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Rolls-Royce Supply Chain Issues Strike Again

Posted on by David Priestman

Rolls-Royce is struggling with persistent supply chain issues that are impacting its engine production and maintenance schedules, forcing British Airways (BA) to cancel flights on one of its most popular transatlantic routes. Starting December 12th, British Airways will suspend all flights between London Gatwick and New York’s JFK Airport until March 25, 2025, in response to the engine shortages. The airline cites logistical bottlenecks within Rolls-Royce’s supply chain as a key factor driving this decision.

The supply chain issues stem from a combination of raw material shortages, logistics challenges, and delays in the global delivery of engine components. Rolls-Royce, which supplies engines for BA’s long-haul aircraft, has been unable to meet rising demand due to constraints in sourcing critical materials like titanium and specialized electronic components. The company’s supply chain delays are affecting its ability to deliver new engines and complete necessary maintenance on existing ones, forcing BA to make operational adjustments.

British Airways expressed regret over the cancellation of flights, acknowledging the disruption this will cause for passengers, particularly during the busy holiday season. In a statement, the airline said, “We understand the inconvenience this decision will bring to our customers, but we are committed to minimizing any potential disruptions in our wider network as Rolls-Royce works to resolve the engine supply constraints.”

The logistical issues at Rolls-Royce extend beyond production to affect global transportation networks. Transportation of engine parts from manufacturing centers has been impacted by delays at major ports, compounded by a global shortage of freight space and skilled logistics personnel. This is causing a ripple effect that has slowed the assembly and distribution of engines for critical routes. The logistical logjam has hindered Rolls-Royce’s ability to meet the maintenance schedules BA requires to operate its transatlantic fleet, particularly affecting the Boeing 787 Dreamliners, which rely on Rolls-Royce’s fuel-efficient engines.

A Rolls-Royce spokesperson told us: “We take the industry-wide issue that the aerospace supply chain is currently dealing with extremely seriously. We’ve introduced a number of initiatives to reduce the impact on our customers. We’ve already introduced measures that allow us to respond more quickly to issues, such as integrating our Procurement and Supplier Management teams, sharing our own raw material stocks to tackle shortages, and hiring people to work in supplier organisations; one of our most impacted suppliers currently has almost 50 Rolls-Royce supply chain staff dedicated to driving their recovery.”

“These changes are already having a positive impact. So far this year, we’ve increased Trent 1000 supply chain output by a third, making more components available and minimising the time engines spend in our Maintenance, Repair and Overhaul (MRO) centres. We’re confident that these bold changes coupled with our long-term investment plans will provide continuous improvement for our customers. In addition, our first stage Durability Enhancement package for the Trent 1000 is in the final stages of certification and will more than double engine time on wing, while a second package of enhancements will deliver a further improvement of up to 30%.”

“Whilst this is not an MRO capacity issue, we know that demand will increase in the future. So, we have allocated additional investment this year to ensure we can meet that demand, creating some short-term surge capacity and allowing us to approximately double our MRO capacity by 2030. This will ensure scheduled maintenance, such as that of the British Airways Trent 1000 fleet, can be conducted as efficiently as possible.”

To mitigate further disruptions, British Airways is rerouting some aircraft and adjusting maintenance schedules for other key transatlantic routes. However, the Gatwick-JFK route was identified as the most feasible to suspend temporarily, with BA hoping to reinstate the route by late March once supply chain stability is restored.

Impact on Cargo Operations

The supply chain disruptions at Rolls-Royce are not only affecting passenger flights but are also having a notable impact on cargo operations. With fewer engines available for maintenance and replacement, cargo planes that use Rolls-Royce engines are also experiencing delays, exacerbating issues in global logistics.

Cargo flights, particularly those that transport high-value or time-sensitive goods, are now facing potential delays as maintenance timelines for Rolls-Royce-powered planes are stretched. This challenge has introduced additional uncertainty in an already pressured global logistics system, which has seen demand spikes due to increased e-commerce activity and seasonal holiday shipments. The limitations have forced cargo operators to reconfigure routing and adjust freight schedules to minimize disruptions to supply chains reliant on timely delivery.

