Commodities markets are starting to buckle under the crisis engulfing property developer China Evergrande. Iron-ore prices are down more than 50% since mid-July and fell this week to their lowest levels in 14 months, the WSJ’s David Winning reports, amid worries that pressure on China’s huge property market will translate into lower appetite for steel. Evergrande’s difficulties are the most visible sign of the worsening climate for China's real-estate companies, and a sign of how economic stresses can reverberate through supply chains. Iron ore is at the sharp end of a possibly bruising period for commodities prices. A global economic rebound and supply-chain disruptions lifted prices for baseline industrial materials such as iron ore and copper to records earlier this year, helping push a recovery in the dry-bulk shipping sector. Investors now worry that rolling back construction activity in China would lead to a supply glut of commodities. 

Amazon is facing a new politically-charged headquarters controversy, this time in Africa. The U.S. e-commerce behemoth is facing a fight over plans to establish a regional base in Cape Town, South Africa, at a site that some indigenous groups say is sacred. The WSJ’s Alexandra Wexler reports that Amazon is slated to be the anchor tenant in a $350 million mixed-use development that backers say will turn private land into a magnet for jobs and investment. It’s also seen as a beachhead for Amazon’s bid to expand its presence on a continent where poor infrastructure, constrained logistics and low smartphone penetration have delayed the arrival of online delivery services. The controversy puts Amazon in a defensive position as it faces criticism over its operations and its presence in other countries. Opponents point to concerns over the rezoning process and the environmental impact of the project. But construction is continuing.

The semiconductor shortage is reaching into seemingly unlikely commodities markets. The pullback in automotive production that is driving a new-car shortage is also dragging palladium prices toward their worst month in a decade. The WSJ’s Hardika Singh reports that palladium is a key ingredient in emission filters for gasoline engines and that prices for platinum, which is used in catalytic converters, are also slipping. The ripple effect from chip manufacturing to auto factories and then to metals producers highlights the intricate connections in global supply chains that have frayed during the pandemic. Platinum and palladium are particularly sensitive to economic swings since they have many industrial uses, but there are few signs that the slowdown in automotive production is easing. Several car makers have extended their cutbacks in recent weeks and shipments of automobiles and parts on U.S. railroads are far down from March levels.
 

A measure of U.S. business activity fell to its lowest level in a year last month while eurozone economic activity fell to a five-month low. (WSJ)

Initial U.S. jobless claims climbed slightly last week, largely on growing claims in California and Virginia. (WSJ)

Automotive, technology and semiconductor executives met with Biden administration officials on the global chip shortage. (WSJ)

California Gov. Gavin Newsom signed into law new restrictions on oversight of warehouse workers by Amazon and other employers. (WSJ)

Nike’s growth is being limited by supply-chain disruptions that have slowed the production and delivery of shoes and other goods. (WSJ)

Same-store sales at Costco Wholesale rose 9.4% in the latest quarter. (WSJ)

British Airways dropped its plans for a new short-haul subsidiary. (WSJ)

An American Chamber of Commerce in Shanghai survey shows Western companies in China are feeling the effects as the country increasingly turns inward. (WSJ)

BP closed dozens of service stations in the U.K. because truck drivers aren’t available to deliver fuel. (Financial Times)

KB Home says supply-chain disruptions held back its efforts to accelerate home construction. (Barron’s)

Union leaders say the reorganization of XPO Logistics doesn’t solve labor problems at the company. (The Guardian)

General Motors is investing $300 million in Chinese autonomous-vehicle startup Momenta. (Nikkei Asia)

Export container volume from major Chinese ports rose 5.7% over last year in the first part of September. (Seatrade Maritime)

About 5.5% of the global dry-bulk fleet is tied up in congestion off China ports, fueling rising commodities shipping rates. (Lloyd’s List)

Thailand plans to launch a national container shipping line to bolster its trade capabilities. (Bloomberg)

A.P. Moller-Maersk is investing in alternative-energy startup Prometheus Fuels. (ShippingWatch)

Singapore-based Synergy Maritime is buying the Maersk Tankers technical vessel-management business. (TradeWinds)

Air cargo handlers are facing staffing shortages in Europe and the U.S. (The Loadstar)

ShipMatrix says data show FedEx is lagging significantly behind its parcel rivals​ in on-time delivery. (Logistics Management)

Chief executives at Yellow and Werner Enterprises say trailer availability is trucking’s biggest challenge in coming quarters. (Transport Dive)

Digital freight procurement platform Emerge raised $130 million in a Series B funding round. (Journal of Commerce)

Mexico City-based last-mile logistics platform Cargamos raised $11 million in a seed funding round. (TechCrunch)

Warehouse builders face a backlog of up to two years as they try to recover from a pause in construction early in the pandemic. (DC Velocity)

Paul Page is editor of WSJ Logistics Report. Write to him at paul.page@wsj.com.

Follow the WSJ Logistics Report team: @PaulPage, @jensmithWSJ, and @pdberger. and @LydsOneal. Follow the WSJ Logistics Report on Twitter at @WSJLogistics.