AGP Executive Report

U.S.-Iran Shipping & Energy: Trump said the U.S. could sign a peace deal with Iran “as soon as this weekend,” aiming to reopen the Strait of Hormuz and ease global shipping and fuel pressure, even as Iran denies any “final decision” and the two sides keep trading strikes. Diplomacy Track: Sources say a U.S.-Iran memorandum of understanding is likely to be signed early next week, starting 60 days of talks tied to demining and Hormuz access. Inflation & Freight Costs: New data shows U.S. inflation jumped to 4.2% in May, driven largely by energy costs tied to the Iran conflict—an input hit that can ripple through logistics. Work Zone Safety: Spokane will use a mobile speed camera in a construction zone to enforce slower driving when crews are present. Border & Rail Travel: Whatcom County warned of heavier traffic during World Cup match weeks, while Amtrak’s Vancouver station received U.S. preclearance—both aimed at smoothing cross-border movement. Cross-Border Infrastructure: Canada delayed the Gordie Howe Bridge opening at U.S. request, citing technical outstanding issues. Rail Market Moves: Grupo Mexico Transportes USA and Wabtec are teaming to bid for Argentina’s freight rail operator Belgrano Cargas in Milei’s privatization push.

Autonomous Trucking Rollout: PepsiCo and Gatik launched a driverless Class 8 trucking deployment on a fixed corridor in Texas, Arizona and Arkansas, moving autonomous freight from tests to revenue routes. DMV Support for Drivers: California DMV rolled out an online help form for immigrant commercial drivers whose non-domiciled CDLs were canceled after expiration-date mismatches, offering guidance and options for temporary or permanent Class C licenses. Middle East Shipping Shock: As U.S.-Iran strikes continue, the Strait of Hormuz remains a flashpoint for global energy and maritime traffic, with U.S. forces disabling an eighth merchant vessel tied to Iran-linked oil movement. Inflation Pressure on Transport Costs: New CPI data showed May inflation at 4.2% year over year, with energy and gasoline spikes tied to the Iran conflict raising costs for households and likely for trucking and logistics. Public Sector Procurement Fight: Des Moines sued fire-truck makers over alleged “parasitic” pricing and anti-trust tactics that it says drove up costs and delayed deliveries. Defense Logistics & Readiness: Boeing’s KC-46A Pegasus completed early flight testing for its Remote Vision System 2.0 upgrade aimed at improving aerial refueling accuracy. Cyber & Security: U.S. extradited a suspected Russian hacker from Thailand to face charges tied to the “Void Blizzard” cyberattack campaign targeting American companies.

Middle East Shipping Shock: Trump says the U.S. secretly helped more than 200 commercial ships transit the Strait of Hormuz while Iran’s military command declares the strait fully closed to all vessels, raising fresh risks for oil and freight flows. Maritime Safety & Enforcement: IMO condemned an attack on a Palau-flagged tanker near the strait as the U.S. says it disabled another merchant vessel trying to move Iranian oil. Aviation & Defense Fallout: After an Apache helicopter was downed near Hormuz and crew were rescued by sea drone, the U.S. launched additional strikes on “multiple targets,” while Iran retaliated against U.S. bases in Bahrain, Kuwait and Jordan. Cross-Border Rail Upgrade: Amtrak Cascades passengers get faster U.S. border processing via a new rail preclearance facility at Vancouver’s Pacific Central Station, cutting the trip by about 10 minutes. Autonomous Trucking Push: Amazon opens up its LTL Freight Service to all U.S. businesses, while PepsiCo and Gatik roll out driverless Class 8 trucks on fixed corridors in Texas, Arizona and Arkansas. Civil Rights Rule Change: USDOT rescinds part of its disparate-impact civil rights regulation, narrowing enforcement to intentional discrimination. Local Transit Planning: Brooklyn DOT proposes bus lanes along Bay Parkway and Cropsey Avenue to speed up MTA routes for about 80,000 daily riders.

Middle East Shipping Shock: The U.S. began strikes on Iran after an Apache helicopter went down near the Strait of Hormuz; Iran then fired back at regional bases, raising fresh risk for the world’s key energy corridor and rattling markets. Aviation & Defense Logistics: A drone boat helped rescue the Apache crew, highlighting how unmanned assets are being pulled into real-world recovery operations. Transit Safety & Courts: A federal judge ruled a man accused in the fatal stabbing of a Ukrainian refugee on a Charlotte train is not competent for trial, pausing the case while he gets medical treatment. Intelligent Transportation Systems: Ouster unveiled Ouster BlueCity with its Rev8 native color lidar for intersection and highway traffic management, aiming to improve detection and analytics. Freight & Ports: Peak shipping season is underway as container rates surge amid tariffs and Middle East tensions. Road Work Alerts: INDOT is closing a U.S. 35 to U.S. 30 eastbound ramp in Starke County for resurfacing, with a mid-July reopening. Border & Agriculture: CBP says summer travel and World Cup crowds will increase prohibited agriculture finds, including pork and produce, at major airports.

