The pilot project that was to let Mexican trucks haul freight into the US has been stalled since the Senate panel voted for a delay.

The earlier decision was to allow hundred Mexican trucking companies to come beyond the present twenty-mile limit for a period of one year initially, provided they complied with on-site Department of Transportation audits and prescreening of Mexican drivers, along with drug tests and insurance checks. Similar to Canadian carriers, the Mexicans are not allowed to haul point to point within the US. At the present time Mexicans are allowed to travel twenty miles into the commercial zone, north of the US-Mexico border. But the Senate panel wants to delay the plan – and wants details of this pilot program published. They feel the public should have enough time to express its opinion before the program is executed. It is felt that the move to open the US border to Mexican trucks is compromising safety. In the meantime, the Transportation Department expressed its commitment to going ahead with the program, taking care of law enforcement concerns on the way. The Department feels that allowing the Mexican trucks into the US will benefit the US economically as well as maintain safety standards.

The Senate’s concern is that the US has opened the border to the Mexicans before Mexico opened the border to US trucks. The International Brotherhood Of Teamsters is happy with the delay. Though access to US highways to Mexico was to materialize in 2003, it was stalled due to disagreements between the US and Mexico.

Panther Expedited Services Inc., Seville has acquired Integres Global Logistics, a California based freight forwarding and logistics company. Integres offers shippers access to air and deferred air ground transportation networks. This acquisition will make Panther the largest full service premium logistics provider. Integres will also bring with it all its blue chip clients, giving Panther a much wider reach than before, especially on the West Coast. Seventy new people will join the 300-strong workforce at Panther. So in addition to ground expedite, Panther will now provide real time freight quoting, booking and shipment-tracking information from the time the shipment is picked up to delivery on all-important freight. The acquisition came about with Panther’s customers requesting Panther to handle more freight.

Panther is a portfolio company of Fenway Partners, New York, which is a middle market private equity firm. Fenway has extensive transportation and logistics experience and practice. In June last year, Panther filed documents with the Securities and Exchange Commission to make the company public.

Elsewhere, the Apollo Management Group, in its bid to buy transport company EGL Inc. has filed a suit against EGL. This is to stop the sale of EGL to a group of investors headed by its chief executive officer. Also, Apollo has upped its offer to $41 per share to buy EGL – this is a $1.9 billion offer. Last week, Apollo made a $ 40 per share offer to buy EGL. EGL CEO James Crane offered $ 38 per share at the same time. Now the problem is – the EGL board okayed the lower bid from Crane, which is why Apollo filed a suit against EGL.

Old Dominion Freight Line, a Less-than-truckload carrier has increased its base rates by 5.1% starting March 26, 2007. This rate increase will differ based on customer lanes and shipment distances. The increase implies restructuring that will allow increase in rates and minimum charges based on length of haul rather than the traditional “across the board” increases. Usually, the shorter the haul, the lower the impact of the increase. Even though each customer will have a different financial impact based on the lanes and distances their shipments cover, the overall increase is about 5.1%.

This increase in tariff is essential to balance higher costs as a result of new equipment, new service centers, the latest technology, insurance costs and wages and benefits, etc. In order to continue to provide customers with value in technology and graet performance they have now grown to depend on this increase is essential. 

Founded in 1934, ODFL Inc. is a less than truckload or LTL super regional carrier providing one to five day service, and next day and second day services. They offer premium expedited services, truckload services, truckload brokerage services, logistical solutions and container delivery to and from ten ports and distribution services. ODFL offers a range of unique products and services with complete nationwide coverage with the Southeast, South Central, Northeast, Midwest and West regions of the country. This includes 37 states with 100% full-state coverage and international services around the globe. ODFL has a tracking technology system, which lets its customers track the status of their shipments in real time.

FedEx plans to launch next-business day domestic delivery services in China from June this year even though it has been in the Chinese market  for more than twenty years. Earlier, FedEx only had international express services in China. Its competitors DHL and UPS already offer domestic services. DHL launched its domestic services in China in 2004 and UPS in 2005.

FedEx’s President feels that they are in the ideal position to take advantage of China’s transition to a consumer economy through its rapidly growing middle class.  The business in China is being viewed more as a long term investment and the company is confident about the market because about 90% of its customers in China and abroad had been feeling the need for domestic services.