Moreover, freight forwarding companies that depend on reliable transatlantic cargo services are now dealing with increased costs due to limited cargo space, as fewer available aircraft intensify competition for slots. For businesses relying on air freight to move high-demand items—such as electronics, pharmaceuticals, and perishable goods—these delays can lead to supply shortages, price increases, and missed delivery deadlines.

Broader Implications for the Industry

Industry experts warn that the Rolls-Royce delays reflect broader issues in the aerospace sector, as companies grapple with post-pandemic demand surges and logistics backlogs. With many components needing precision engineering and long-distance shipping, the aerospace industry is especially vulnerable to supply chain breakdowns. Analyst Ian Campbell from Aviation Logistics Group explains, “The challenges Rolls-Royce is facing are significant, as aerospace supply chains are finely tuned. Even minor disruptions can escalate into major logistical challenges.”

This incident is prompting British Airways and other airlines to explore diversifying engine suppliers and maintenance partners to reduce dependency on single sources. It also raises questions about supply chain resilience in the aerospace industry, with many advocating for increased investment in logistics technologies and multi-source supply chains to buffer against future disruptions.

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UK, USA, Australia Sign Pact to Strengthen Supply Chains

Detection Dogs have Nose for Prohibited Cargo

Posted on by David Priestman

DB Schenker in the UK is using free running explosive detection dogs on a daily basis to detect prohibited items from certain airfreight shipments. The dogs trained to screen cargo are from a variety of breeds and chosen specifically for their sense of smell and include Spaniels, Labradors, German Shepherd or Golden Retrievers.

The highly trained dogs receive between six and twelve months intensive instruction before they become part of the team and are particularly chosen for their ability to detect explosives. A new cohort is currently also in training to be able to sniff out lithium batteries. They are operating at Heathrow and Manchester and will soon also feature at Glasgow.

“The speed and accuracy of the screening they undertake has become an essential part of our operation and they give us a reliable method of detecting certain items which would otherwise prove difficult using other approaches”, says DB Schenker’s UK Aviation Security Manager, Ian
Dallow.

Multiple UK locations

Not only are the dogs used to search regular airfreight shipments, but their keen sense of smell makes them ideal for outsize shipments which have been tendered as airfreight but are too large to pass through an X-Ray machine. The dogs can discover anything untoward in such a shipment much faster than a manual search by humans and this ability to expedite the screening process ensures swift and efficient movement of customer goods.

Speed and accuracy when using dogs

DB Schenker personnel at its multimodal locations around the country are involved in preparing freight for screening and ensuring the screening activities are carried out in accordance with strict regulations, so the use of dogs provides a highly effective additional screening method. The purpose of using the dogs is to look for things that aren’t supposed to be there. They are looking for prohibited items, for example, a part of an explosive device. There are different rules for cargo and passenger aircraft so it is important to be fully conversant with all rules which apply to each aircraft type. A knife in a cargo shipment may not be dangerous, but may be prohibited in baggage. “We’re looking to prevent any prohibited articles getting onto an aircraft and to prevent unlawful interference with civil aviation,” adds Dallow.

 

Port of Liverpool has Logistics Potential

Posted on by Keith McKinley

The Port of Liverpool has been ranked as the UK’s top port for port-centric logistics potential in a new industry study. Property adviser Knight Frank analysed and ranked 41 UK ports based on 13 criteria, assessing their potential for future logistics investment and development, in its latest Future Gazing report.

The Port of Liverpool topped its table, after the port ranked first for forecast export growth and was placed in the top ten percent for access to consumer markets, skilled labour, availability of land, port capacity, import growth potential and size of the existing logistics market.

Peel Ports Group Commercial Director Stephen Carr said: ““We’ve long argued that the Port of Liverpool is one of the UK’s best-located ports, and we have built on that with significant investment over many years to create jobs and enable more efficient supply chains. These benefits have been greatly enhanced recently by confirmation from the Government that the Liverpool City Region has gained final Freeport status approval, meaning the benefits for supply chains locating to the region are even greater than ever.”

