CMA CGM Group has agreed to acquire FedEx Supply Chain in a deal valued at $1.4 billion, significantly expanding its North American contract logistics business through subsidiary CEVA Logistics. The acquisition, expected to close this year pending regulatory approval, will nearly triple CEVA’s regional logistics operations. Alongside the takeover, CMA CGM and FedEx plan to establish long-term commercial agreements covering air cargo capacity and ocean freight services through

US supply chain costs are climbing as higher fuel prices and tighter transportation capacity offset weak freight demand, according to ITS Logistics’ June Supply Chain Report. Rising fuel costs remain the main inflation driver, while stricter regulations and enforcement have reduced trucking capacity, pushing freight rates to record highs. Warehousing expenses are also increasing despite stable inventory levels, reflecting higher storage costs rather than larger stockpiles. Pa

What is ACTK? ACTK (Available Cargo Tonne-Kilometers) is a key performance indicator used by IATA to measure the available cargo carrying capacity offered by airlines. It represents the total cargo space available, calculated by multiplying the available cargo weight by the distance flown. How is ACTK calculated? Formula ACTK = Available Cargo Capacity × Distance Flown For example: Available cargo capacity: 20 tonnes Flight distance: 5,000 km ACTK = 20 × 5,000 = 100,000 tonne

What is IATA? The International Air Transport Association (IATA) is the global trade association representing airlines worldwide. Founded in 1945, IATA develops international standards, promotes safe and efficient air transportation, and supports cooperation among airlines, airports, freight forwarders, and logistics companies. Today, more than 300 airlines are members of IATA, representing approximately 80% of global air traffic. What does IATA do? IATA plays an important ro

The international air cargo forwarding ranking for Japan in May 2026 has been disclosed. Nippon Express (NX) retained the top position with 17,260 tons, up 3.7% compared to the same month last year. Kintetsu World Express (KWE) ranked second with 11,911 tons, posting a strong 46.5% increase. Yusen Logistics followed in third place with 8,898 tons, down slightly by 0.7%. Nishi-Nippon Railroad (NNR) came fourth with 4,069 tons, up 5.0%, while Hankyu Hanshin Express placed fifth

The trend in shipping rates shows an increase for Europe (+6.5%), the West Coast of North America (+4.2%), and the East Coast of North America (+3.2%) compared to the previous week. Conversely, rates have decreased for Korea (-6.0%).

Global air cargo demand increased by 4.0% year on year in April 2026, according to the latest figures from the International Air Transport Association (IATA). While cargo capacity declined by 0.4%, the cargo load factor improved by 1.9 percentage points to 46.0%, reflecting stronger utilization of available capacity. Asia Pacific airlines led growth with a 10.5% increase in demand, followed by Europe at 6.0% and North America at 5.0%. In contrast, Middle Eastern carriers saw

Definition A Shipper is a company or individual that owns goods and requires transportation services to move those goods through the supply chain. In logistics procurement, shippers define transportation requirements and source logistics providers to fulfill them. Role of a Shipper Shippers play a central role in logistics operations. Typical responsibilities include: Defining transportation requirements Creating transportation lanes Issuing RFQs and RFPs Evaluating bidders M

Definition LCL (Less than Container Load) is an ocean freight shipping method in which cargo from multiple shippers is consolidated into a single container. LCL is commonly used when shipment volumes are not large enough to fill an entire container. Characteristics of LCL Multiple shippers share the same container space. This provides: Cost-effective shipping for smaller volumes Flexible international transportation options Access to ocean freight without requiring a full con

Definition FCL (Full Container Load) is an ocean freight shipping method in which a single shipper uses an entire container for their cargo. FCL is commonly used when shipment volume is large enough to justify exclusive use of a container. Characteristics of FCL With FCL shipping, cargo is not mixed with shipments from other companies. This provides: Better cargo control Reduced handling risk Improved transportation efficiency Advantages of FCL Reduced Cargo Damage Risk Fewer

Definition Third-Party Logistics (3PL) refers to outsourcing logistics operations to a specialized logistics provider. A 3PL company may manage transportation, warehousing, inventory control, distribution, and other logistics activities on behalf of a shipper. Objectives of 3PL The primary objectives include: Reducing logistics costs Improving service quality Increasing operational efficiency Optimizing supply chain performance Leveraging logistics expertise Typical 3PL Servi

Definition A Logistics KPI (Key Performance Indicator) is a measurable metric used to evaluate the performance of logistics operations and supply chain activities. Organizations use logistics KPIs to monitor transportation costs, delivery performance, operational efficiency, and service quality. Purpose of Logistics KPIs The main objectives of logistics KPIs are: Increasing operational visibility Identifying improvement opportunities Measuring performance over time Improving

Definition A Freight Rate is the price charged for transporting goods from one location to another. In logistics procurement and freight bidding, freight rates are among the most important factors used to evaluate transportation providers. Purpose of Freight Rates Freight rates compensate transportation providers for delivering logistics services. Shippers seek competitive rates while maintaining service quality, and providers seek sustainable profitability. Components of a F

Definition A Reverse Auction is a procurement method in which logistics providers compete by lowering their prices in order to win transportation business. Unlike a traditional auction where prices increase, participants in a reverse auction submit progressively lower bids. Purpose of Reverse Auctions The objectives include: Reducing transportation costs Increasing procurement transparency Understanding market pricing Encouraging competition Improving sourcing efficiency Reve

Definition A Logistics Tender is a formal procurement process used by shippers to source transportation and logistics services from multiple providers. Companies invite logistics providers, carriers, and freight forwarders to submit quotations or proposals and then evaluate them based on cost, service quality, and operational capabilities. Purpose of a Logistics Tender The objectives of a logistics tender include: Reducing logistics costs Improving service quality Securing tr

Definition Logistics Procurement is the process of sourcing and selecting transportation, warehousing, and logistics service providers to support a company's supply chain operations. Its primary objective is to optimize logistics costs while maintaining service quality and operational reliability. Objectives of Logistics Procurement The key objectives include: Reducing logistics costs Improving service quality Securing transportation capacity Optimizing supply chain performan

Definition A Contract Bid is a logistics procurement process used to select transportation providers for a defined contract period. Contract bids are commonly used for long-term transportation requirements and typically cover multiple transportation lanes. When Contract Bids Are Used Contract bids are commonly used when: Transportation demand is ongoing Network optimization projects are conducted Multiple lanes are procured together Cost reduction initiatives are planned Bene

Definition A Spot Bid is a logistics procurement process used for one-time or short-term transportation requirements. Shippers invite multiple transportation providers to submit quotations and select the most suitable carrier based on price and service conditions. When Spot Bids Are Used Spot bids are commonly used when: Urgent shipments arise New transportation lanes are being tested Additional capacity is needed during peak seasons Specialized transportation services are re

Definition Freight Benchmarking is the process of comparing transportation costs, freight rates, and logistics performance against market data or historical results. It helps shippers evaluate whether their logistics procurement decisions are competitive and cost-effective. Purpose of Freight Benchmarking The objectives of freight benchmarking include: Understanding market freight rates Optimizing transportation costs Improving procurement strategies Validating bidding result

Definition An Award is the process of selecting and assigning transportation business to a bidder based on the results of a logistics procurement or freight bidding project. It represents the final decision made by the shipper after evaluating quotations, proposals, and service capabilities. Purpose of an Award The objectives of an award include: Selecting the best logistics partner Optimizing transportation costs Improving service quality Securing transportation capacity Mai