EV Owners to Pay Road Usage Fee: Governor Greg Abbott Signs New Law
Good morning! As the sun rises on this Thursday morning, we find ourselves at the heart of the bustling supply chain world, where innovation, efficiency, and collaboration merge. Welcome to yet another edition of The Workday Dash, your trusted source of industry insights and updates.
Grab your cup of motivation and join us on this exciting journey, where we'll unravel the latest trends, unveil captivating stories, and ignite your passion for the intricate dance of logistics. ☕️
———
Governor Greg Abbott of Texas has signed a new law that imposes additional fees on electric vehicle (EV) owners in the state. Under the law, EV owners will have to pay $400 upon registering their vehicle, followed by an annual fee of $200.
The law aims to compensate for the gas taxes that EV owners do not pay and to address the potential loss of revenue from traditional fuel taxes as more drivers switch to electric vehicles. While proponents argue that the fees ensure EV owners contribute their fair share to maintain transportation infrastructure, critics view them as punitive and inequitable, potentially discouraging the adoption of EVs and hindering the transition to cleaner energy sources.
Check out today’s featured article from GIZMODO to read about what the Governor of Texas recently signed into law. Will more states follow suit and create fees for EV drivers? Can this law really last that long?
Featured Article:
Greg Abbott Signs Law Making EV Owners Pay for Their Gas-Free Cars | GIZMODO
“Starting September 1, registering an EV in Texas will cost $400 upfront and $200 every subsequent year.”
Tech & Customer Relations 🌯
Chipotle Prepares for Nationwide Rollout of RFID Technology
Chipotle Mexican Grill is expanding its use of radio-frequency identification (RFID) technology to track ingredients from suppliers to restaurants in real time. The fast-casual chain plans to roll out RFID tagging on a national scale in the coming months. RFID, which uses smart barcodes, allows for automatic identification and tracking of inventory. Chipotle has been testing the technology in a regional pilot, starting with around 200 restaurants in the Chicago area.
The use of RFID is part of the company's efforts to improve ingredient traceability following a food safety crisis in 2015. The technology provides real-time inventory visibility and benefits suppliers by improving their own inventory management processes. Chipotle hopes its experience will encourage other restaurants to adopt similar tracing initiatives to ensure better supply chain visibility and address any issues promptly.
Money Matters & Tech 👾
Details of supply chain finance programs are now being provided by companies in the United States
Following a new rule by the Financial Accounting Standards Board (FASB) that requires U.S. companies to disclose details about their supply chain finance programs, organizations have begun sharing information regarding their financing practices. Supply chain financing allows businesses to optimize cash flow by extending payment terms to suppliers while also offering early payment options.
The rule mandates companies to provide a general description of their payment terms and any securities or guarantees offered to finance providers, thus enhancing transparency for investors and capital allocators. Bedrock AI, PPG Industries, LyondellBasell Industries, Fluence Energy, and Viatris were among the first companies to disclose their supply chain financing data. More disclosures are expected as annual information on invoiced amounts yet to be paid under the program will be required starting in 2024.
Let’s Get Global 🌎
🚢 ContainerPort Group has relocated to a new 8-acre terminal in South Carolina. ContainerPort Group has announced its relocation to a new eight-acre terminal in North Charleston, South Carolina. The move provides the company with increased yard space and improved facilities, including two 2,000-square-foot buildings for its dedicated services division and sister carrier, Bristol Transportation. The larger terminal allows for the storage of 200-300 shipping containers and enhances ContainerPort Group's capacity to handle containerized freight.
💰 Is the Middle East poised to become a manufacturing hub due to the energy transition? A report by PwC-owned Stretegy& suggests that the Gulf Cooperation Council (GCC) countries could become manufacturing hubs and attract $300 billion in foreign direct investment (FDI) by leveraging their ambitious plans for green energy. The report highlights cheap energy and expanding renewable energy generation in countries like Saudi Arabia and the UAE as key factors in transforming the Middle East into a manufacturing hub.
iLevel With You 🏡
More topics for the average American household to consider…
💰 Bankruptcy filings are surging. The number of bankruptcies among U.S. companies has been rising, reaching levels higher than any year since 2010. Reports indicate that bankruptcies in the first four months of 2023 have already surpassed the total for the same period in previous years. Companies selling directly to consumers, followed by industrials and financial services, have seen the most bankruptcies. The increasing cost and limited availability of capital have contributed to this trend, as interest rates have risen significantly.
🍎 The grocery industry is experiencing a significant transformation through the integration of robotics into its operations. Robotic technology is revolutionizing various aspects of the grocery sector, including inventory management, order fulfillment, and customer service. With the ability to automate repetitive tasks and improve efficiency, robots are streamlining operations and enhancing the overall shopping experience for consumers.
🔋 Human rights violations are prevalent in the battery supply chains of Tesla and Toyota. A report by the Business and Human Rights Resource Centre (BHRRC) has revealed that major carmakers Tesla and Toyota are using batteries sourced from mines associated with human rights violations in Indonesia and the Philippines. The report highlights the link between nickel mines with poor human rights records and companies such as Panasonic, Tesla, and Toyota through their supply chains.
Get Smart 🧠
Ramp up that brain power for these advanced topics…
🌉 Permitting reform in infrastructure would provide a boost to the economy. Experts argue that reforming outdated permitting laws is crucial for boosting the economy through investments in upgrading infrastructure and transitioning to green technologies. The current permitting process in the United States is criticized for its complexity and time-consuming nature, adding unnecessary years and billions of dollars to the cost of infrastructure upgrades.
🖇️ According to Manhattan Associates, utilizing API links can optimize the connections. Manhattan Associates, a supply chain technology vendor, has introduced new capabilities for its cloud-based omnichannel software platforms, targeting retailers, manufacturers, and distributors. The company aims to bridge the gap between transportation management systems (TMS) and warehouse management systems (WMS) by utilizing a unified portfolio architecture that eliminates the need for data bridges.
🚚 Trucking companies are expected to encounter a "modestly unfavorable" outlook. According to transportation analyst firm FTR, market conditions for trucking companies are expected to remain unfavorable into 2024. FTR's Trucking Conditions Index (TCI) for March showed a decrease to -5.83, indicating persistent unfavorable conditions compared to the previous month. The decline was driven by challenging financing costs, a negative rate environment, and deteriorating spot rates, partially offset by lower fuel costs and slightly stronger utilization rates.
The Workday Dash is an aggregation of articles regarding the transportation logistics, trucking, and supply chain industries for November 27, 2024, from iLevel Logistics Inc.