for the 1520 gauge, whereas ZSSK Cargo will be in charge of the 1435 gauge.

“That is how we will be able to offer our customers the end product – a comprehensive shipping service solution.

UTLC ERA has also announced a deal to assist Lithuanian Railways with its postal container traffic from China to Lithuania, providing containers loaded with postal items at Dostyk and Altynkol stations, operated by Kazakhstan Railways.

Lithuanian Railways would then take over handling at Kena near Belarus, delivering packages to the warehouses of Lietuvos Pastas, Lithuania’s public postal service.

Despite the BRI’s growth, a report from EU high representative for foreign affairs and security Federica Mogherini slammed China’s handling of the trillion-dollar project, describing Beijing as both a partner and a strategic competitor.

Those words may have little impact on the BRI’s momentum, with the project now boasting the involvement of more than 120 countries. Its development was enshrined in the Chinese Communist Party’s constitution in 2017, but cracks have begun to show.

According to the Asian Development Bank, a $26trn investment shortfall between now and 2030 looks likely, while at home the Chinese have expressed concerns over a litany of faults.

Source: The Loadstar

 

One Manato

$586m loss hits ONE’s parent carriers

Japanese merged carrier Ocean Network Express (ONE) recorded a net loss of $586m in its first year of operation, however it said it expected to move into the black in its second year. ONE, formed from the container businesses of K Line, MOL and NYK, was supposed to produce synergistic returns for its parents. Instead it has dragged down the P&L accounts of the trio, which announced annual results today. 

NYK, which holds a 38% equity stake in ONE, posted a massive group loss of ¥44.5bn ($400m) for the year, prompting the replacement of Tadaaki Naito as president.

The company said  it resolved a change of its chairman, president and representative directors. The new president will be Hitoshi Nagasawa, currently executive vice president corporate officer.

And, like its compatriots, NYK also underestimated the cost of ending its legacy liner business. It said it suffered “higher than expected one-time costs required to terminate the container shipping business”, which included severance payments to agents and penalties incurred on returning surplus containerships to owners earlier than the charter party expiry dates. 

K Line recorded a loss of ¥11bn ($99m) for the year, citing red ink incurred from its 31% stake in ONE as the primary reason. 

Only MOL, which also has a 31% holding in ONE, managed to stay in the black for the year, achieving a positive result of ¥27bn ($240m), mainly attributable to good performances from its dry bulk and energy transport businesses. 

But the carrier noted the business performance from ONE had resulted “in a significant deficit” from the sector. 

The botched launch of ONE on 1 April last year resulted in a significant loss of business and an estimated $400m impact on the bottom line. 

Chief executive Jeremy Nixon explained to investors in November that management had “underestimated the initial launch resource requirement”, causing chaos on operations desks throughout the new organisation and obliging loyal Japanese trading house customers to book their containers with other carriers. 

On the key Asia-Europe and transpacific tradelanes, it took ONE several months to regain customer confidence and thus restore load factors to acceptable levels. 

For the full-year utilisation levels recovered to 87% and 88%, respectively for the Asia-US and Asia-Europe headhaul routes, having plunged below 70% in the first quarter. 

Turnover in the first 12 months was $10.9bn, but ONE is seeking to improve its revenue in year two by 17% to $12.7bn and is targeting a profit of $85m. 

ONE is more optimistic about growth than some of its peers and is projecting a 4% increase in demand. 

“Profit is expected to gradually recover throughout H1, with improved lifting,” said ONE, adding it expected that liftings would be restored to the pre-integration levels of the three carriers during the period. 

It said however that in the first three months of the calendar year, and the carrier’s Q4, trade had been “relatively weak” eastbound between Asia and the US “due in part to a backlash downturn from the earlier rush demand ahead of additional US tariffs on China”. 

In regard to the Asia to Europe tradelane it said that although long-term contracts had improved, soft demand following the Chinese new year had resulted in a decline in spot rates. 

ONE said that its action plan for profit improvement was to “establish an organisation that can tolerate market volatility” advancing the carrier from a period of “stabilisation” to a secondary stage of “reformation”. 

The four parts of its 2019 action plan are: cargo portfolio optimisation; product rationalisation; an organisation restructure and an increase in the targeted $1bn cost saving synergies from the merger to 96% this year, from the 82% achieved in the first year.

Source: The Loadstar

global

UK shipping sector wants assurance on four areas of concern over IMO 2020

The International Maritime Organisation has been urged to clarify four areas of IMO 2020, as carriers scramble for compliance with the forthcoming low-sulphur fuel limit.

The “once-in-a-generation disruptor to shipping’s commercial environment” takes effect on 1 January 2020: a fuel sulphur content limit of 0.5%, down from 3.5% in some parts of the world, at some considerable cost to the industry.