Knight Frank researched each port’s potential role in shortening supply chains and mitigating supply disruption. Its report looked into 13 different categories including a port’s capacity, connectivity, as well as the overall investment at the site and import and export growth potential. The Port of Liverpool received the highest overall score in its rankings.

Peel Ports has made significant investment at the port in recent years, building on the completion of Liverpool2 – a £400 million deep-water container terminal. The report also recognised the importance of the port’s grain terminal to the UK’s agri-bulk industry. The location of the port is of strategic importance to major importers and exporters of goods as it offers unrivalled connectivity to Ireland and access to a catchment area of over 35 million people.

About Peel Ports Group

Peel Ports Group is one the UK’s largest port operators, owning and operating six of the UK’s most important ports (Liverpool, Heysham, Manchester Ship Canal, Medway (Sheerness / Chatham), Clydeport and Great Yarmouth). It also operates a container terminal in Dublin and owns BG Freight Line, which provides short sea container services between the UK, Ireland and mainland Europe and Peel Ports Logistics, one of the UK’s leading shipping and freight forwarders. Peel Ports handles approximately 70 million tonnes of cargo every year. 14% of the total UK major ports traffic flows through ports operated by the Group. Headquartered in Liverpool, it employs around 2,000 staff.

New Fully Automated Cargo Terminal Installed

Posted on by David Priestman

Lödige Industries, a leader in air cargo terminals, has installed a new fully automated air cargo terminal at Chengdu Tianfu International Airport, China. The core of the new international cargo facility consists of two elevating transfer vehicles (ETVs) with a five-level, three-directional automated ULD storage and handling system for 227 20ft storage positions, ensuring a smooth and efficient flow of cargo at the cutting edge airport in Chengdu, the capital of China’s Sichuan province. Since it started operations last year, the airport has become one of the largest in the world, handling up to 60 million passengers and 1.3 million tonnes of cargo and mail annually. In a second expansion phase, three additional runways will be added, and the capacity will increase to 120 million passengers and 2.8 million tonnes of cargo and mail per year.

In addition to the international cargo terminal, Lödige Industries also supplied Sichuan Airport Group Co., Ltd. with state-of-the-art equipment for the airport’s domestic cargo terminal as well as for a special warehouse for hazardous goods and an express distribution centre. It also includes an international export goods supervision warehouse. In total the contract provides ULD and pallet handling equipment for more than 83,000 square meters of cargo facilities.

“Chengdu Tianfu has been one of the leading airports since the beginning of its operation and is in the process of becoming an integrated international transport hub connecting China with Europe, the Middle East, Central Asia and Southeast Asia. Therefore, it was particularly important for us in the cargo area to get a state-of-the-art, efficient and absolutely reliable system that will grow with us in the coming years and offer us excellent throughput and turnaround times. Lödige Industries has an excellent reputation in the sector and has also proven its know-how in our joint project,” says a spokesperson for the construction commanding department of Chengdu Airport Group Co., Ltd.

“We are convinced that with the fully automated, highly modern and scalable terminal, Tianfu Airport in Chengdu is optimally prepared for future growth and can easily meet its high standards and its role as a major air cargo location and international hub at all times,” says Nicholas Tripptree, Managing Director of Lödige Industries for the Asia-Pacific region and Australia.

The terminal at Tianfu Airport is the first in China to be equipped with ETVs from Lödige Industries, which also recently delivered the first automated catering storage and handling facility for up to 40,000 meals daily in mainland China, at Tianfu Airport on behalf of Southwest Air Catering. Together with the air cargo terminal for China Eastern at Shanghai Pu Dong Airport, Lödige Industries now has three flagship facilities in mainland China that serve as a prelude to long-term and sustainable growth in the Asia-Pacific region.

DHL Express orders first electric cargo planes

Posted on by David Priestman

DHL Express, the world’s leading express service provider, and Eviation, the Seattle-area based global manufacturer of all-electric aircraft, write aviation history in announcing that DHL is the first to order 12 fully electric Alice eCargo planes from Eviation. With this engagement DHL aims to set up an unparalleled electric Express network and make a pioneering step into a sustainable aviation future. Eviation’s Alice is the world’s leading fully electric aircraft, which enables airlines – both cargo and passenger – to operate a zero-emission fleet. Eviation expects to deliver the Alice electric aircraft to DHL Express in 2024.