The regional hub in HangZhou, East China’s Zhejiang Province has already been set up by FedEx to make its domestic service operational. Hangzhou is ideally located in terms of air traffic capacity, reasonable operating costs, centrally located, good weather conditions, and a potential customer base. These are critical factors when it comes to setting up a logistics center.

The regional hub at the Xiaoshan International Airport has the capacity to initially sort up to 9,000 packages per hour.

An airport official says that FedEx and Xiaoshan International Airport have a three year agreement contract. There will be two night circular routes from Hangzhou. Roughly 200 cities will be covered by trucks throughout the country. The transport will be taken care of by domestic carrier Okay Airways with their three Boeing 737 freighters. 

Why not? Karl Krueger, conservative Democrat has every intention of doing his best to get there, and he is not taking campaign donations exceeding $50  

Krueger is a union driver for Yellow Freight and his line is “eliminate America’s use of foreign oil” and he supports the use of alternative fuels – batteries, ethanol and biodiesel – to the forefront of American transport.  A war veteran, Krueger feels that fuel is a major tactical supply. According to him, Germany lost in World War II because of lack of fuel. America now gets its fuel from places where there is continuous unrest. Krueger is not on media like TV yet – rather, you will find him pitching in small towns, weekly newspapers and the like, in the Midwest.

After this week’s MATS, Krueger intends to go to small town newspapers, parades and fairs to propagate his point. Politics is nothing new to him – he ran for US Senate in South Dakota a decade ago but did not win. He has the distinction of having met Lyndon Johnson, Richard Nixon, Bill Clinton and the elder George Bush during his career-long stint with the U.S. military. In 1960, he met Jack Kennedy in the course of raising money for his school band as a teenager. Kennedy happened to be passing Krueger’s town and Krueger sold him a 50 cent chocolate bar. Kennedy had no money and borrowed from his driver to pay for it.

FedEx Corp’s less than truckload (LTL) units will implement a 5.59% general rate increase starting April 2. This increase for Fedex Freight and FedEx National LTL will not affect other companies within FedEx Corp; this includes FedEx Express and FedEx Ground. FedEx Freight is the regional and inter-regional provider of LTL services. They bought out Watkins Express a few months ago and renamed it FedEx National LTL.The rate increase will be applicable to interstate and intrastate traffic, and selected shipments between the United States and Mexico and Canada. They will make additional adjustments to include minimum and accessorial charges and also in select lanes and service areas.

This year, FedEx Corp.’s fiscal third quarter profits showed a 2% slide to $420 million compared to $428 million last year. Reasons stated are slowing economy, winter storms and lower fuel surcharges .The third quarter revenue has gone up by 7% to $8.59 billion.

The operating income for the LTL FedEx Freight unit went down 32% to   $50 million, while revenue rose 30% to $1.1 billion. LTL shipments were up 20% year-over-year as a result of acquiring Watkins Motor Lines last year. In the meantime, FedEx Ground operating income rose 5% to $196 million, while revenue was up 12% to $1.52 billion.The FedEx Express segment’s operating income dropped 12% to $391 million, while revenue rose 3% to $5.52 billion.

FedEx Kinko’s segment’s operating income was 43% lower; revenue was also down 3%.  Fourth quarter earnings for FedEx is likely to be $1.93 to $2.08 per share, while earnings for the full year would be $6.45 to $6.60 per share.

The Ports of Long Beach ($ 3.3 million) and Los Angeles ($ 3 million) are funding the Gateway Cities Council of Governments for the maintenance of its Fleet modernization program, which replaces older diesel trucks with newer and environmentally safer vehicles.

Gateway Cities will replace older harbor trucks while the ports develop the truck fleet modernization initiative as per the San Pedro Bay Clean Air Action Plan (CAAP). Under this initiative more than 16000 harbor trucks will be retrofitted or replaced. These trucks make 80% of the calls on the marine terminals in the San Pedro Bay Ports. The objective is to either replace these trucks with newer cleaner diesel or other alternative fuel rigs or they will have devices that minimize emissions of diesel particulates and oxides of nitrogen.

This new strategy of replacing trucks is the biggest replacement program so far. The Ports are closely interacting with Gateway Cities to learn the best way to plan and implement the CAAP truck replacement program. They are also learning how to communicate efficiently with the stakeholders, including the independent trucker owner/operators, about the program.

