FedEx offers three new ocean freight options
The international freight forwarding arena just got a little more crowded.
FedEx Trade Networks announced that it is offering three new shipping options for ocean freight services.
“We understand that our customers have different shipping needs, depending on the product they’re shipping,” Fred Schardt, president and CEO of FedEx Trade Networks said.
“Through our new ocean choices portfolio, customers now have the ability to match their demands with our ocean service levels, helping them to take greater control of their supply chains and operate more efficiently."
The first service, FedEx International Direct Economy Ocean is a traditional freight forwarding service that links many major locations and has a flexible delivery schedule.
The second service, FedEx International Direct Distribution Ocean, works in much of the same way but offers speed-to-market ocean shipping options and bypasses distribution centers.
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The final new service is called FedEx International Direct Priority Ocean, which offers ocean delivery solutions for less-than-container-load (LCL) and full-container-load (FCL) cargo and will link ports in Los Angeles from origin in Shanghai and Hong Kong via FedEx Freight.
"We are proud to offer our new FedEx International Direct Priority Ocean service in conjunction with FedEx Freight," Schardt said. "With the flexibility and strength of the FedEx Trade Networks freight forwarding operation and the reliability of the FedEx Freight delivery network, customers will benefit from a premier ocean LCL solutions backed by the FedEx brand."
As part of the expansion plan, FedEx Trade Networks has opened 38 new offices around the globe in places like the U.S., Europe, India, the Middle East, Asia and Latin America.
Elon Musk's Boring Co. planning wider tunnels for freight
Elon Musk’s drilling outfit The Boring Company could be shifting its focus towards subterranean freight and logistics solutions, according to reports.
A Boring Co. pitch deck seen and shared by Bloomberg depicts plans to construct wider tunnels designed to accommodate shipping containers.
Founded by Tesla CEO Musk in 2016, the company initially stated its mission was to offer safer, faster point-to-point transport for people, particularly in cities plagued by traffic congestion. It also planned longer tunnels to ferry passengers between popular destinations across the US.
The Boring Co. completed its first commercial project earlier this year in April. The 1.7m tunnel system is designed to move professionals between convention centres in Las Vegas using Tesla EVs. It says the Las Vegas Convention Centre Loop can cut travel time between venues from 45 minutes to just two.
Boring Co.'s new freight tunnels
The Boring Co.'s new tunnel designs would allow freight to be transported on purpose built platforms, labelled as “battery-powered freight carriers”. The document shows that, though the containers could technically fit within its current 12-foot tunnels, wider tunnels would be more efficient. Designs for a new tunnel, 21 feet in diameter, show that they can comfortably accommodate two containers side-by-side, with a one-foot gap between them.
The Boring Co.’s new drilling machine, dubbed Prufrock, can tunnel at a rate of one mile per week, which is six times faster than its previous machine, and is designed to ‘porpoise’ - mimicking the marine animal by ‘diving’ below ground and reemerging once the tunnel is complete.
Tesla’s supply chain woes
Tesla is facing its own supply chain and logistic issues. The EV manufacturer has raised the price of its vehicles, with CEO Musk confirming the incremental hike was a result of “major supply chain pressure”. Musk replied to a disgruntled Twitter user, confused as to why prices were rising while features were being removed from the cars, saying the “raw materials especially” were a big issue.
Car manufacturing continues to be one of the industries hit hardest by a global shortage in semiconductor chips. While China’s chip manufacturing levels hit an all-time high in May, and the US is proposing a 25% tax credit for chip manufacturers, demand still outstrips supply. Automakers including Volkswagen and Audi have again said they expect reduced vehicle output in the next quarter due to a lack of semiconductors, with more factory downtime likely.
Top Image credit: The Boring Company / @boringcompany