“We firmly believe in a future with zero-emission logistics,” says John Pearson, CEO of DHL Express. “Therefore, our investments always follow the objective of improving our carbon footprint. On our way to clean logistics operations, the electrification of every transport mode plays a crucial role and will significantly contribute to our overall sustainability goal of zero emissions. Founded in 1969, DHL Express has been known as a pioneer in the aviation industry for decades. We have found the perfect partner with Eviation as they share our purpose, and together we will take off into a new era of sustainable aviation.”

Alice can be flown by a single pilot and will carry 1,200 kilograms (2,600 lbs). It will require 30 minutes or less to charge per flight hour and have a maximum range of up to 815 kilometers (440 nautical miles). Alice will operate in all environments currently serviced by piston and turbine aircraft. Alice’s advanced electric motors have fewer moving parts to increase reliability and reduce maintenance costs. Its operating software constantly monitors flight performance to ensure optimal efficiency.

“From day one, we set an audacious goal to transform the aviation industry and create a new era with electric aircraft,” said Eviation CEO Omer Bar-Yohay. “Partnering with companies like DHL who are the leaders in sustainable e-cargo transportation is a testament that the electric era is upon us. This announcement is a significant milestone on our quest to transform the future of flight across the globe.”

The aircraft is ideal for feeder routes and requires less investment in station infrastructure. The Alice can be charged while loading and unloading operations occur, ensuring quick turnaround times that maintain DHL Express’ tight schedules.

“My compliments to Eviation on the innovative development of the fully electric Alice aircraft” says Travis Cobb, EVP Global Network Operations and Aviation for DHL Express. “With Alice’s range and capacity, this is a fantastic sustainable solution for our global network. Our aspiration is to make a substantial contribution in reducing our carbon footprint, and these advancements in fleet and technology will go a long way in achieving further carbon reductions. For us and our customers, this is a very important step in our decarbonization journey and a step forward for the aviation industry as a whole.”

With innovation, performance and sustainability serving as its North Star, Eviation is creating a new era in aviation with the all-electric Alice aircraft. Alice has been specifically designed so that it can be configured for e-cargo or passengers. Eviation’s Alice all-electric aircraft is on track for its first flight later this year.

“The next time you order an on-demand package, check if it was delivered with a zero-emission aircraft like DHL will be doing,” said Eviation Executive Chairman Roei Ganzarski. “With on-demand shopping and deliveries on a constant rise, Alice is enabling DHL to establish a clean, quiet and low-cost operation that will open up greater opportunities for more communities.”

The decarbonization of its operations is one of the main pillars of DPDHL Group’s new Sustainability roadmap announced in Q1 2021. The Group is investing a total of 7 billion euros (Opex and Capex) by 2030 in measures to reduce its CO2 emissions. The funds will go in particular towards electrification of last-mile delivery fleet, sustainable aviation fuels and climate-neutral buildings. On the way to the zero emissions target by 2050, which has already been in place for four years, the company is committing to new, ambitious interim targets. For example, as part of the renowned Science Based Target Initiative (SBTi), Deutsche Post DHL Group is committed to reducing its greenhouse gas emissions by 2030 in line with the Paris Climate Agreement.

“Most secure trailer ever” developed

Posted on by Keith McKinley

ZF, Sioen Industries and Securitas have joined forces with printed side curtains manufacturer Roland International jointly developed the Intrudor Detection system to reduce the growing problem of cargo theft from trailers.

The smart, multi-layered tarpaulin with embedded conductivity can be applied to doors, sides, and roofs for 360-degree trailer security and is compatible with reefers, plywood boxes, containers and curtainsider trailers. Its stand-alone design makes it suitable to apply to both new and existing trailers.

Cargo theft is increasing systematically. A report from BSI Supply Chain Services and Solutions shows that 86% of all cargo theft in Europe involves goods being stolen from trucks. Such thefts not only impact customer deliveries, but also have a detrimental effect on fleet owners – from damaged trailers and trucks to downtime and higher insurance fees.