Middle East & Ports: The U.S. began “self-defense strikes” on Iran after an Apache helicopter was downed near the Strait of Hormuz; CENTCOM called it a proportional response, while Iran reported explosions near Qeshm as the pilots were rescued by a drone boat—another reminder how quickly shipping and logistics chokepoints can tighten. Air Traffic Control Funding: The FAA says it’s progressing on ATC modernization with $12.5B but needs more congressional money for software to shift how it manages U.S. airspace. Safety & Infrastructure: WisDOT warned drivers about pavement buckles as temperatures rise, and the FAA/airport staffing issue is resurfacing in Salem’s push to restart commercial service. Logistics Industry Moves: RK Logistics Group named Evan Braun VP of freight forwarding and brokerage, signaling continued capacity buildout for time-sensitive, high-value shipments. Energy Costs: New data points to continued fuel-price volatility tied to Middle East risk and supply disruptions. Security & Travel: World Cup teams and fans are facing heightened U.S. border checks, raising operational friction ahead of the tournament.

Maritime Security: The U.S. disabled a Palau-flagged tanker (M/T Marivex) in the Gulf of Oman with a precision strike after it ignored orders tied to the Iran blockade, underscoring how airpower is enforcing shipping restrictions. Aviation Safety: An AH-64 Apache crashed near the Strait of Hormuz; both pilots were rescued within about two hours and are stable, while the cause remains under investigation. Energy & Supply Chains: A Fed study finds today’s oil shocks from the Iran war are muting inflation and employment impacts versus the 1970s, even as Hormuz disruptions remain the biggest supply shock on record. Trade & Tech Controls: The Pentagon added BYD, Alibaba and Baidu to a list of firms tied to China’s military-civil fusion, while U.S. lawmakers push to block Chinese-connected vehicles entering via Canada/Mexico. Local Infrastructure: Virginia Transformer will build a major power-transformer plant in Alabama, targeting 1,100 jobs and addressing a U.S. grid bottleneck. Mobility Access: Uber became US Sports Camps’ first North America-wide rideshare partner for teen transportation support at 20+ locations.

Port & Import Flows: Retailers are pulling shipments forward, setting up a June import spike at U.S. ports as they try to blunt expected higher costs from tariffs and fuel. Energy & Consumer Pressure: A Reuters/Ipsos poll finds Trump approval near record lows, with most Americans expecting gas prices to keep rising as the Iran war strains oil and shipping. Border Infrastructure: The Gordie Howe International Bridge is slated to open June 15 after testing wraps, with a ribbon-cutting planned Friday—another big step for U.S.-Canada trade flow. Safety & Roads: A box truck rollover near the Spaghetti Bowl closed part of U.S. 395 temporarily; no injuries reported. Aviation/Immigration: U.S. Customs denied entry to a Somali World Cup referee, citing vetting concerns. Logistics & Policy: A federal judge blocked Trump’s $100,000 H-1B fee nationwide, calling it an unlawful tax—an indirect hit to hiring pipelines that support tech and transport industries. Maritime/Geopolitics: Iran fired missiles and drones toward Gulf neighbors; the U.S. says it shot down multiple threats near the Strait of Hormuz.

Iran–Israel Escalation & Shipping Risk: Israel and Iran traded strikes again after a two-month U.S.-brokered ceasefire, with Houthis warning they’ll target Israel-affiliated shipping in the Red Sea—pushing oil higher and raising new uncertainty for global supply chains. U.S. Navy Posture: The USS Abraham Lincoln’s possible homeport shift from San Diego to Bremerton signals continued Pacific Fleet rebalancing. Maritime Readiness: A House NDAA markup would require a briefing on at-sea reloading plans for VLS cells, reflecting demand for faster missile rearming in contested waters. Immigration Logistics Watch: ICE’s Utah warehouse purchase is drawing scrutiny after dozens of semitrailers appeared, fueling concerns about a shift from storage to detention operations. Energy & Data Centers: DOE projects data centers could reach up to 12% of U.S. electricity demand by 2028, intensifying the need for grid buildout. Trade & Security: A bill would block Chinese-connected vehicles entering via Canada and Mexico, citing data and surveillance risks. Maritime Policy: The House reauthorized the Northwest Straits Commission to support local marine habitat restoration in Puget Sound.

