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International Logistics: The Management of International Trade Operations

Chapter Thirteen:
International Land and
Multi-...
International Logistics: The Management of International Trade Operations

Truck Transportation
Rail Transportation
Interm...
International Logistics: The Management of International Trade Operations

Truck Transportation
In many parts of the world...
International Logistics: The Management of International Trade Operations

Truck Transportation
The critical issues for a ...
International Logistics: The Management of International Trade Operations

Truck Transportation

European trucks are limit...
International Logistics: The Management of International Trade Operations

Truck Transportation
North American trucks are ...
International Logistics: The Management of International Trade Operations

Truck Transportation
Australian trucks have few...
International Logistics: The Management of International Trade Operations

Truck Transportation

North American truck trai...
International Logistics: The Management of International Trade Operations

Truck Transportation
In Switzerland, regulation...
International Logistics: The Management of International Trade Operations

Truck Transportation

In many developing countr...
International Logistics: The Management of International Trade Operations

Rail Transportation
Rail transportation is also...
International Logistics: The Management of International Trade Operations

Rail Transportation
Rail transportation is domi...
International Logistics: The Management of International Trade Operations

Rail Transportation

General merchandise was
tr...
International Logistics: The Management of International Trade Operations

Rail Transportation
Traditional railroad cars w...
International Logistics: The Management of International Trade Operations

Rail Transportation

North American railroads c...
International Logistics: The Management of International Trade Operations

Rail Transportation
However, European railroads...
International Logistics: The Management of International Trade Operations

Intermodal Transportation
A shipment that takes...
International Logistics: The Management of International Trade Operations

Intermodal Transportation

The most common cont...
International Logistics: The Management of International Trade Operations

Intermodal Transportation

Oversize goods can b...
International Logistics: The Management of International Trade Operations

Intermodal Transportation
Goods that need a con...
International Logistics: The Management of International Trade Operations

Intermodal Transportation

Goods that cannot fi...
International Logistics: The Management of International Trade Operations

Intermodal Transportation

Liquid bulk goods tr...
International Logistics: The Management of International Trade Operations

Intermodal Transportation
Oversize cargo is shi...
International Logistics: The Management of International Trade Operations

Intermodal Transportation

Containers are held ...
International Logistics: The Management of International Trade Operations

Intermodal Transportation

Containers are also ...
International Logistics: The Management of International Trade Operations

Intermodal Transportation
Under deck, container...
International Logistics: The Management of International Trade Operations

Intermodal Transportation

Air cargo containers...
International Logistics: The Management of International Trade Operations

Intermodal Transportation
The increased importa...
International Logistics: The Management of International Trade Operations

Intermodal Transportation

An intermodal yard t...
International Logistics: The Management of International Trade Operations

Liability Issues
The liability conventions gove...
International Logistics: The Management of International Trade Operations

Freight Forwarders
Because international transp...
International Logistics: The Management of International Trade Operations

Project Cargo
Project cargo is a type of cargo ...
International Logistics: The Management of International Trade Operations

Project Cargo

Because of their length and unus...
International Logistics: The Management of International Trade Operations

Project Cargo
The planning is particularly comp...
International Logistics: The Management of International Trade Operations

Other Means of Transportation
Pipelines
Pipelin...
International Logistics: The Management of International Trade Operations

Pipelines
The Russia-European Union gas pipelin...
International Logistics: The Management of International Trade Operations

Other Means of Transportation
Barges
Barges, fl...
International Logistics: The Management of International Trade Operations

Barges
In the United States, barges are often
m...
International Logistics: The Management of International Trade Operations

Barges
In Europe, barges are self-propelled.

