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When You're Trying to Conquer the World, It Helps to Have a Great Global Novel Coronavirus Update October 29, 2020 "This update contains information we have gathered from various public sources and share with you to the best of our knowledge, but we cannot guarantee it is complete or in all cases accurate. Moreover, the market is changing rapidly currently; statements in this document may quickly be superseded, despite our best efforts. Nothing in this document can be taken as a contractual undertaking.” 10/28/2020 "This presentation contains information we have gathered from various public sources including reference materials, webinars and share with you to the best of our knowledge, but we cannot guarantee it is complete or in all cases accurate. Moreover, the market is changing rapidly currently; statements in this document may quickly be superseded, despite our best efforts. Nothing in this document can be taken as a contractual undertaking.” Number of confirmed COVID-19 cases reported in the last seven days by country, territory or area, 5th October to 11th October 2020. *WHO Website 10/28/2020 Proprietary and Confidential: This presentation may not be used or disclosed to other than employees or customers, unless expressly authorized by UPS. 10/28/2020 © 2018 United Parcel Service of America, Inc. UPS, the UPS brandmark, and the color brown are trademarks of United Parcel Service of America, Inc. All rights reserved. UPS Global Freight Forwarding Our highest priority is to protect the health and safety of our employees, customers, and suppliers. UPS® is confident it can do so while maintaining global operations, except where constrained by government restrictions or other circumstances beyond its control. The Novel Coronavirus pandemic has created unprecedented complexities, which have required us to constantly reassess our operations and take mitigating actions to minimize disruption to our customers. Stay Informed Book a Shipment Online • Register to receive important communications from UPS Book now at ups.com/supplychain • Find the latest information on Air Freight Capacity Surcharges • Track shipment status through UPS Flex Global View® • International Air Transport Association (IATA) – iata.org • World Health Organization (WHO) – who.int Consider cost-effective multi-modal alternatives to traditional air freight • Asia to North America • LATAM to North America • Asia to Mexico • North America to Asia • Europe to North America • China to Europe rail • North America to Europe • Sea-Air Asia to LATAM • ISMEA to North America • Sea-Air Asia to Europe Proprietary and Confidential: This presentation may not be used or disclosed to other than employees or customers, unless expressly by UPS. Proprietary and Confidential: This presentation may not be used or disclosed to other than employees or customers, unless expressly authorized by UPS. 3 9/10/2020 © 2018© 2020 United United Parcel Parcel Service service of ofAmerica, America, Inc. Inc. UPS, UPS, the the UPS UPS brandmark, brandmark, and the the color color brown brown are aretrademarks trademarks of United of United Parcel Parcel Service SerofvicAmerica,e of America, Inc. All Inc. rights All rights reserved. reserved. "This presentation contains information we have gathered from various public sources including reference materials, webinars and share with you to the best of our knowledge, but we cannot guarantee it is complete or in all cases accurate. Moreover, the market is changing rapidly currently; statements in this document may quickly be superseded, despite our best efforts. Nothing in this document can be taken as a contractual undertaking.” Global Air Cargo capacity is 20% below last two weeks compared to last year. Air cargo capacity recovering; the Transatlantic (-43%) and LATAM capacity (-58%) capacity shows no recovery. 10/28/2020 Proprietary and Confidential: This presentation may not be used or disclosed to other than employees or customers, unless expressly authorized by UPS. © 2018 United Parcel Service of America, Inc. UPS, the UPS brandmark, and the color brown are trademarks of United Parcel Service of America, Inc. All rights reserved. This update contains information we have gathered from various public sources and share with you to the best of our knowledge, but we cannot guarantee it is complete or in all cases accurate. Moreover, the market is changing rapidly currently; statements in this document may quickly be superseded, despite our best efforts. Nothing in this document can be taken as a contractual undertaking.” Europe Update for October 29th Socioeconomic Updates Air Freight Updates • Record Covid cases and new lockdowns across Europe • Lufthansa Cargo revealed its freighter schedule for the winter • Netherlands breaks new daily coronavirus infection