1 Billion Flowers for One Day? 🌷 + Air Cargo Sees Growth 🛩️

TRADE NEWS

China-Brazil Trade Milestone: First Local Currency Transaction

China and Brazil recently marked a significant progression in their trade ties by successfully completing a transaction entirely in their respective local currencies. This breakthrough was facilitated by the Bank of China (BOC).

Eldorado Brasil, a leading Brazilian paper pulp firm, was at the center of this development. BOC assisted the company in handling a renminbi (RMB) based letter of credit discounting, swiftly converting it to Brazilian reais and depositing it into Eldorado's account.

This advancement was built upon an agreement from August, where Eldorado Brasil and a Chinese importer decided to denominate their business contract in RMB and utilize the Chinese currency for trade settlements.

For the first time in China-Brazil trade history, the entire transaction was RMB-based. This involved using the RMB for denomination, settlement, financing, and the direct conversion from RMB to Reais.

Earlier in April, both nations had decided to conduct trade in their local currencies, sidestepping the US dollar.

To support this currency shift, the BOC is aiding Brazilian companies in setting up offshore RMB accounts. This allows them to accept payments in RMB from Chinese importers and purchase machinery from China using the RMB. The BOC remains committed to expanding the adoption of RMB in Brazil and continues to introduce innovative RMB-based business processes and products. The aim is clear - to further encourage Chinese and Brazilian entities to trade in their native currencies.

PRESENTED BY EASYCARGO 

Are Your Shipments Too Complex for Load Planning Software?

EasyCargo, container and truck loading software, allows shippers to maximize the utilization of shipping containers, save time spent on load planning, and reduce shipping costs to remain competitive in today's forever-changing market.

Load-plan results are displayed using an interactive 3D visualizer. Cargo items can easily be added, moved, and rotated while reports can be generated and shared with 3rd parties. Also, Excel files can be uploaded into EasyCargo to generate container-loading visualizations. For even more streamlined load planning, EasyCargo can be integrated with TMS, WMS, or ERP through API.

The software covers loading plans for all containers, flatbed trailers, pallets, and more so that anyone can create accurate shipment visualizations within minutes.

VIDEO OF THE WEEK

How 1.1 Billion Flowers Are Imported And Inspected In The US For Valentine's Day

Fresh roses have as little as 48 hours to get cut in Colombia, flown to Miami, and inspected by customs for harmful bugs before the flowers wilt. In the weeks leading up to Valentine’s Day, the number of flowers imported through Miami triples.

AIR-CARGO DEMAND

First Rise In Global Air-Cargo Demand In 19 Months

The International Air Transport Association (IATA) has shared August 2023 data, highlighting a 1.5% year-on-year rise in global air cargo demand, the first in 19 months. International operations reported a slightly better 2% growth.

Cargo capacity, in available tonne-kilometers (ACTKs), has grown by 12.2% since August 2022. A major factor contributing to this growth is a 30% increase in belly capacity, as airlines expanded their operations for the summer.

Economic indicators to consider:

• August's manufacturing and new export orders PMI values hint at a slowing global manufacturing downturn.

• Cross-border trade decreased by 3.2% in July.

• Inflation trends varied, with the US seeing rising consumer prices, Europe and Japan experiencing declines, and China noting a slight increase.

Willie Walsh, IATA’s Director General, acknowledged the growth but also mentioned the mixed market signals. He expressed a muted optimism due to improving PMI data, especially with the year-end season approaching.

Regional Highlights:

• Asia-Pacific: Enjoyed a 4.9% growth in air cargo, benefitting from stronger Europe-Asia and Middle East-Asia trade lanes.

• North America: Experienced a slight 1.2% dip, but it’s an improvement from the previous month.

• Europe: Saw a marginal decline of 0.2% in cargo volumes.

• Middle East: Reported a 1.4% increase in cargo volumes.

• Latin America: Led the chart with a 6.2% growth.

• Africa: Faced a 4.7% decrease, with notable reduction in the Africa–Asia trade route.

In summary, global air cargo is showing signs of recovery, but regional performance remains varied. See full article here

SHIPWRECK OF THE WEEK ⚓️☠️ 

GLOBAL TRADE SNIPPETS

The inside story of Dave Clark’s tumultuous last days at Flexport: Standoffs, politics, and spin: Immediately following Dave Clark’s abrupt ouster as CEO of Flexport, founder Ryan Petersen said the company was hiring too aggressively and needed to rein in spending but also praised Clark. So which one is it?

5 Ships Head To Ukrainian Ports Using New Trade Corridor Opened To Resume Agricultural Exports: Moscow closed off the Black Sea ports of one of the major grain suppliers in the world, in what Kyiv and its Western backers consider an attempt to utilize global food supplies as a form of blackmail.

US announces sweeping action against Chinese fentanyl supply chain producers: The Biden administration took aim Tuesday at the fentanyl trafficking threat, announcing a series of indictments and sanctions against Chinese companies and executives blamed for importing the chemicals used to make the deadly drug

RECOMMENDED READS 📖

Get seen by 150k+ Global Trade Professionals

Get your brand in front of importers, exporters and logistics professionals who are always looking for the latest products and services. Click here for info & media kit.

GLOBAL TRADE MEME

Was this email forwarded to you? Subscribe here for update