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  1. 1. International Logistics: The Management of International Trade Operations Chapter Thirteen: International Land and Multi-Modal Transportation © 2011 Cengage Learning. Atomic Dog is a trademark used herein under license. All rights reserved.
  2. 2. International Logistics: The Management of International Trade Operations Truck Transportation Rail Transportation Intermodal Transportation Freight Forwarders Project Cargo Other Means of Transportation © 2011 Cengage Learning. Atomic Dog is a trademark used herein under license. All rights reserved.
  3. 3. International Logistics: The Management of International Trade Operations Truck Transportation In many parts of the world, trucking is a vital way of shipping internationally. • In some areas of the world, it represents 100 percent of the international traffic. • In others, it is a lower percentage, but trucking is still a significant part of the international traffic volume. Importantly, though, trucking is almost always the mode of transportation for the “last mile” of a shipment’s itinerary. © 2011 Cengage Learning. Atomic Dog is a trademark used herein under license. All rights reserved. Ch. 13: International Land & Multi-Modal Transportation
  4. 4. International Logistics: The Management of International Trade Operations Truck Transportation The critical issues for a shipper using truck transportation are the many different national rules and regulations that govern truck transportation. These rules influence: • • • • • The weight that can be placed in the truck The hours that the truck can operate The size of the equipment that can be used The number of hours a driver may work The training that a driver must have These differences make for very different trucking practices from country to country. © 2011 Cengage Learning. Atomic Dog is a trademark used herein under license. All rights reserved. Ch. 13: International Land & Multi-Modal Transportation
  5. 5. International Logistics: The Management of International Trade Operations Truck Transportation European trucks are limited in their overall length. The tractor is compact to allow for the maximum trailer size. © 2011 Cengage Learning. Atomic Dog is a trademark used herein under license. All rights reserved. Ch. 13: International Land & Multi-Modal Transportation
  6. 6. International Logistics: The Management of International Trade Operations Truck Transportation North American trucks are limited by the size of the trailer, with no constraints on the size of the tractor. © 2011 Cengage Learning. Atomic Dog is a trademark used herein under license. All rights reserved. Ch. 13: International Land & Multi-Modal Transportation
  7. 7. International Logistics: The Management of International Trade Operations Truck Transportation Australian trucks have fewer limitations on the number of trailers, leading to the concept of “road-trains.” © 2011 Cengage Learning. Atomic Dog is a trademark used herein under license. All rights reserved. Ch. 13: International Land & Multi-Modal Transportation
  8. 8. International Logistics: The Management of International Trade Operations Truck Transportation North American truck trailers are frequently carried over long distances by “piggy-back” trains. © 2011 Cengage Learning. Atomic Dog is a trademark used herein under license. All rights reserved. Ch. 13: International Land & Multi-Modal Transportation
  9. 9. International Logistics: The Management of International Trade Operations Truck Transportation In Switzerland, regulations do not allow international trucks to cross the country. They are transported by piggy-back trains from one border to the other. © 2011 Cengage Learning. Atomic Dog is a trademark used herein under license. All rights reserved. Ch. 13: International Land & Multi-Modal Transportation
  10. 10. International Logistics: The Management of International Trade Operations Truck Transportation In many developing countries, the maximum weight capacities of trucks are routinely exceeded. © 2011 Cengage Learning. Atomic Dog is a trademark used herein under license. All rights reserved. Ch. 13: International Land & Multi-Modal Transportation
  11. 11. International Logistics: The Management of International Trade Operations Rail Transportation Rail transportation is also an important mode of transportation for international shipments, although it is mostly a domestic mode for the United States. Nevertheless, a significant amount of cargo moves by rail in the U.S. In 2007, more than 40 percent of all ton-miles shipped long-distance in the U.S. was shipped by rail. Rail transport has an approximate 18 percent market share for international cargo movements in the European Union. © 2011 Cengage Learning. Atomic Dog is a trademark used herein under license. All rights reserved. Ch. 13: International Land & Multi-Modal Transportation
  12. 12. International Logistics: The Management of International Trade Operations Rail Transportation Rail transportation is dominated by three issues: 1. The ownership of the railroad, which can be private (the United States) or public (most of the remainder of the world). 2. The infrastructure, such as issues of gauge (width of the tracks), electrification, curves, maintenance, and so on, which dictates the types of goods shipped and the speed at which they are delivered. 3. The relationship between passenger traffic and merchandise traffic, and which has priority over the other. In the U.S., merchandise traffic has priority, in many other countries, it’s passenger traffic that has priority. © 2011 Cengage Learning. Atomic Dog is a trademark used herein under license. All rights reserved. Ch. 13: International Land & Multi-Modal Transportation
