Self Driving Rail, Logistics & Artificial Intelligence 🧠

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Sparkle and Shine! Last week it was gold trivia this week its nature's hardest substance, Diamondsđź’Ž. Ever considered who is running the show? Well, Russia currently dazzles as the world's leading diamond producer, contributing a jaw-dropping 30% to the global diamond market, but its actually India who leads the way in export value ($24 billion 2022). This impressive feat is not due to diamond mining but rather to India's world-leading expertise in diamond polishing.

In today’s email:

  • No People No Worries:đźš‚ 2nd generation autonomous rail makes an entrance.

  • Making a Splash:đź’¦ Entertaining vessel launches.

  • I’m At Your Service: 🤖 The key areas set to benefit from AI in logistics.

AUTONOMOUS BATTERY-ELECTRIC RAIL

Former SpaceX Engineers Push The Boundaries Of Rail

Parallel Systems, a Los Angeles-based company founded by former SpaceX engineers, has introduced the second generation of its autonomous electric rail cars designed to transport shipping containers. The innovation aims to offer a greener alternative to freight transportation and address the commercial truck driver shortage. According to Matt Soule, co-founder and CEO, these rail cars are “not” intended to replace freight trains but rather to shift trucking activity to rail, increasing the efficiency and sustainability of cargo transport.

The electric rail cars, each able to carry a maximum payload of 70,000 pounds, are self-powered and can travel in "platoons" of up to 50 cars. Unlike traditional train cars that couple together, these cars move closely and maintain a set force through bumpers, which reduces aerodynamic drag and enhances energy efficiency. They can cover about 500 miles between charges, making them suitable for "drayage"—the short-distance transport of shipping containers from ports to inland locations, a role usually fulfilled by trucks.

Soule emphasized the environmental benefits of this shift to rail. He estimates that converting 100,000 trucking miles to their zero-emission rail vehicles could eliminate up to 175 tons of CO2 emissions. The technology is designed to be compatible with existing rail systems, equipped with advanced sensors, radios, and computers to ensure safety and non-interference with conventional freight trains. The company even claims their braking system allows the rail cars to stop at a tenth of the distance needed by a traditional freight train, making them safer in terms of stopping distance.

Parallel Systems has already produced three second-generation vehicles and received nearly $4.5 million in funding from the U.S. Department of Energy. They have been undergoing various tests since November 2022 and are in discussions with several railroads for further testing.

The company leverages existing auto industry technologies for self-driving and electric cars, confident that these can be effectively re-purposed for railway use. The focus remains on reducing the environmental impact of freight transport and alleviating the shortage of truck drivers by encouraging a modal shift from road to rail.

PRESENTED BY EASY CARGO 

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VIDEO OF THE WEEK

Watch 10 Fascinating Ship Launches, Fails & Close Calls

Watch a compilation of some massive vessels being launched from their docks into the water for the very first time. Sit back and enjoy, what a splash!

FUTURE INNOVATION

Logistics, Supply Chain & Artificial Intelligence

The integration of Artificial Intelligence (AI) in supply chains and logistics has gained significant traction, especially since the onset of the COVID-19 pandemic, which exposed the limitations of traditional supply chain models. According to a 2021 Gartner report, 50% of supply chain organizations are expected to invest in AI and analytics by 2024. AI's applications in this sector are multi-faceted:

  1. Demand Forecasting: AI-powered predictive analytics enables better demand forecasting by analyzing large datasets from various sources, such as past sales records and economic indicators. This results in better inventory management and customer satisfaction.

  2. Warehouse Automation: AI robots, especially Autonomous Mobile Robots (AMRs), are automating tasks like picking, packing, and replenishing. They operate independently and adapt to changing warehouse configurations, freeing human workers to focus on tasks requiring creativity and problem-solving.

  3. Quality Control: AI-enabled sensors provide real-time monitoring to ensure product quality, from detecting physical defects to monitoring environmental conditions like temperature and humidity for perishable goods.

  4. Procurement: AI automates tedious tasks like invoice processing and alerts about potential risks, such as supplier performance issues, making the procurement process more efficient and secure.

  5. Customer Experience: AI applications like Natural Language Processing (NLP) automate customer service tasks and enable real-time tracking of orders, enhancing customer satisfaction.

  6. Transportation and Route Optimization: AI analyzes real-time traffic and weather data to determine the most efficient routes for deliveries. Autonomous trucks, driven by AI, are also on the horizon as the technology matures and the demand for freight transportation increases.

  7. Future Implications: AI promises to revolutionize supply chains by optimizing various processes, reducing operational costs, and adapting to market demands. It also complements other technologies like the Internet of Things (IoT) and blockchain to create more transparent and efficient systems.

Its seems that adoption of AI in supply chains and logistics is not just a trend but a necessity for modern organizations to remain competitive, agile, and responsive to ever-changing market dynamics. Only time will tell.

GLOBAL TRADE SNIPPETS

Chinese share of European EV market up to 8% this year. EU to investigate 'flood' of Chinese electric cars, weigh tariffs. Investigation to last up to 13 months.

Flexport CEO Dave Clark resigns from logistics startup after one year in the role. Ryan Peterson set to take back the reigns as CEO after handing over the position to Clark in March.

Amazon Logistics has become the third-biggest parcel carrier in the U.S. in a few short years. Read these tips for last-mile logistics providers on the road to digitalization.

Game changer agreement to unlock Asean’s potential US$2 trillion digital economy. The Association of Southeast Asian Nations (Asean) has officially launched negotiations for a new Digital Economy Framework Agreement (Defa).

RECOMMENDED READS 📖

Elon Musk by Walter Isaacson: Read the story of the most fascinating and controversial innovator of our era - a rule-breaking visionary who helped to lead the world into the era of electric vehicles, private space exploration and artificial intelligence. More Details

DHL: From Startup to Global Upstart: Read the story of a startup that became the first worldwide logistics service organization, fighting regulation, trade restrictions, customs, and many other technical issues to develop processes that have stood the test of time to become the accepted norm in delivery throughout the world. More Details

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