Amid concern and the countdown, the UK Chamber of Shipping has called for the IMO to address four key areas: mitigation of safety issues linked to the switch; education on handling the fuel; reporting of compliance issues; and how the organisation will provide consistent global regulation.

The chamber said: “The new regulation will change the face of the shipping industry. It will have a positive impact on the environment and air quality, but could have a disruptive effect on operations if shipowners do not prepare effectively.”

While the IMO has yet to address issues surrounding fuel safety, it is working on guidelines to support the consistent implementation and to help state control enforce the regulation.

Furthermore, the UN body is reportedly also working on a fuel oil non-availability template (FONAR).

The UK Chamber says FONAR provides documentation to prove every effort to obtain compliant fuel had been pursued prior to a decision to bunker with non-compliant fuel.

But, it said, certain questions remained unanswered: “For instance, what happens to non-compliant fuel remaining onboard after a ship, having already provided a FONAR, arrives at a port where compliant fuel is available?”

Part of the problem facing the industry is uncertainty over how to comply with IMO 2020, with some suggesting scrubbers as the best option to mitigate the impact of the cap, some have pointed to LNG as an alternative, while others claim the clearest route to compliance is low-sulphur fuel.

A report by Panalpina suggests there has been an uptake among container lines looking to take the LNG route, with some hubs “racing” to develop LNG bunkering technology. It cites an order from CMA CGM for ten 15,000+ teu vessels, five to be fuelled by LNG and five fitted with scrubbers.

For forwarders like Panalpina, the focus will be on making sure it can maintain the best rates and provide customers with options they are happy to pay for, it said.

Global head of ocean freight Joerg Twachtmann added: “We have been developing a transparent and competitive pricing mechanism to cut the best deal for our customers.

“We now have a globally competitive bunker mechanism that will increase visibility for customers and ease the transition towards new fuel types to comply with the sulphur limit.”

For more information please go here: http://www.imo.org/en/MediaCentre/HotTopics/GHG/Documents/2020%20sulphur%20limit%20FAQ%202019.pdf

Source: The Loadstar

LNG tanker

LNG is the most environmentally friendly fuel for shipping

LNG is the most environmentally friendly, readily available fuel for shipping today – and in the foreseeable future, according to a new study.

With the IMO’s 0.5% sulphur cap regulations coming into force next January, along with its target of halving C02 emissions from shipping by 2050, decisions need to be taken on alternative fuels.

At today’s launch in London of an independent study, commissioned by the not-for-profit collaborative industry foundation SEA/LNG, its chairman, Peter Keller, said the study aimed to prove the efficiency of LNG at this “challenging time for shipowners, operators and regulators”.

Mr Keller, also executive vice president of US flag line Tote, the first to operate LNG-fuelled containerships, said there had been “a significant amount of investment in LNG bunkering capabilities around the world”, a lack of which had in the past deterred most carriers from ordering LNG-fuelled vessels.

CMA CGM is the first, and so far only, global carrier to opt for LNG-fuelled ULCVS, with its order last year for nine 22,000 teu ships to be delivered next year.

Mr Keller conceded it was not viable to retrofit ships to run on LNG.

“Conversions are difficult,” he said, given the size of the tanks required and the complexity of the work.

Indeed, Hapag-Lloyd’s chairman, Rolf Habben Jansen, told The Loadstar recently that a ballpark figure for retrofitting one of its 17 so-called LNG-ready ULCVs, inherited from its merger with UASC, was $25m – at least four times the cost of installing a scrubber system.

He said only one of the 15,000 teu ships was being retrofitted to run on LNG, as a trial, and he did not expect this to be rolled out to the sister vessels.

The Well-to-Wake study (a well-established approach for assessing the life-cycle analysis of fuels used in ships) was undertaken by consultant thinkstep. Using testing and data in cooperation with engine manufacturers,it found that the use of LNG as a marine fuel showed GHG reductions of up to 21%, compared with current oil-based fuels for two-stroke slow-speed engines. These account for about 70% of the power units used in shipping.

Mr Keller admitted that LNG was not a final answer to cutting emissions from shipping, but “it is the only alternative fuel that is available now”.

Maersk said recently it had invested some $1bn in research and development on alternative fuels, which it said was being driven by its customers, the carrier having seen a 30% increase in tenders stipulating the use of sustainable fuel. Other options being researched include bio-diesel and ammonia (hydrogen), solar and wind power.

Source: The Loadstar

Port of Shanghai

Shanghai is still the world’s busiest container port

The port of Shanghai has maintained its position as the world largest container port.

However, new data from Alphaliner today shows its lead over second-placed Singapore narrowed last year.

Shanghai posted 2018 throughput of 42.01m teu, 4.4% growth on 2017, while Singapore handled 36.6m teu, representing growth of 8.7%.

And the 5.41m teu differential between them was narrower than the 6.56m teu difference this time last year.

The 2.93m teu Singapore gained made it the largest-growing port globally, in terms of volumes, although Shanghai’s 1.78m teu gain puts it in second place in that sub-list.

According to Alphaliner, together the world’s largest 120 box ports handled 654m teu last year, an increase of 4.9% on 2017, which was broadly in line with analysts’ consensus.

Of those, 104 ports saw volumes grow, while 16 saw declines – and there were some high-losers among them.

Hong Kong saw the largest decline in volumes, down 1.1m teu over the year, dropping from fifth to seventh place in the top 120 as it posted a 56.7% fall to finish the year with 19.6m teu throughput, prompting its major terminal operators to form an alliance to try and arrest further declines.

DP World’s flagship Dubai facility also saw volumes decline, by 2.7%, and with an annual throughput of 14.95m teu, it fell out of the top 10 to eleventh place – overtaken by the northern Chinese port of Tianjin.

Other ports which saw large losses included other high-profile transhipment hubs: Panama’s Pacific hub of Balboa continued to see fall-out from the Panama Canal expansion as larger vessels now able to transit the canal bypassed it as volumes declined 29.3%, losing around 850,000 teu, to end the year at 2.05m teu; Oman’s Salalah lost 560,000 teu, representing 14.2% of its previous year’s volumes; Dubai rival Khor Fakkan dropped 13.8% to end the year at an estimated 2m teu; while Gioia Tauro, whose problems were recently reported by The Loadstar, lost 4.9% of its volume, equating to 120,000 teu.

The two largest gateway ports to see volume declines were the Iranian hub of Bandar Abbas, where new sanctions had the catastrophic effect of cutting to 600,000 teu, or 22.4%; and the UK’s Felixstowe, whose well-publicised IT transformation project resulted in an estimated loss of some 360,000 teu, representing 8.7% of the previous year’s total.

And Felixstowe’s loss was London’s gain, where scores of ad hoc calls were handled and which recorded a 23.2% increase in volumes to an estimated 1.7m teu.

Three ports, Beirut, Puerto Limon and Dandong, fell out of the top 120 last year, and were replaced by Buenaventura, Lome and Jinzhou.

Source: The Loadstar

low tariffs after brexit

HMRC outlines phased approach for Entry Summary Declarations

The government has announced plans to phase in for EU imports the pre-arrival forms known as Entry Summary Declarations, if the UK leaves the EU without a deal.

Officials on Monday held a series of meetings with organisations who represent the haulage industry and handle a significant portion of the UK’s cross border trade, to confirm that from 29 March, the status quo will be temporarily maintained as they will not need to submit Entry Summary Declarations on imports for a period of six months.

Currently Entry Summary Declarations are not required when importing goods from the EU. They will continue to apply for trade from the rest of the world.

The measure is designed to give business more time to prepare for changes to EU-UK trade arrangements in the event that the UK leaves without a deal. This builds on the plans that Transitional Simplified Procedures (TSP) can be used for at least 15 months for customs declarations.

Financial Secretary to the Treasury Mel Stride MP said:

We’ve listened to businesses and are responding to their concerns.

We have been adamant that in the event of no deal, trade must continue at our borders, and we will continue to make our borders secure.

Maintaining continuity with the current system for the first six months and phasing Entry Summary Declarations in will ensure we deliver on that promise.

The new rules only apply to goods coming from the EU, and will maintain the status quo for carriers. Importers will still be required to submit import declarations for customs purposes – which are not the same as Entry Summary Declarations. HMRC announced ways of making these import declarations easier, through Transitional Simplified Procedures on 4 February 2019.

After the six-month transitional period, carriers will be legally responsible for ensuring Entry Summary Declarations are submitted pre-arrival to HMRC at the time specified by mode of transport.

The measure will not change the UK’s commitment to ensuring our borders remain secure in the event of a no deal and Border Force will continue to carry out intelligence-led checks. A Readiness Task Force in preparation for EU Exit is being recruited and Border Force is on track to increase staff headcount by 900 at the end of March 2019.

The UK’s approach to dangerous goods coming into the UK is not affected.

Pauline Bastidon, FTA’s Head of Global & European Policy, said:

“Today’s HMRC announcement on the temporary waiver of security and safety declarations for post-Brexit logistics movements is a great response to FTA’s campaigning over the past two years, and a positive step towards minimising disruptions on trade between the UK and EU and integrated supply chains after Brexit. However, it is imperative that the UK government maintains pressure on the EU to ensure that a similar waiver is adopted by the EU. To ensure that Britain can keep trading efficiently, it is vital that the European Commission and UK agree a longer term, more sustainable arrangement to remain in the same security zone, which would make safety and security declarations for UK-EU trade irrelevant.  Above all, it is vital that the UK’s supply chain remains as frictionless as possible – British business needs to be confident that goods and materials will continue to transit the nation’s borders as swiftly and efficiently as possible.

Sources: www.gov.uk / fta.co.uk