Maritime Security: Iran fired ballistic missiles and drones toward Kuwait and Bahrain; CENTCOM says U.S. forces shot down several missiles/drones and struck Iranian targets, as the Strait of Hormuz remains a key energy chokepoint. Sanctions & Shipping: Treasury is weighing a plan to let Gulf allies tap frozen Iranian assets for war damages, while OFAC blacklisted six more Iran-linked LPG carriers, tightening enforcement on the “shadow fleet.” Naval Logistics: The U.S. Navy christened the new USNS Thurgood Marshall (John Lewis-class oiler) at NASSCO in San Diego, underscoring underway replenishment capacity. Airpower Procurement: The Air Force awarded Kongsberg $240.9M for Joint Strike Missile production for F-35 long-range precision strike. Aviation Disruption Costs: IATA warns airline profits could be cut in half in 2026 due to Middle East war-driven jet fuel shortages and higher costs. Road & Fuel Watch: Gas prices stayed volatile in the U.S., with multiple counties reporting lowest-in-week regular/midgrade/diesel deals around late May.

Gulf Shipping Security: The U.S. shot down two Iranian one-way attack drones over the Strait of Hormuz, saying they threatened international maritime traffic, as the conflict heads toward its 100th day and shipping risk keeps rising. Defense Logistics: The Pentagon is adjusting to a prolonged, low-grade war footing—replenishing depleted munitions and keeping forces at high readiness while Iran continues counterattacks against Gulf allies. Reconstruction Funding: Washington is weighing using frozen Iranian assets to help repair damage in Gulf states, even as Iran demands release of $24 billion as part of any broader deal. Airline Cost Pressure: IATA warned more carriers could fail or consolidate as jet fuel prices stay elevated from the Iran war’s knock-on effects. World Cup Mobility: Uber is rolling out World Cup shuttle rides and a Travel Pass aimed at cutting transport costs without surge pricing, targeting major U.S. host cities. Coast Guard Training: DHS cut the ribbon on a new Coast Guard training center in Birmingham, expanding enlisted instruction capacity.

Gulf Shipping Tensions: The U.S. struck Iranian coastal radar sites after intercepting drones aimed at the Strait of Hormuz, while Iran warned the April ceasefire was broken and fired at tankers and U.S. bases in Kuwait and Bahrain—raising fresh risk for maritime traffic and fuel flows. Sanctions & Asset Use: The U.S. is weighing redirecting Iranian assets to help Gulf allies pay for reconstruction and repairs tied to Iran-caused damage, a move that could further strain a fragile ceasefire. Air Travel Recovery: Etihad says it’s moving ahead with “double-digit” widebody growth through 2031 despite earlier airspace disruptions, signaling demand rebound for long-haul networks. Low-Cost Expansion: Breeze Airways’ CEO says the airline is targeting a 2027 IPO, depending on market conditions, as it builds point-to-point service between mid-sized U.S. cities and expands internationally. Biofuels Mandates: Biodiesel and renewable diesel producers are ramping up to meet EPA Renewable Volume Obligations for 2026–2027 after a big jump in required volumes. Postal Fleet Upgrade: USPS delivered six new next-generation delivery vehicles to a Danville facility to replace aging LLVs, boosting safety features and package capacity. Training & Labor: Dycom is building a 49-acre “fake town” in Georgia to train data-center trades, aiming to grow the skilled workforce pipeline.

Middle East Shipping Security: The U.S. shot down Iranian drones aimed at the Strait of Hormuz and struck coastal radar sites on Qeshm Island and elsewhere, as Iran warned it could widen the conflict and interceptors reported missile and drone activity over Kuwait and Bahrain. Energy Infrastructure: Delfin Midstream secured $5B financing for a first floating LNG terminal off Louisiana, targeting 4.4 million tons annually at start-up and positioning the Gulf Coast for more export capacity. Labor & Logistics Economy: The U.S. added 172,000 jobs in May (unemployment 4.3%), but transportation/warehousing saw job losses while hospitality and local government led gains—an uneven signal for freight demand. Industrial Real Estate: Central Ohio’s warehouse boom may look plain, but it underpins roughly 300,000 jobs tied to manufacturing and trade/transport/utilities. Auto Supply Chain: Ford is testing a 2027 all-electric midsize pickup while GM faces pickup production pressure after a supplier strike, and Novelis plans to restart its Oswego hot mill to ease aluminum supply constraints. Training & Workforce: NWTC Aurora added a path to a Wisconsin Class B commercial driver’s license, aiming to feed local trucking needs.

