Are the odds in Buttigieg's favor?

Delivered every Monday by 10 a.m., Weekly Transportation examines the latest news in transportation and infrastructure politics and policy.
Jul 29, 2024 View in browser
 
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By Oriana Pawlyk

With help from Doug Palmer 

QUICK FIX

— DOT Secretary Pete Buttigieg's stock could be rising as the veepstakes continues. How well positioned is he for the opportunity?

— Online shoppers could be helping reduce roadway emissions.

— China-based drone maker DJI boosted its lobbying effort last quarter.

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Driving the day

ARE THE CHANCES GROWING DIM? DOT Secretary Pete Buttigieg has veep vibes — that’s at least the public perception surrounding Buttigieg since his sudden (re)burst onto television, social media and even the meme circuit.

Adam Wren and Christopher Cadelago report that “The Pete for Veep trial balloon is approaching mid-flight,” and that Buttigieg is open to serving alongside presidential hopeful Kamala Harris. (Buttigieg of late has been out front of the recent Delta Air Lines meltdown, interspersed with TV interviews jabbing back at Republican vice presidential contender Sen. JD Vance (R-Ohio) and rallying behind the Harris campaign.)

But some Harris allies may not be so warm to that prospect.

Adam and Christopher chatted with many of Harris’ confidantes who say the former California senator will be “ruthlessly pragmatic” about who she picks for the job. Others have thrown cold water on Buttigieg for having too much of an “inside-the-Beltway” feel at a time when the Democratic ticket needs to pivot toward key battleground states.

But Buttigieg does have one key advantage: Amid a compressed time frame for Harris to select a running mate, his advanced vetting status as a Senate-confirmed Cabinet member could make him appealing.

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Automobiles

YES, THEY’RE SHARING YOUR DATA: Sens. Ron Wyden (D-Ore.), and Edward Markey (D-Mass.) want the FTC to open an investigation into automakers disclosing driving data, which eventually makes its way into the hands of insurance companies — something manufacturers have admitted to doing, the senators say.

In a statement Friday, Wyden’s office said the Oregon senator's investigation earlier this year into automakers showed that driving data, like sudden braking and acceleration, is passed on to data brokers for subsequent resale to insurance companies. While FTC has taken some action, the senators want to hold the automakers — like GM, Honda and Hyundai — responsible for their data disclosure.

BUY ONLINE, SAVE A GALLON: The Chamber of Progress is expected to release a new report today that analyzes how online delivery reduces emissions and roadway usage. The analysis factors in how many gallons of gas are used in individual trips to the store and compares that with gas spent on online deliveries. The driving factor (no pun intended) is that a single e-commerce delivery route, on average, serves up to 200 customers per trip — whereas individual trips to the store serve a single household.

Rail

THEY’RE SAYING WHAT? The head of the Senate Commerce Committee last week sent a letter to the president of Union Pacific Railroad over reports that it tried to “coach” employees to respond a certain way in an FRA safety survey, potentially manipulating the results.

Sen. Maria Cantwell (D-Wash.) on Thursday said she was “deeply concerned” that FRA ultimately had to discontinue its audit assessment “due to Union Pacific’s actions to undermine the integrity of the assessment process.”

“FRA found that employees companywide — regardless of craft or employment location across 23 states — had been coached to provide specific responses to FRA safety inspector surveys and report the interactions they had with FRA inspectors to their supervisors,” Cantwell wrote in her letter to Union Pacific’s President Beth Whited.

And now, the senator wants documentation on the company's communication regarding the FRA’s safety culture audit, more insight on the company's current policies and details on its plans “to improve its safety culture and ensure employees can report safety problems without fear of retaliation.”

A spokesperson for Union Pacific told POLITICO in a statement on Friday that safety “is the key foundational pillar of everything we do, and we appreciate the letter from the Senator and Committee and will respond with facts to the questions that were presented.” The spokesperson said that the railroad also closely works with FRA to look for ways it can ensure its business is safe.

 

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drones

DJI boosts lobbying efforts: Our colleagues at POLITICO Influence have run the numbers on some Chinese companies that have been in lawmakers’ crosshairs of late but nonetheless ramped up their lobbying last quarter.

Drone manufacturer DJI Technologies spent $380,000 on federal lobbying in the second quarter of this year — up from $310,000 in the first quarter of 2024. Lobbying firms Avoq and the Vogel Group both dropped the company in February, but DJI subsequently hired Sidley Austin, Porter Wright Morris & Arthur and Liberty Government Affairs.

Still, the lobbying effort is down from the $400,000 it spent in each quarter of 2023 and its quarterly record of $420,000 spent in the final months of 2020, when DJI was placed on a Commerce Department entity list.

The company faced a new legislative threat this summer, with the House including language in its version of the National Defense Authorization Act that would block DJI drones from accessing FCC infrastructure. PI has the rundown for how other Chinese companies compare.

Trade

U.S. DELAYS CHINA’S IRA CHALLENGE: The United States on Friday blocked China’s request for a WTO dispute settlement panel to decide whether key provisions of President Joe Biden’s Inflation Reduction Act violate global trade rules.

Beijing can make a second request for a panel, which the United States will not be able to block, at the WTO’s next Dispute Settlement Body meeting on September 23. It could also request a special DSB meeting earlier, if it prefers not to wait.

‘Hypocrisy’: While it is fairly routine for countries to block initial panel requests, the United States delivered a long defense during Friday’s DSB meeting of the subsidies provided for electric vehicles and other clean energy priorities under IRA. The U.S. delegate at the meeting also accused China of trade “hypocrisy” given Beijing’s own actions.

“In short, it is hypocritical for China to target the U.S. measures in this dispute while failing to address its industrial targeting of clean energy sectors and its use of non-market policies and practices that are detrimental to all Members,” the U.S. delegate said. “China’s approach has created an untenable situation for governments seeking to meet their climate, resiliency, and other legitimate policy objectives.”

For its part, China argued that there are many “deeply problematic” elements of IRA, but it was limiting its challenge to those provisions that are “clearly prohibited under WTO rules” or that otherwise discriminate against goods of Chinese origin, according to a Geneva-based trade official who summarized China’s comments. Those include subsidies provided by IRA that are contingent upon the use of domestic goods, rather than imported goods.

The Autobahn

— “Unions play it cool in veepstakes.” POLITICO.

— “Boeing asks suppliers for decade-long titanium paper trail as check for forgeries widens.” Reuters.

— “Green aviation solutions have yet to take off as climate restrictions loom.” Seattle Times

— “Biden made history with his climate actions. Here’s how Trump could unravel them.” POLITICO

— “The life of two Boeing Starliner astronauts stuck indefinitely in space.” Washington Post.

— “Can Fees on Polluting Cars Clean the Air? London Has New Evidence.” New York Times.

— “60 Million Miles And Counting: Robotaxis Shift Into High Gear.” Forbes.

— “French minister says foreign involvement not ruled out in rail sabotage.” Reuters.

 

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