Two years after a cold-storage operator delivered the year’s largest public offering, the U.S. market for refrigerated warehouse space is in the deep freeze.

The WSJ Logistics Report’s Liz Young writes that the cold-storage industry is coping with mismatched supply and demand following a period of frenzied leasing and construction during the Covid-19 pandemic.

The CEO of New Jersey-based FreezPak Logistics predicts that many of the developers who jumped into cold storage during the pandemic-driven boom will struggle to stay open, in part because of rising electricity costs and weak demand.

It’s a sharp turnaround from the pandemic when food producers, distributors and retailers rushed to secure storage for fresh and frozen foods and to position online groceries and meal-kit services close to customers. In 2024, the initial public offering of the world’s largest cold-storage operator by capacity, Lineage, was the year’s largest IPO. The company’s stock price has since plunged 55% on weaker demand.

By the fourth quarter of last year, the vacancy rate for U.S. temperature-controlled warehouses hit a 20-year high of 6.9%, more than double the rate five years earlier, according to real-estate services firm Newmark. Industry specialists say an expected slowdown in cold-storage construction should help to reverse the decline.

The U.S.-Israel war against Iran isn’t threatening European factories as much as Russia’s 2022 invasion of Ukraine. That’s because the current fuel crisis is a price spike, not a shortage, writes the WSJ’s Don Nico Forbes. It’s also because European industry relies more on gas than oil, and gas prices haven’t been as heavily affected by the war. European natural-gas prices are about 60 euros a megawatt hour today, one-fifth the cost of 2022.

A few years ago, European companies worried they wouldn’t be able to buy enough energy to keep factories running. Today, they have access to fuel and can pass on higher energy costs to customers. Their bigger concern is the effect higher fuel costs will have on inflation and consumer spending. Consumer confidence in the eurozone recently showed a sharp deterioration. Manufacturers are also worried that if the war drags on, gas prices could rise.

• German chemicals giant BASF is hiking prices because of an increase in costs due to the war in the Middle East. (WSJ)

U.S. import prices rose in February. (WSJ)

European militaries are boosting their use of alternative fuels to reduce reliance on oil. (WSJ)

A new copper project in Arizona is expected to be the country’s third largest source of the refined copper by year-end. (WSJ)

Conflict in the Gulf region is hitting supplies of helium, a byproduct of natural-gas production that is key to chip making. (WSJ)

Sony Group and Honda Motor canceled a jointly developed electric sedan. (WSJ)

German shipowners are calling for a civilian “sea service” to strengthen the country’s ability to keep trade moving during crises. (Splash 247)

Chinese carrier Cosco Shipping Lines resumed container bookings from the Far East to the Middle East. (TradeWinds)

The so-called shadow fleet of tankers that carry sanctioned oil are poised to emerge from the Middle East war stronger than ever. (Financial Times)

Soaring fuel prices and a crackdown on non-domiciled commercial drivers’ licenses are helping to lift trucking rates. (Journal of Commerce)

Singapore-based Ocean Network Express is planning a major expansion of its containership fleet. (Lloyd’s List)

Ocado called police on logistics-automation rival Brightpick at a trade show, alleging the company infringed on one of its patents. (The Grocer)

Japanese robotics giant Fanuc plans to invest $90 million to build a plant in Michigan. (Crain's Detroit Business)

European maritime officials are warning ships to steer clear of an Iranian dhow that was reportedly hijacked by Somali pirates and could be used to attack other ships. (The Maritime Executive)

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.