UPS Crash; Justices Question Tariffs; Cencora Expands

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UPS Crash Toll Rises; High Court Sharply Questions Tariffs; Cencora Expands Cold Chain By Mark R. Long | WSJ Logistics Report

The cause of the crash of a United Parcel Service cargo jet was under investigation as the death toll rose to at least 11 people, with Kentucky Gov. Andy Beshear saying he expected that number to rise

to 12 or 13.

National Transportation Safety Board officials said an engine of the MD-11 plane detached from the left wing shortly after takeoff and fell on the airfield. Investigators said they located the plane's black boxes and would analyze them in Washington, D.C. In a statement Tuesday UPS said it was working with the NTSB and Federal Aviation Administration on their investigation of the crash, which also injured several people. UPS had halted operations at its main Worldport package-handling hub, warning scheduled delivery times for packages might be affected.

The 34-year-old plane had needed a critical repair on its fuel tank in September , The Wall Street Journal's Esther Fung and Benjamin Katz write. Flight records show it was grounded in San Antonio from Sept. 3 through at least Oct. 18, with a busy schedule once it returned to service. UPS didn't immediately respond to requests for comment on Wednesday. UPS and FedEx still fly dozens of the MD-11, a workhorse last produced in 2000.

The FAA ordered airline traffic cut by 10% at 40 airports while air-traffic controllers work without pay during the government shutdown . Transportation Secretary Sean Duffy said that, starting Friday, the reduction would help keep air travel safe as flight delays and cancellations pile up.

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Tariffs

Supreme Court justices expressed skepticism about President Trump's global tariffs during a nearly three-hour hearing about his authority

to impose sweeping measures on countries around the world.

The Trump administration's top lawyer faced sharp questioning, including from some members of the court's conservative wing. Lawyers representing tariff challengers were also pressed by some justices on what kind of limitations courts could impose on core presidential powers. The nine justices are weighing whether the president lawfully invoked his authority under a 1970s emergency-powers law to levy the tariffs without Congress's approval, as well as a set of tariffs related to fentanyl.

While a decision isn't expected immediately, questioning during the argument suggested that the tariffs may not survive the challenge-which would force the Trump administration to rely on other authorities

to deploy levies. The justices gave little indication how they might unwind

Trump's signature economic policy if the court were to strike down the tariffs.

Trump endorsed additional trade talks

with Switzerland after an Oval Office meeting with Swiss executives, including the heads of Mediterranean Shipping Co. and Rolex. (Bloomberg) Quotable Healthcare Logistics

Pharmaceutical distributor Cencora will invest $1 billion in its U.S. supply chain as demand soars for medications that need special handling and refrigeration.

The WSJ Logistics Report's Liz Young writes that the company-formerly called AmerisourceBergen-plans over the next five years to open two new distribution centers and expand an existing warehouse

that handles specialty drugs. Half of new medicines hitting the global market from 2023 to 2027 are expected to require cold storage , up from 37% of products launched between 2013 and 2017, according to healthcare research firm IQVIA.

Cencora also said its revenue grew about 6% to $83.7 billion for the quarter ended Sept. 30, which the company attributed in part to increased sales of GLP-1s and other specialty medications.

Number of the Day In Other News U.S. private-sector jobs increased by 42,000 in October , exceeding expectations and rebounding from previous declines, ADP said. (WSJ) U.S. services-sector activity returned to growth, as new orders accelerated

despite concerns among firms about the government shutdown and tariffs, a monthly survey said. (WSJ) German manufacturing orders and industrial production in France rebounded in September , signaling a recovery after trade uncertainty dented demand. (WSJ) Canadian Pacific Kansas City reached 13 new tentative collective agreements with labor unions in the U.S. (Dow Jones Newswires) Matson said lower rates and container volumes on its China service pressured third-quarter ocean shipping income , but the U.S. carrier's results beat expectations, boosting shares. (Dow Jones Newswires) Toyota Motor reported higher profit and raised its sales and earnings guidance , signaling its ability to withstand the expected $9 billion blow from U.S. tariffs. (WSJ) Bunge Global's net income fell on foreign-exchange losses but sales surged as the acquisition of grains firm Viterra allowed it to avoid some rivals' travails

in the soybean business. (WSJ) Denmark's Orsted booked a loss in the third quarter, which was hit by a stoppage to a major U.S. wind project , but stuck by its full-year targets. (WSJ) Vestas Wind Systems narrowed its full-year guidance , posted earnings that beat expectations and launched a $172 million share buyback. (WSJ) Amazon demanded that Perplexity stop allowing its AI browser agent to make purchases

on the e-commerce giant's site, prompting the AI startup to accuse Amazon of bullying. (Investor's Business Daily) Mediterranean Shipping Co. became the first containership carrier

to have a fleet with capacity of more than 7 million 20-foot-equivalent units. (TradeWinds) The U.S. Coast Guard issued requests for information from U.S. and allied shipbuilders seeking designs for icebreakers

to modernize its aging fleet. (gCaptain) A federal judge in Rhode Island ruled the Trump administration can't withhold transportation funding

to states that don't cooperate with immigration enforcement. (Politico) U.S. containerboard output fell 3.1%

in the third quarter from a year earlier and was down 3% compared with the first nine months of 2025, according to the American Forest & Paper Assoc. (Recycling Today) About Us

Mark R. Long is editor of WSJ Logistics Report. Reach him at [mark.long@wsj.com]. Follow the WSJ Logistics Report team on LinkedIn: Mark R. Long , Liz Young and Paul Berger .

This article is a text version of a Wall Street Journal newsletter published earlier today.

 

(END) Dow Jones Newswires

November 06, 2025 07:05 ET (12:05 GMT)

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