  13. 13. International Logistics: The Management of International Trade Operations Rail Transportation General merchandise was traditionally transported by boxcars. © 2011 Cengage Learning. Atomic Dog is a trademark used herein under license. All rights reserved. Ch. 13: International Land & Multi-Modal Transportation
  14. 14. International Logistics: The Management of International Trade Operations Rail Transportation Traditional railroad cars were designed for a specific type of merchandise, but containerization is changing that aspect of rail transport. © 2011 Cengage Learning. Atomic Dog is a trademark used herein under license. All rights reserved. Ch. 13: International Land & Multi-Modal Transportation
  15. 15. International Logistics: The Management of International Trade Operations Rail Transportation North American railroads carry containerized cargo in a “double-stack” configuration. © 2011 Cengage Learning. Atomic Dog is a trademark used herein under license. All rights reserved. Ch. 13: International Land & Multi-Modal Transportation
  16. 16. International Logistics: The Management of International Trade Operations Rail Transportation However, European railroads can carry only one container per railcar, because of the overhead catenaries. © 2011 Cengage Learning. Atomic Dog is a trademark used herein under license. All rights reserved. Ch. 13: International Land & Multi-Modal Transportation
  17. 17. International Logistics: The Management of International Trade Operations Intermodal Transportation A shipment that takes more than one mean of transportation from its departure to its point of destination, using only one bill of lading, is said to be intermodal or multimodal. Another term used for the same concept is co-modality. International intermodal transportation is strongly linked to the creation of the container, which is ideally suited to be shipped by truck, train, or ship, and can be easily transferred from one mode of transportation to another. The modern container was invented by Malcom McLean. © 2011 Cengage Learning. Atomic Dog is a trademark used herein under license. All rights reserved. Ch. 13: International Land & Multi-Modal Transportation
  18. 18. International Logistics: The Management of International Trade Operations Intermodal Transportation The most common container is the 40-foot container, designed to hold goods loaded through its two doors. © 2011 Cengage Learning. Atomic Dog is a trademark used herein under license. All rights reserved. Ch. 13: International Land & Multi-Modal Transportation
  19. 19. International Logistics: The Management of International Trade Operations Intermodal Transportation Oversize goods can be shipped in an extended-length container (45-foot long in this case). © 2011 Cengage Learning. Atomic Dog is a trademark used herein under license. All rights reserved. Ch. 13: International Land & Multi-Modal Transportation
  20. 20. International Logistics: The Management of International Trade Operations Intermodal Transportation Goods that need a controlled-temperature environment are shipped in refrigerated containers, or “reefers.” © 2011 Cengage Learning. Atomic Dog is a trademark used herein under license. All rights reserved. Ch. 13: International Land & Multi-Modal Transportation
  21. 21. International Logistics: The Management of International Trade Operations Intermodal Transportation Goods that cannot fit through the doors of a traditional container are shipped in an “open-top” container, that is eventually covered with a tarpaulin. © 2011 Cengage Learning. Atomic Dog is a trademark used herein under license. All rights reserved. Ch. 13: International Land & Multi-Modal Transportation
  22. 22. International Logistics: The Management of International Trade Operations Intermodal Transportation Liquid bulk goods travel in liquid-bulk containers. © 2011 Cengage Learning. Atomic Dog is a trademark used herein under license. All rights reserved. Ch. 13: International Land & Multi-Modal Transportation
  23. 23. International Logistics: The Management of International Trade Operations Intermodal Transportation Oversize cargo is shipped on a “flat rack” container. © 2011 Cengage Learning. Atomic Dog is a trademark used herein under license. All rights reserved. Ch. 13: International Land & Multi-Modal Transportation
  24. 24. International Logistics: The Management of International Trade Operations Intermodal Transportation Containers are held by lash bars onto the deck of a ship. © 2011 Cengage Learning. Atomic Dog is a trademark used herein under license. All rights reserved. Ch. 13: International Land & Multi-Modal Transportation
  25. 25. International Logistics: The Management of International Trade Operations Intermodal Transportation Containers are also held by twist locks onto a ship’s deck or a truck’s chassis. © 2011 Cengage Learning. Atomic Dog is a trademark used herein under license. All rights reserved. Ch. 13: International Land & Multi-Modal Transportation
  26. 26. International Logistics: The Management of International Trade Operations Intermodal Transportation Under deck, containers are loaded into holds, and held in place with the help of slides. © 2011 Cengage Learning. Atomic Dog is a trademark used herein under license. All rights reserved. Ch. 13: International Land & Multi-Modal Transportation
  27. 27. International Logistics: The Management of International Trade Operations Intermodal Transportation Air cargo containers are less standardized and are not meant to be used in intermodal transport. © 2011 Cengage Learning. Atomic Dog is a trademark used herein under license. All rights reserved. Ch. 13: International Land & Multi-Modal Transportation