record season, with an average of 35 flights per week to Asia • Brussels university activates code red from Monday • Turkish Cargo has expanded its network with the addition of • Barnier on Brexit: A deal is within reach numerous direct routes to destinations in Europe, the Middle • Several European contact tracing apps can now interact East and Asia. with each other • Copenhagen Airport relies on preighter capacity to develop as “airfreight gateway to Scandinavia” Ocean Freight Updates Inland Transportation • Carriers boost capacity on the transatlantic to keep pace • Trucks covering same distance as before the pandemic, with demand up from -13% in August. • Industrial shipper Manitou to use wind-powered • Border crossing times almost stable for months, on transatlantic ro-ro vessels average crossings take just 5% more time than before • Port of NL, DE, FR are severely constrained the crisis. • Ports of CZ, PO, PT are constrained, delays expected • Rail: Delays in departure from China expected. • European inland hub boosting rail container trade from China Proprietary and Confidential: This presentation may not be used or disclosed to other than employees or customers, unless expressly by UPS. Proprietary and Confidential: This presentation may not be used or disclosed to other than employees or customers, unless expressly authorized by UPS. 10/28/2020 © 2018© 2020 United United Parcel Parcel Service service of ofAmerica, America, Inc. Inc. UPS, UPS, the the UPS UPS brandmark, brandmark, and the the color color brown brown are aretrademarks trademarks of United of United Parcel Parcel Service SerofvicAmerica,e of America, Inc. All Inc. rights All rights reserved. reserved. This update contains information we have gathered from various public sources and share with you to the best of our knowledge, but we cannot guarantee it is complete or in all cases accurate. Moreover, the market is changing rapidly currently; statements in this document may quickly be superseded, despite our best efforts. Nothing in this document can be taken as a contractual undertaking.” ISMEA Update for October 29th Socioeconomic Updates Air Freight Updates • India: COVID-19 reinfection in India is currently under • LOT and Group Concorde transport 53.5 tonnes of cargo on investigation Dreamliner preighter • Delhi airport emerges second safest globally on COVID-19- • India limits non-scheduled freighter flights to six airports related safety protocols • Etihad Cargo: Scheduled flights from AUH to AMS/ FRA/HAN/PVG/JNB/NBO/RUH/MUC/LHR/MAN/CDG/ • Dubai: Wedding receptions can take place in hotels, halls, DUB/BCN/MXP homes, temporary venues and tents from October 22nd • New UAE coronavirus cases hit record high • AirFrance Cargo: Wide–body belly flights • Pakistan: Put a limit on marriage hall timings and scheduled for BEY/BOM/BLR/CAI/DEL/DXB/ number of guests, due to fears of a second wave DMM /MCT/KWI Ocean Freight Updates Inland Transportation • Botched digital customs clearance no help to congestion-hit trade in India • Oman: Deliveries impacted in Oman • ZIM to offer direct services between Israel and UAE • Morocco: Urgent deliveries can be executed during the • ONE launching new China – India – Pakistan curfew hours, but delays to be expected service Proprietary and Confidential: This presentation may not be used or disclosed to other than employees or customers, unless expressly by UPS. Proprietary and Confidential: This presentation may not be used or disclosed to other than employees or customers, unless expressly authorized by UPS. © 2020 United Parcel service of America, Inc. UPS, the UPS brandmark, the color brown are trademarks of United Parcel Service of America, Inc. All rights reserved. 10/28/2020 © 2018 United Parcel Service of America, Inc. UPS, the UPS brandmark, and the color brown are trademarks of United Parcel Service of America, Inc. All rights reserved. This update contains information we have gathered from various public sources and share with you to the best of our knowledge, but we cannot guarantee it is complete or in all cases accurate. Moreover, the market is changing rapidly currently; statements in this document may quickly be superseded, despite our best efforts. Nothing in this document can be taken as a contractual undertaking.” APAC Update for October 29th Socioeconomic Updates Air Freight Updates • Singapore: working towards Phase 3 of re-opening. Pilot pre-event rapid testing (results within half an • Singapore: Changi Airport Group is putting together hour) will start in mid Oct so that more events can a task force (public-private partnership) comprising safely resume; including business to business members of Pharma Changi, regulators and service events providers to make sure Changi airport (and Singapore) are well prepared to support
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