{"id":82060,"date":"2024-10-31T00:00:00","date_gmt":"2024-10-31T00:00:00","guid":{"rendered":"https:\/\/enterpriseam.com\/logistics\/2024\/10\/31\/today-riyadh-air-orders-60-aircraft-from-airbus-dubai-south-getting-another-mro-facility\/"},"modified":"2024-10-31T00:00:00","modified_gmt":"2024-10-31T00:00:00","slug":"today-riyadh-air-orders-60-aircraft-from-airbus-dubai-south-getting-another-mro-facility","status":"publish","type":"post","link":"https:\/\/enterpriseam.com\/logistics\/2024\/10\/31\/today-riyadh-air-orders-60-aircraft-from-airbus-dubai-south-getting-another-mro-facility\/","title":{"rendered":"TODAY: Riyadh Air orders 60 aircraft from Airbus + Dubai South getting another MRO facility"},"content":{"rendered":"

Good morning, friends. <\/strong>It\u2019s a relatively busy morning for logistics in the region, with news of several potential freezones in Egypt, a big aircraft order from Riyadh Air, and a lot of investments from the UAE in Vietnam\u2019s logistics and data center infrastructure. <\/p>\n

THE BIG LOGISTICS STORY ABROAD- <\/strong>The EU has increased tariffs on Chinese-built <\/strong>electric vehicles (EVs) by up to <\/strong>45.3%<\/strong> following the conclusion of its anti-subsidy probe<\/a>, Reuters<\/a> reports. On top of the EU\u2019s standard 10% car import duty, the bloc will impose extra tariffs ranging from 7.8% for Tesla to 35.3% for China\u2019s SAIC.<\/p>\n

W<\/strong>hat's the concern?<\/strong> The tariffs are intended to counter what the EU says are unfair Chinese subsidies for EV makers, including preferential financing and grants at below market prices. Chinese EV brands make up some 8% of the EU market, up from less than 1% in 2019, and could reach 15% by 2025. Chinese EVs cost on average 20% less than EU-made models.<\/p>\n

The response:<\/strong> China does not \u201capprove of or accept\u201d the decision by the EU, China\u2019s Commerce Ministry spokesperson said, state media Xinhua<\/a> reports. \u201cWe also noticed that the EU side indicated it would continue to negotiate with China on price commitments,\u201d the ministry is quoted as saying, adding that it hopes for a \u201csolution acceptable to both sides as soon as possible to avoid escalating trade friction.\u201d China has launched its own probe<\/a> into the EU\u2019s dairy and pork products in retaliation. <\/p>\n

The story grabbed a lot on ink in the int\u2019l press:<\/strong> Bloomberg<\/a> | AP<\/a> | The New York Times<\/a> | Politico<\/a> | Le Monde<\/a> | CNBC<\/a> | ABC News<\/a> <\/p>\n

PSA-<\/p>\n

More rate increases from Hapag Lloyd:<\/strong> Hapag-Lloyd will roll out a general rate increase (GRI) on shipping USD 1k per container from the Indian Subcontinent and the Middle East to North America, according to a company statement<\/a>. The increase will be applied to cargo transported in 20 and 40 foot dry, reefer, and special containers, including high cube equipment. The GRI increase is applicable starting 1 December and valid until further notice. The shipping giant rolled out a similar increase for shipments of USD 500 per container. <\/p>\n

WATCH THIS SPACE-<\/p>\n

<\/strong> #1- <\/strong>PIF + Google Cloud partnered to create a global AI hub near Dammam<\/strong>, aimed at upskilling the local workforce through AI programs, according to a press release<\/a>. Using Google Cloud\u2019s technology, the hub will focus on improving AI applications and data services, particularly Arabic language models, potentially adding USD 71 bn to Saudi\u2019s GDP over eight years. The agreement is still subject to regulatory approvals, the statement said, without specifying a project timeline or investment ticket. <\/p>\n

ALSO- Saudi Arabia is looking to bank on AI\u2019s mega electricity requirements by offering the<\/strong> world\u2019s lowest energy <\/strong>costs for data centers<\/strong>, at 4.8 cents per kWh using gas and 6.8 cents for renewables, Bloomberg<\/a> reports. Blackstone CEO Stephen Schwarzman warned that electricity usage could rise by 40% in the next decade due to the AI boom, potentially hindering technological progress and straining the global grid. Google CEO Eric Schmidt noted that Saudi Arabia could leverage its abundant resources to become a key player in the energy-intensive AI sector.<\/p>\n

#2- <\/strong>Maersk secures <\/strong>more methanol:<\/strong> Danish shipping giant AP Moller-Maersk inked a long-term bio-methanol offtake agreement with China\u2019s Longi Green Energy Tech as it looks to secure methanol for its growing dual-fuel methanol fleet, according to a statement<\/a>. The first shipment of volumes is expected in 2026, with full production forecasted by 2030. Maersk currently operates seven dual-fuel methanol container vessels. The shipping firm\u2019s methanol offtake agreements now meet over 50% of the dual-fuel methanol demand for its projected 2027 fleet.<\/p>\n

#3- <\/strong>Folk Maritime launches new KSA-India service<\/strong>:<\/strong> Saudi Arabia\u2019s PIF-owned shipping firm Folk Maritime launched a new route \u2014 the India Gulf Service \u2014 linking the Kingdom\u2019s Dammam and Iraq's Umm Qasr ports with India\u2019s Nhava Sheva and Mundra ports, according to a statement<\/a>. The new service, operated by the 1.8k TEU container vessel m\/v Asterios, will begin as a 14-day service and will gradually upgrade to a weekly call by December. The route will facilitate the movement of consumer products, petrochemicals, and other essential commodities, the statement said.<\/p>\n

MARKET WATCH- <\/p>\n

#1- <\/strong>Oil prices rebounded after falling earlier this week<\/strong> on the back of reports that Opec+ could further delay its planned oil output hikes and that US crude and gas stockpiles fell unexpectedly last week, Reuters<\/a> reports. Brent crude settled 2% up at USD 72.09 a barrel, while US West Texas Intermediate crude rose 0.6% to USD 69.01 a barrel. <\/p>\n

Another delay? <\/strong>Opec\u2019s planned oil output hikes in December could be pushed back for another month or more amid persistent concerns of soft oil demand and a glut in supply, four sources close to the matter told Reuters<\/a>. <\/p>\n

REMEMBER- <\/strong>Opec+ initially planned to start phasing out production cuts in October, but later pushed the plans back to December as oil prices fell. <\/p>\n

#2-<\/strong> Baltic index takes a dip<\/strong>: <\/strong>The Baltic Exchange\u2019s dry bulk sea freight index \u2014 which tracks rates for the capesize, panamax, and supramax vessel segments \u2014 fell 0.5% to 1,395 points<\/a> on Wednesday. The capesize index fell 13 points to 1,846 points, while the panamax index dropped 14 points to 1,207 points. The smaller supramax was the only outlier, rising seven points to 1,202 points.<\/p>\n

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The roundup of news and trends that move your markets and shape corporate agendas delivered straight to your inbox.<\/p>\n

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***<\/strong>YOU\u2019RE READING EnterpriseAM Logistics, the essential MENA publication for senior <\/strong>execs who care about the industry that connects producers and retailers to global markets. <\/strong>We\u2019re out Monday through Thursday by 9:15am in Cairo and Riyadh and 11:15am in the UAE.<\/p>\n

EnterpriseAM Logistics is available without charge <\/strong>thanks to the generous support of our friends at Hassan Allam Utilities, Transmar, and AK-Ships.<\/p>\n

Were you forwarded this email? <\/strong>Tap or click here<\/a> to get your own copy of Enterprise Logistics.<\/p>\n

Want to send us a story idea<\/strong>, request coverage, ask for a correction, or otherwise get in touch? Reach out to us on logistics@enterprisemea.com<\/a>.<\/p>\n

DID YOU KNOW <\/strong>that we also cover Egypt<\/a>, Saudi Arabia<\/a>, the UAE<\/a>, and the MENA<\/a>climate industry<\/a> ?
***<\/strong><\/p>\n

CIRCLE YOUR CALENDAR-<\/strong><\/p>\n

Saudi Arabia will host the <\/strong>Saudi Airport Exhibition<\/a><\/strong> on Monday, 11 November and <\/strong>Tuesday, 12 November<\/strong> in Riyadh. The two-day exhibition will bring together global industry leaders to discuss the latest technologies around the world in the aviation industry. It looks to encourage discussion between Saudi aviation leaders and the global supply chain industry.<\/p>\n

The UAE will host the <\/strong>ADIPEC Maritime and Logistics Exhibition and Conference<\/a><\/strong> on <\/strong>Monday, 11 November and Thursday, 14 November<\/strong> in Abu Dhabi. The event looks to explore ways to reduce emissions through innovative solutions. It will bring together industry leaders, regulators and decision makers in the global maritime and logistics sector. <\/p>\n

Bahrain will host <\/strong>The Bahrain International Airshow<\/a><\/strong> on Wednesday, 13 November and <\/strong>Friday, 15 November<\/strong> near Awali. The three-day event is bringing together over 180 participating companies from over 59 represented nations globally.<\/p>\n

Egypt will host the <\/strong>Autotech Exhibition<\/a><\/strong> on Sunday, 17 November until Tuesday, 19 <\/strong>November<\/strong> in Cairo. The event will bring together prominent local and international companies to discuss and evaluate the latest developments and trends in the automotive aftermarket and feeder industries.<\/p>\n

Check out our full calendar<\/strong> at the bottom of this email for a comprehensive listing of upcoming news events and news triggers.<\/p>\n","protected":false},"excerpt":{"rendered":"

What we\u2019re tracking this morning regionally and around the world<\/p>\n","protected":false},"author":1,"featured_media":82061,"comment_status":"","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"newspack_ads_suppress_ads":false,"newspack_popups_has_disabled_popups":false,"newspack_sponsor_sponsorship_scope":"","newspack_sponsor_native_byline_display":"inherit","newspack_sponsor_native_category_display":"inherit","newspack_sponsor_underwriter_style":"inherit","newspack_sponsor_underwriter_placement":"inherit","ep_exclude_from_search":false,"_primary_brand":0,"newspack_featured_image_position":"","newspack_post_subtitle":"","newspack_article_summary_title":"Overview:","newspack_article_summary":"","newspack_hide_updated_date":false,"newspack_show_updated_date":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[18],"tags":[365,118,31,16],"brand":[],"newspack_spnsrs_tax":[],"class_list":["post-82060","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-what-were-tracking-today","tag-folk-maritime","tag-maersk","tag-saudi-arabia","tag-what-were-tracking-today","wpautop","entry"],"acf":{"mongo_id":"917f1b4f-e7cf-47aa-a1db-d65e6ed19793","order":"2","is_powered_by":false,"story_type":"4","photo_url":"https:\/\/ent.news\/2024\/5\/2255.jpg","photo_position":"above","homepage_title":"","full_issue_title":"TODAY: 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