Skip to content
Search AI Powered

Latest Stories

Forward Thinking

Without action, freight-related pollution will jump 300 percent, ITF says

Changes in global trade patterns and soaring freight volumes could lead to a spike in global carbon emissions, warns the International Transport Forum.

In the recently released report Transport Outlook 2015, the International Transport Forum (ITF) at the Paris-based Organisation for Economic Co-operation and Development (OECD) projects that by 2050, total freight volumes will grow fourfold and the average length of haul will increase by 12 percent. These two trends, the report predicts, will lead to a spike in global carbon emissions unless corrective action is taken.

According to the report, freight-related emissions are projected to rise by 290 percent over the next 35 years, barring any steps to reverse the trend. The principal cause of such a jump in greenhouse gas emissions, ITF predicts, will be changes in global trade patterns that result in increased trade with far-distant markets.


Freight will replace passenger traffic as the main source of emissions from surface transportation, the report forecasts. However, air is forecast to be the biggest polluter among transportation modes, with a 411 percent increase in carbon tons emitted from 2010 to 2050, ITF says.

ITF Secretary-General José Viegas said in a statement that the projected increase in freight volumes presents an "unprecedented challenge" for the world's transport systems. Constraints on capacity growth might rein in greenhouse gases but could also act as a brake on economic growth, he said. Yet the deployment of more ships, aircraft, trucks, and trains to handle the expected rise in demand has its own downside: It could severely undermine efforts to address climate change, he said.

Viegas urged stakeholders to make optimal use of existing freight facilities, many of which are underutilized. He also called on government and industry to develop more multimodal connections, adapt port infrastructures to accommodate the mega-vessels that will dominate waterborne trade in the coming decades, and do a better job of reducing vehicle idling, which wastes fuel and spews carbon emissions into the atmosphere.

In addition to forecasting global freight volumes and transport-related carbon emissions and health impacts, Transport Outlook 2015 examines a wide range of subjects, such as factors affecting supply and demand for transport services, mobility in developing countries, changes in global trade flows, and future trade growth by region. For example, ITF predicts that by 2050 the North Pacific trade lane will surpass the North Atlantic as the world's busiest trade corridor. It also projects rapid growth in the Indian Ocean corridor, with volumes quadrupling in the next 40 years. Intra-African volumes will rise by 715 percent, while intra-Asian traffic will gain by 403 percent, the report says. Most of the increased volumes are expected to move via road transport due to the absence of alternate modes.

The International Transport Forum is an intergovernmental group with 54 member countries. It serves as a "think tank" for global transport policy and organizes an annual summit of transport ministers.

Recent

More Stories

Just 29% of supply chain organizations are prepared to meet future readiness demands

Just 29% of supply chain organizations are prepared to meet future readiness demands

Just 29% of supply chain organizations have the competitive characteristics they’ll need for future readiness, according to a Gartner survey released Tuesday. The survey focused on how organizations are preparing for future challenges and to keep their supply chains competitive.

Gartner surveyed 579 supply chain practitioners to determine the capabilities needed to manage the “future drivers of influence” on supply chains, which include artificial intelligence (AI) achievement and the ability to navigate new trade policies. According to the survey, the five competitive characteristics are: agility, resilience, regionalization, integrated ecosystems, and integrated enterprise strategy.

Keep ReadingShow less

Featured

screen shot of returns apps on different devices

Optoro: 69% of shoppers admit to “wardrobing” fraud

With returns now a routine part of the shopping journey, technology provider Optoro says a recent survey has identified four trends influencing shopper preferences and retailer priorities.

First, 54% of retailers are looking for ways to increase their financial recovery from returns. That’s because the cost to return a purchase averages 27% of the purchase price, which erases as much as 50% of the sales margin. But consumers have their own interests in mind: 76% of shoppers admit they’ve embellished or exaggerated the return reason to avoid a fee, a 39% increase from 2023 to 204.

Keep ReadingShow less
robots carry goods through a warehouse

Fortna: rethink your distribution strategy for 2025

Facing an evolving supply chain landscape in 2025, companies are being forced to rethink their distribution strategies to cope with challenges like rising cost pressures, persistent labor shortages, and the complexities of managing SKU proliferation.

But according to the systems integrator Fortna, businesses can remain competitive if they focus on five core areas:

Keep ReadingShow less
shopper uses smartphone in retail store

EY lists five ways to fortify omnichannel retail

In the fallout from the pandemic, the term “omnichannel” seems both out of date and yet more vital than ever, according to a study from consulting firm EY.

That clash has come as retailers have been hustling to adjust to pandemic swings like a renewed focus on e-commerce, then swiftly reimagining store experiences as foot traffic returned. But even as the dust settles from those changes, retailers are now facing renewed questions about how best to define their omnichannel strategy in a world where customers have increasing power and information.

Keep ReadingShow less
artistic image of a building roof

BCG: tariffs would accelerate change in global trade flows

Geopolitical rivalries, alliances, and aspirations are rewiring the global economy—and the imposition of new tariffs on foreign imports by the U.S. will accelerate that process, according to an analysis by Boston Consulting Group (BCG).

Without a broad increase in tariffs, world trade in goods will keep growing at an average of 2.9% annually for the next eight years, the firm forecasts in its report, “Great Powers, Geopolitics, and the Future of Trade.” But the routes goods travel will change markedly as North America reduces its dependence on China and China builds up its links with the Global South, which is cementing its power in the global trade map.

Keep ReadingShow less