  28. 28. International Logistics: The Management of International Trade Operations Intermodal Transportation The increased importance of containerization in intermodal transport has created new transportation models, such as land bridges and intermodal yards. Land bridge For goods that are shipped from Asia to Europe, it is often more economical to ship goods by ocean to the West Coast of North American, unload the containers, transport them by rail to the East Coast before shipping them by ocean to Europe. The more costly alternative is to ship the goods through the Panama Canal. © 2011 Cengage Learning. Atomic Dog is a trademark used herein under license. All rights reserved. Ch. 13: International Land & Multi-Modal Transportation
  29. 29. International Logistics: The Management of International Trade Operations Intermodal Transportation An intermodal yard transfers containers from trucks to trains, or vice-versa. Here, a container stacker performs that task. © 2011 Cengage Learning. Atomic Dog is a trademark used herein under license. All rights reserved. Ch. 13: International Land & Multi-Modal Transportation
  30. 30. International Logistics: The Management of International Trade Operations Liability Issues The liability conventions governing land transportation and intermodal transportation are still governed by the liability conventions that are in place for each mode of transportation, and each country. The Rotterdam Rules, a new liability convention (2009) that limits carriers’ liability to SDR 875 per package or SDR 4 per kilogram, was designed specifically for intermodal shipments: It is likely to be adopted by most countries by 2012. © 2011 Cengage Learning. Atomic Dog is a trademark used herein under license. All rights reserved. Ch. 13: International Land & Multi-Modal Transportation
  31. 31. International Logistics: The Management of International Trade Operations Freight Forwarders Because international transportation is so complex, many shippers rely on freight forwarders to handle their international shipments. Freight forwarders arrange all aspects of transportation and paperwork for a shipper, from following the exporting country’s requirements to clearing Customs in the importing country. A freight forwarder is essentially a “travel agent for freight.” © 2011 Cengage Learning. Atomic Dog is a trademark used herein under license. All rights reserved. Ch. 13: International Land & Multi-Modal Transportation
  32. 32. International Logistics: The Management of International Trade Operations Project Cargo Project cargo is a type of cargo that requires more advance planning because of its size, weight, or volume. Shippers need to take into account the cargo’s dimensions and weight, in order to determine whether it will fit under bridges, inside tunnels, and around curves. Many project cargo shipments can take months to plan thoroughly, and often require specialized knowledge. Shippers also have to account for the special permits that the cargo will need. © 2011 Cengage Learning. Atomic Dog is a trademark used herein under license. All rights reserved. Ch. 13: International Land & Multi-Modal Transportation
  33. 33. International Logistics: The Management of International Trade Operations Project Cargo Because of their length and unusual shape, wind turbine blades are “project cargo,” necessitating careful transportation planning. © 2011 Cengage Learning. Atomic Dog is a trademark used herein under license. All rights reserved. Ch. 13: International Land & Multi-Modal Transportation
  34. 34. International Logistics: The Management of International Trade Operations Project Cargo The planning is particularly complex when the blades are on the land portion of their journey. © 2011 Cengage Learning. Atomic Dog is a trademark used herein under license. All rights reserved. Ch. 13: International Land & Multi-Modal Transportation
  35. 35. International Logistics: The Management of International Trade Operations Other Means of Transportation Pipelines Pipelines can be used for the transport of liquid cargo (petroleum oil, refined oil products, water), and gasses (generally natural gas), as well as coal, in the form of slurry, a mix of powdered coal and water. Pipelines are critical to the international transport of energy products. © 2011 Cengage Learning. Atomic Dog is a trademark used herein under license. All rights reserved. Ch. 13: International Land & Multi-Modal Transportation
  36. 36. International Logistics: The Management of International Trade Operations Pipelines The Russia-European Union gas pipeline. © 2011 Cengage Learning. Atomic Dog is a trademark used herein under license. All rights reserved. Ch. 13: International Land & Multi-Modal Transportation
  37. 37. International Logistics: The Management of International Trade Operations Other Means of Transportation Barges Barges, flat-bottomed boats, are designed to carry cargo on rivers and canals. Some are self-propelled and others are designed to be pushed or pulled. Barges carry mostly bulk cargo (grain, coal, minerals) in the United States. In Europe and China, they also carry containers, automobiles, and other general cargo. © 2011 Cengage Learning. Atomic Dog is a trademark used herein under license. All rights reserved. Ch. 13: International Land & Multi-Modal Transportation
  38. 38. International Logistics: The Management of International Trade Operations Barges In the United States, barges are often moved in groups, pushed by a tugboat. © 2011 Cengage Learning. Atomic Dog is a trademark used herein under license. All rights reserved. Ch. 13: International Land & Multi-Modal Transportation
  39. 39. International Logistics: The Management of International Trade Operations Barges In Europe, barges are self-propelled. © 2011 Cengage Learning. Atomic Dog is a trademark used herein under license. All rights reserved. Ch. 13: International Land & Multi-Modal Transportation
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