In keeping with the mission of Roland ‘to improve how the world moves cargo’, they have developed a smart and innovative Trailer 360-degree Trailer Security solution for reefers, plywood boxes, containers and curtainsider trailers. ZF controls the technology via the advanced Transics branded fleet management solution TX-Trailerguard. This solution can be combined with another leading technology from ZF that provides optimum security – the Wabco OptiLock ELB-Lock. This wireless electric door locking system that remotely monitors and operates trailer doors features various real-time sensors and alarms.

Sean Spelman, Head of Product & Technology at Cargo Control Company, says: “By combining our leading side curtain technology with the product knowledge of Sioen, the digital advanced solutions from ZF and 24/7 support by Securitas, we are able to deliver an unique solution for trailer security. Even more, it addresses one of the biggest challenges in the transport sector.

“We’re proud to be recognised by other key players in the market for our innovative side curtain solutions and outstanding durability under all conditions.”

Frederik Vroman, Sioen Sales and Business Development Manager, adds: “I am delighted that we work together with our partners to develop this innovative solution to help fleet owners increase the security of their cargo.

“Sioen has been working on securing trailers from cargo theft for more than 15 years. This is a milestone for us.”

Tesdted solution for H. Essers & Wallenborn

The Intrudor Detection system is a fully operational solution that has been tested by leading transport companies such as H. Essers, Wallenborn and Soncotra.

H. Essers has been investing heavily in high security solutions for years, with more than 1,000 special security units to date. Christopher van den Daele, Business Unit Manager H. Essers, explains its approach to cargo security: “In terms of security, there are actually three issues to consider. First and foremost, there’s the choice of hardware. We’ve got to ensure that we have the right hardware to detect an issue the instant it happens.

“Secondly, there’s software. Once you start scanning for those issues in the fleet, e.g., the positions, door sensors and more. We have to be able to present that data to the end user in a user-friendly format.

“Thirdly, we have to address the problem detection processes and determine how to deal with the problem itself. To that end, we provide customers with a control tower that monitors the cargo 24/7 and access, where needed, to a European incident response intervention network.”

The global company Wallenborn is also a specialist in providing intermodal transport solutions and integrated supply chain logistics. It aims to offer accessible, fully secure solutions for its trucks and trailers. Donald Schaap, Operations Manager Wallenborn, explains: “Together with our partner ZF, we are always trying to stay a step ahead of crime. It’s not just about the hardware. Software, training, and any interventions are also a part of that picture.”

The solution is delivered in the form of a plug & play kit with mounting instructions.

syncreon Announces Acquisition by DP World

Posted on by David Priestman

syncreon NewCo B.V. (together with its subsidiaries, “syncreon” or the “Company”) announced today the Company has successfully entered into a definitive agreement to be acquired by DP World, the leading provider of worldwide smart end-to-end supply chain logistics, enabling the flow of trade across the globe.

DP World has acquired 100 percent of syncreon for an enterprise value of US$1.2 billion. This transaction is subject to customary completion conditions and is expected to close in 2H2021. In FY2020, syncreon reported revenue of $1.1 billion with 57% generated in EMEA (predominantly Europe) and 42% in North America. syncreon has longstanding partnerships with our customers (with relationships averaging 18 years) and high contracts renewal rates.

DP World’s comprehensive range of products and services covers every link of the integrated supply chain – from maritime and inland terminals to marine services and industrial parks as well as technology-driven customer solutions. These services are delivered through an interconnected global network of 148 business units in 60 countries across six continents, with a significant presence both in high-growth and mature markets.

Brian Enright, CEO of syncreon, said: “We are excited to join the DP World group as we believe that syncreon will benefit from the group’s significant expertise in the wider supply chain and excellent relationships with cargo owners. We share the vision of serving our customers through removing inefficiencies and delivering value add solutions. While we have enjoyed great success over the years, we believe being part of DP World will enable us to take the business to other markets and enhance the service offering to our customers.”

Sultan Ahmed Bin Sulayem, Group Chairman and CEO, DP World, said: “We are delighted to announce the acquisition of syncreon, which adds significant strategic value to DP World given its strong logistics solutions capability, and will allow DP World to deliver end-to-end solutions to cargo owners.

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