Maritime Security: U.S. Central Command says it shot down four Iranian drones aimed toward the Strait of Hormuz and struck Iran coastal radar sites, as the U.S.-Iran ceasefire talks near the 100-day mark. Sanctions & Energy Flows: Cuba rejected Secretary of State Marco Rubio’s claim the U.S. doesn’t block oil shipments, pointing to an order that penalizes third countries supplying fuel to the island. Road Safety: A deadly crash shut all northbound lanes of U.S. 301 at Normandy Blvd in Florida, while Kentucky’s I-65 “can opener” bridge keeps drawing truck hits despite added warning signs and new in-cab alert tech. Rail & Freight Demand: The AAR reports annual gains in U.S. rail carloads (+4.0%) and intermodal (+10.0%) for the week ending May 30. Trucking Liability: A Supreme Court Montgomery ruling on broker liability under the FAA preemption framework is expected to keep carrier vetting and insurance questions in focus. Logistics Crime: Uzbek-born suspects were charged in a reported $4.5M cargo theft scheme using fraudulent shipment paperwork across multiple states. Aviation Innovation: NASA’s X-59 hit Mach 1.1 on its first supersonic flight, targeting quieter supersonic travel later this year. Ports & Vessels: The historic tall ship U.S. Brig Niagara is preparing for a 2,000-mile Seaway transit back to Lake Erie for America’s 250th birthday.

Supply-Chain & Inflation Watch: The May 2026 Logistics Managers’ Index points to transportation costs surging to the highest level in nearly 10 years, with capacity tightening and utilization staying elevated—warning that supply-driven inflation is harder for the Fed to cool. Energy & Fuel Logistics: With Iran’s Hormuz disruption draining global supply, Cushing, Okla. storage is reportedly nearing operational minimums as refiners scramble for crude, a move that can ripple through freight and pricing. Air Travel Disruption: American Airlines will temporarily suspend select summer routes, citing higher jet fuel costs tied to the Iran conflict, with affected passengers facing refunds or rebooking. Roads & Maintenance Pressure: A new look at U.S. roadway conditions highlights how deferred repairs still threaten safety and raise congestion costs, even after IIJA funding kicked off thousands of projects. Mobility Tech: VEON’s Kyivstar unit says Uklon will acquire scooter operator E-wings, expanding ride-hailing into a broader multimodal mobility platform. Transit Safety Probe: Federal investigators are looking into Atlanta’s MARTA after back-to-back stabbings.

Transit Safety Probe: The Trump administration is launching a federal investigation into Atlanta’s MARTA after a fatal stabbing on a train, with the Federal Transit Administration set to audit worker and rider safety amid claims of violence far above the national average. Road Conditions & Funding Pressure: New reporting highlights how major U.S. roadways remain in poor shape despite the IIJA’s $110B push, with funding set to expire in October 2026—raising stakes for repairs that affect trucking, congestion, and safety. Fuel Prices Watch: GasBuddy data shows weekly lows in multiple counties, including Oklahoma County’s regular at $3.09 (week ending May 30), underscoring how volatile 2026 fuel costs remain as oil markets react to Iran and shipping risk. Maritime Operations: The U.S. Navy fired top leadership at its Japan shipyard maintenance facility, citing a “loss of confidence,” while a separate piece flags international tall-ship plans for NYC’s Sail4th 250. Urban Infrastructure: Vallejo’s new public works director says the city will tackle potholes with preventive maintenance, while a Florida traffic advisory warns of lane closures for underground fiber work. Aviation/Defense: The Marines validated urban warfare readiness with integrated 5th-gen airpower, and the Navy continues to reshuffle leadership and assets across overseas maintenance and training.

Rail Safety: A train derailment in Iowa killed 1 after a collision with a semi, blocking Highway 21 as crews worked to clear the scene. Roadworks: Indiana DOT scheduled a week of bridge maintenance on U.S. 41 near Oaktown, with lane restrictions on both directions. Maritime Infrastructure: A giant portal crane (“Big Blue,” P-82) left Wisconsin on a long tow to Hawaii’s Pearl Harbor Naval Shipyard as part of a major shipyard upgrade program. Public Safety Tech: Cedarburg, Wisconsin installed 12 automated license plate readers at busy intersections and “ins and outs,” aiming to speed investigations and alerts. Immigration Detention Oversight: Protests at ICE’s Delaney Hall in Newark, N.J. escalated amid allegations of inhumane conditions; GEO Group and DHS deny wrongdoing. Shipping & Security: A Russian ship tied to North Korean arms smuggling docked at India’s Kochi port, raising sanctions concerns. Aviation/Defense: The U.S. cleared Vietnam for C-130 sustainment support, signaling possible future Hercules buys. Health on the Move: A cruise ship hantavirus outbreak renewed calls for treatments and vaccines as researchers report new leads. Transit Governance: Georgia’s new transit planning authority board is taking shape after Gov. Kemp’s appointments drew criticism over lack of south metro representation. Geopolitics Affecting Logistics: U.S.-Iran ceasefire talks remain fragile as strikes and threats continue, keeping shipping risk and fuel-market pressure in focus.