SBA's Freight Market Update: August 7, 2025
This week: Initiative proposed to ‘Make America Shipbuilding Great Again’; U.S. eyes steep tariffs on pharma and semiconductors; BNSF opens key intermodal hub to boost western U.S. logistics.
Current Critical Industry Trends
Initiative proposed to ‘Make America Shipbuilding Great Again’. The U.S. and South Korea look to a $150 billion plan to revive domestic shipbuilding. The agreement is seen as a response to China’s dominance in shipbuilding.
U.S. eyes steep tariffs on pharma and semiconductors. President Trump signaled plans to impose pharmaceutical tariffs rising to 250% within 18 months, alongside new duties on semiconductors. The move follows Section 232 investigations and reflects a push to reshore production in critical supply chains.
Ocean
U.S. to enforce new port fees on China-linked vessels starting October 14. Chinese-owned or operated ships will face charges beginning at $50 per net ton and increasing to $140 per net ton in 2028. The fees aim to curb China’s maritime influence and encourage use of U.S.-built vessels.
Typhoon Co-May temporarily shut down Shanghai and Ningbo ports, backing up over 1 million TEU. Delays of up to a week were reported with carriers warning of ongoing impacts across Asia-Pacific and Europe. Despite the backlog, spot freight rates remain stable for now.
Ports
The Terneuzen lock opened August 1, boosting access to the port of Ghent. At 427 meters long, it can now accommodate larger vessels regardless of tidal conditions, marking a major upgrade to the aging locks. The €1.2 billion project also doubles as a key flood barrier, supporting both capacity growth and climate resilience.
International
China approved 183 Brazilian coffee exporters in late July. The move is expected to redirect trade flows and increase coffee shipments to China as U.S. tariffs of up to 50% take effect in August. Logistics providers may see rising demand for Brazil–China routes as exporters shift supply chains.
Trucking
Ohio has announced a $150 million plan to add 1,400 commercial truck parking spaces across 33 sites. The project aims to more than double the state's current truck parking capacity and is expected to be completed in 2027. Positioned within a day’s drive of 60% of the U.S. and Canadian population, Ohio is a critical hub for freight movement.
Ontario trucking leaders call for urgent crackdown amid U.S. tariff hike. President Trump’s tariffs are linked to border concerns and underground trucking practices. OTA wants full-time inspection sites and stronger enforcement to restore industry credibility.
Rail
Rail freight in the UAE takes center stage in regional trade strategy. With links to Jebel Ali, Khalifa Port and Oman, Etihad Rail is expanding its reach. The network is expected to contribute AED 3.5 billion to the economy each year.
BNSF opens key intermodal hub to boost western U.S. logistics. The Salt Lake City facility enhances connectivity from California to Utah. Partnerships with Patriot Rail and UIPA mark a new era in freight efficiency.
Air
Aviation and postal leaders double down on global mail security. ICAO and UPU push for unified policies to address growing threats. Improvised device incidents have forced rapid change across international logistics.
Technology
AI users show stronger supply chain resilience under global pressure. New research shows 98% of companies using AI feel equipped for geopolitical disruption. That confidence drops sharply among those still lagging on adoption.
Next-gen AI pilot tech deployed on U.S. inland waterways. Southern Devall becomes the first to install advanced AI navigation tools on a towboat along the Mississippi River.
The system combines safety alerts with fuel-optimization insights to improve operations fleet-wide.
Other
Small miscalculations lead to big consequences in truck rollovers. Trailer balance, cargo height, and curve speed are often underestimated. New tools like GPS-based safety apps are helping drivers prevent fatal outcomes.
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As always, SBA’s team is here to help. Our expert teams are ready to answer any questions you may have or give advice for managing the current logistics environment. Additionally, if you need help moving freight or gaining visibility and control over your supply chain, we’d happily discuss what SBA can do for you. Contact us!