President Joe Biden on July 15 signed an executive order establishing an emergency board to help resolve ongoing disputes between freight rail carriers and their unions. The board will provide union workers and management a “structure” to address their disagreements, the White House said, and will issue a report within 30 days recommending how the disputes should be resolved. “The President’s goal is to make sure America’s freight rail system continues to run without disruption, delivering the items that our families, communities, farms and businesses rely on,” the White House said. The emergency board will begin work July 18.

The Federal Railroad Administration is going to spend $368 million across 46 projects, some of which are aimed at strengthening supply chains, it said. "Americans deserve a world-class rail system that allows people and goods to get where they need to go more quickly and affordably, while reducing traffic and pollution on our roads," Transportation Secretary Pete Buttigieg said. "We're proud to award these grants to improve passenger rail for riders and strengthen the freight rail that makes our supply chains and our economy work."

Senators called on the Surface Transportation Board to intervene with freight railroads, because manufacturers and agricultural producers are not getting reliable service. "If these problems persist into summer and fall, significant portions of the world's breadbasket could be cut off from assisting those most in need...," said a letter, led by Sen. Kevin Cramer, R-N.D., and Sen. Tammy Baldwin, D-Wis., and signed by 19 other senators from both parties. They said some grain producers cannot contract to get a freight car, causing flour mills to shut down. They said that shipping vessels have waited to leave because of delays of rail arrivals of grain. The May 23 letter is supported by the National Grain and Feed Association, the National Mining Association, the American Chemistry Council and the ethanol trade association Growth Energy.

The Surface Transportation Board recently voted to issue a proposed rule intended to ease the process for shippers to request emergency intervention when facing supply chain delays on rail lines. The proposed rule, adopted April 22, would shorten the process for petitions for STB emergency service orders, under which the STB directs railroads to divert cargo onto other lines or railroads. It also would remove the process that a shipper secure an alternative carrier in advance, instead only requiring a list of potential alternative carriers.

Massive delays and a drop in traffic at the U.S.-Mexico border caused by secondary Texas state inspections have drawn fire from CBP, the trade community and even the White House.

Russia’s war on Ukraine has led to a “rapidly worsening outlook” for the global economy, including rising trade costs for certain agricultural goods and fuel, the U.N. Conference on Trade and Development said in a March 16 report. The trade outlook is especially dire for developing nations due to increasing food and energy prices, the U.N. said, and is leading to rising freight rates around the world. “Due to higher fuel costs, rerouting efforts and zero capacity in maritime logistics,” the report said, “the impact of the war in Ukraine can be expected to lead to even higher freight rates."

Major steamship lines and express couriers suspended Russia service in recent days in response to the war in Ukraine. Maersk, MSC and CMA CGM announced March 1 they are suspending bookings to and from all Russian ports, following Hapag Lloyd’s similar announcement Feb. 24 and Ocean Network Express’ partial suspension Feb. 28. UPS confirmed a total stop in service March 1, and FedEx on Feb. 28 stopped inbound service to Russia.

Global shipper Maersk says it is "monitoring and preparing to comply with the ever-evolving sanctions and restrictions imposed against Russia while we safeguard our operations and our people in consideration of the constant developing situation." The company said Feb. 28 it may suspend bookings, both on ocean and inland, to and from Russia. "For cargo already on the water we will do our utmost to deliver it to its intended destination," it said. "We have a sharp focus on safeguarding reefer containers and keeping cold chain operations as stable as possible, as the commodities include important goods such as groceries and pharmaceuticals. We are doing everything possible to prevent risk to the above cargo and in turn risk to the end-users in need of these commodities. It’s also worth noting that air space is also gradually being restricted and our air services will be impacted," the company said.

The Los Angeles and Long Beach ports again postponed a new surcharge meant to incentivize the movement of dwelling containers (see 2110280031), the two ports announced Feb. 18. The ports originally planned to begin imposing the fee Nov. 15 but have postponed it each week since. The latest extension delays the effective date until Feb. 25.

Global ocean freight rates will likely “remain elevated” for the remainder of 2022, and shippers should continue to expect a “volatile” market until at least the second half of the year, Crane Worldwide Logistics said in a February ocean market update. Crane said shippers also should carefully monitor the container port in Odessa, which Russia could block if it invades Ukraine, threatening roughly 1 million 20-foot equivalent units annually. The update also includes information on the current state of global ports and a market forecast for the remainder of the year.