Owner-operators qualifying for the funding by the Ports are required to demonstrate that they make hundreds of calls at San Pedro Bay Ports’ cargo terminals every year. When the trucks are replaced, the new trucks must be used in port service or container drayage as they are called so that the nearby communities can benefit from the emission free operation.  

Mobile Awareness is a company, which specializes in transportation safety products. These can help in the prevention of expensive vehicle accidents, reduce driving risk, minimize legal liability, protect employees and also protect your investment.  

The latest products from this company are two new rugged small truck camera systems. These solutions come in collaboration with Visor-View Inc. from Missouri.  These two new backup camera systems are designed specially for pickup trucks, utility vehicles and SUVs. The Visor-View Pickup and Mirror-View Pickup camera systems output pictures of great clarity showing what is behind your vehicle – be it day or night. They are made cost effective for the user and you can use them in a variety of applications like trailer hitch alignment, forward viewing and in-vehicle monitoring. There is also a TFT LCD color monitor in the pickup system and this has a visor installed. A small sturdy CCD color camera is included. You get a 150-degree viewing angle Sony waterproof camera and all hardware, cables and remote control are part of the package. To make it safe and convenient, the color LCD display is in the driver’s side visor. The mirror view pick up system has a TFT LCD color rear view mirror monitor with industrial grade Sony CCD camera and accessories. This has a monitor that you can clip on to your existing rear view mirror. You can also add a second camera. Systems like these are a good investment since you can avoid obstacles and save lives.

The Private Motor Truck Council of Canada is inviting entries for its 22^nd Annual Vehicles Graphics Design Awards Competition. So carriers, get creative with the side of your van trailers.

The Annual Vehicles Graphics Design Awards Competition is co-sponsored every year by 3M Canada’s Commercial Graphics Division to recognize truck fleet operators – both private or for-hire – and design companies, of course – who transforms their trucks into artistic creations graphically. All Canadian fleet operators are welcome to participate – entry deadline is May 1, 2007. This is a great opportunity for the PMTC to promote the work of fleet operators and design houses.  The public has fun – seeing these mobile billboards. Fleet graphics are a smart way for companies to make use of the marketing opportunity presented to them.

There are three entry competitions. Vehicle Graphics Design Awards, Hall of Fame for Professional Drivers and Private Fleet Safety Award. Awards are presented in six categories: Tractor-Trailer Combination; Straight Truck; Special Events/Promotion; Night-Time Safety, Light Duty Commercial Truck and Identity Fleet Graphics.

PMTC is also inviting nominations for 2007 for the next name in the Hall of Fame for Professional Drivers. This recognizes superior over the road performance of PMTC drivers.

The PMTC and Zurich Private Fleet Safety Award recognizes the private truck fleets most committed to safety improvement, especially where they exceed National Safety Code requirements. This year’s competition is open to all Canadian private truck fleets. 

Check www.pmtc.ca for more details.

In the world of trucking, safety is supreme. Winning the Truckload Carriers Association’s much sought after 2006 National Fleet Safety Awards for the second year in sequence, Bison, Canada considered among the safest fleets in NA.  The Truckload Carriers Association in Alexandria, Va. Recognized Winnipeg-based Bison Transport companies for its dedication to safety and reducing accidents. Bison finished first in the 100 million miles category and was the grand winner for all carriers who operated over 25 million  miles every year. Don Hummer Trucking of Oxford, Iowa was awarded the grand prize for the less than 25 million miles annually. Bison was the winner for the same category in 2006.

There were two other Canadian Carriers who were also recognized and placed high. Transport Robert of Que. Was awarded the first position in Division V (50-99.99 million miles), and MacKinnon Transport of Guelph, Ontario was awarded second place in Division IV (25-49.99 million miles).

The National Fleet Safety Division Awards are based on the frequency of accidents for every million miles driven in each of the six mileage divisions. The top three winders are selected and audited by independent experts to authenticate their accident frequency numbers. The accident ratios per million miles for all division winners ranged from zero to .43, while the truckload segment of the industry averaged .54 accidents per million miles traveled.

Bison Transport was chosen for its overall safety programs, on the highway and off the highway and this included employee driver/independent contractor selection procedures, training, supervision, accident investigation, inspection and maintenance of equipment, and outside activities including general highway safety.