The Conveyor

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[The Conveyor @ConveyorDaily]

The UAW are threatening to strike at Detroit’s Big Three automakers - GM, Ford, and Stellantis, if they don’t reach a deal by Sept 14.

With the deadline approaching, here are 10 facts about the possible strikes and their costs:

1. What does the UAW want? 46% pay rise

2. What are the Big Three offering? 9% - 14.5% pay rise

3. UAW vs Big Three: 97% of nearly 150,000 voted in favour of authorizing a strike

4. Strike Possibility: A survey of 99 investors by Morgan Stanley found 82% were expecting a strike

5. Strike Impact: A month long strike could cut output by 500,000 vehicles (40% of US vehicle sales)

6. Economic Impact: Auto industry contributes 3% - 3.5% of US GDP

7. Employment Impact: Auto industry accounts for 9.7 million jobs

8. Strike Toll: A ten-day strike could cause manufacturers, workers, suppliers and dealers more than $5 billion

9. Strike Fund: UAW has an $825M strike fund that would pay workers $500 per week. If all 150,000 workers go on strike, the fund will run out in three months

10. Past Strike: GM recorded a $3.6 billion pre-tax loss in 2019 after UAW members went on a 42 day strike

Source: Reuters

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Crews begin removing containers from the ship that crashed into Baltimore bridge.

[The Conveyor @ConveyorDaily]

The Port of Baltimore may reopen by the end of next month, per the US Army Corps of Engineers. 🚢

Timeline:
• End of April: Open a narrow temporary channel to allow one-way traffic
• End of May: Open a permanent channel and restore port operations

The port is the nation's largest maritime gateway for cars, trucks, and farm equipment.

[The Conveyor @ConveyorDaily]

Hypersonic flight start-up @hermeuscorp has unveiled its first aircraft - the Quarterhorse Mk 1.

- It's scheduled to fly later this year.

[The Conveyor @ConveyorDaily]

The US has allocated almost half of its $39B CHIPS Act funding. 💰

Here's who's won them so far:

[The Conveyor @ConveyorDaily]

TSMC is getting $6.6B in grant funding for a third semi factory in the US.

- Alongside the grant, they are eligible for up to $5B in loans.

[The Conveyor @ConveyorDaily]

Air cargo demand rose 11.9% in February - the third straight month of double-digit growth.

Why?
- Demand from Chinese e-commerce companies, like Shein and Temu
- Disruptions at the Red Sea
- Disruptions at the Panama Canal

This trend is set to continue.

[The Conveyor @ConveyorDaily]

Chinese smartphone maker Xiaomi has begun deliveries of its debut EV - the SU7. 🚘

- The car is $4k cheaper than Tesla’s.
- They’ve already received 100,000+ orders.

[The Conveyor @ConveyorDaily]

Baltimore authorities have opened a second temporary for 'essential' ships. 🚢

This new route is mainly for cleanup crews, plus a select few barges and tugs previously stranded at the Port of Baltimore.

Work is ongoing to open a third channel, aimed at larger commercial vessels.

Video: AP

[The Conveyor @ConveyorDaily]

TSMC halts production following the earthquake in Taiwan. 🚫🇹🇼

Initial checks showed no damage to their facilities, but the full impact of the quake is still being evaluated.

Taiwan accounts for ~90% of high-end chips, highlighting risks of a concentrated chip supply chain.

[The Conveyor @ConveyorDaily]

Dali owner is trying to limit liability for the Baltimore bridge collapse. ⚖️

They are seeking to cap their liability at $43.6M, whereas experts say losses from the incident could be $2-$4B.

This move is based on a 1851 maritime law allowing them to limit liability to the ship's post-accident value.

[The Conveyor @ConveyorDaily]

Tesla takes the lead again in the EV race. 🥇

Q1 EV deliveries:
• Tesla - 386,810 units
• BYD - 301,631 units

However, both companies saw their sales fall compared to the previous quarter.

Chart: Financial Times

[The Conveyor @ConveyorDaily]

Key stats about the Port of Baltimore

• #1 for car shipments
• #1 for farm and construction machinery
• #2 for coal exports
• #9 in the US overall

[The Conveyor @ConveyorDaily]

WATCH: The aftermath of the the Francis Scott Key bridge disaster in Baltimore.

A Maersk cargo ship struck a support early this morning leading to the bridge's collapse.

[The Conveyor @ConveyorDaily]

☕ GM! Here’s the top #supplychain news today:

▪ The Francis Scott Key Bridge in Baltimore collapsed after a cargo ship crashed into it. The Port of Baltimore will be out of commission indefinitely.

▪ Boom Supersonic completed the first flight of its prototype jet. It reached a max speed of 283 mph.

▪ Shein is opening its supply chain infrastructure and tech to outside brands and designers.

▪ Gartner unveiled its top supply chain trends for 2024, and AI played a prominent role in more than half the trends.

▪ China’s container exports to Mexico surged nearly 60% year-over-year in January.

▪ Houthi-rebels fired a missile at a Chinese tanker, just a day after promising to China they wouldn’t attack them.

▪ Schneider Electric plans to invest $140M this year to boost its US manufacturing operations.

▪ FedEx is moving ahead with its plan to combine Express and Ground units.

▪ Boeing expects to spend $4 billion this quarter to fix its production issues.

[The Conveyor @ConveyorDaily]

🔗https://t.co/GmqX3YZzQV

[The Conveyor @ConveyorDaily]

🚢 Egypt wants to expand the Suez Canal.

Egypt has commissioned feasibility studies, as it looks to speed up transit times and avoid blockages in the waterway.

Egypt previously spent $8.2B in 2015 to add another waterway to the canal.

[The Conveyor @ConveyorDaily]

🔗: https://t.co/sUt1mGnf57

[The Conveyor @ConveyorDaily]

🇨🇳🚗 Shenzhen rolls out plans to boost car exports.

The government of Shenzhen unveiled 24 measures, such as supporting factory construction and opening new sea routes, to turn it into a “a new generation world-class auto city”.

The plan will further fuel Western fears about rising Chinese competition for domestic automakers.

[The Conveyor @ConveyorDaily]

Full interview: https://t.co/eoZmSiHkRi

[The Conveyor @ConveyorDaily]

Boeing wants to take back control of their supply chain and is considering acquiring Spirit AeroSystems per WSJ.

Here's Boeing CEO on their relationship with Spirit: