Logistics operators are starting to make some painful adjustments as shipping demand retreats. Digital-focused freight forwarder Flexport says it is laying off about 20% of its global workforce, the WSJ Logistics Report’s Liz Young writes, in a sign that the job-cutting drive hitting some businesses is now reaching into the logistics sector. The cuts at Flexport come less than a year after the company raised $935 million and reached an $8 billion valuation. Flexport has carved out a place in the global freight market, but venture-capital investors are pressing tech startups for profits and sagging demand is adding to strains in the shipping arena. That may explain why Flexport says it is also shifting its focus toward more high-value supply-chain services through its tech platform. That business comes at a value-added premium, and Flexport hopes it also moves the company up in the logistics ranks.

• Several U.S. companies are slashing staff at the beginning of 2023. Here is a list. (WSJ) 

The solar supply chain in the U.S. is getting a multibillion dollar boost. South Korea’s Hanwha Group plans to spend $2.5 billion to build solar manufacturing capabilities in Georgia. The WSJ’s Phred Dvorak reports the investment would allow the conglomerate’s Qcells unit to build facilities in the Atlanta region that would produce 3.3 gigawatts of solar panels a year, enough to supply around 18% of the estimated U.S. demand in 2022. The plan marks the biggest solar investment spurred so far by the massive tax incentives introduced last year. U.S. aims to scale up clean-energy sources have been hampered by big gaps in the solar sector’s supply chain in North America. The Qcells operation would solve that by producing on-site nearly all the main components that go into panels, including solar cells, ingots and wafers—items not currently manufactured in the U.S.

• Tesla is considering more than $775 million in expansions at its electric-vehicle plant near Austin, Texas. (WSJ)

An outage in a key Federal Aviation Administration system disrupted airline operations across the U.S. (WSJ)

The U.S. and its allies are preparing a new round of sanctions on Russia’s oil industry. (WSJ)

The U.S., Canada and Mexico agreed to cooperate in plotting their semiconductor supply chain needs and investments. (WSJ)

Commodities trader Trafigura struck a deal to exit a major joint-venture with Russia’s Rosneft in India. (WSJ)

Federal regulators are investigating supplier pricing practices in the U.S. beverage market by Coca-Cola and PepsiCo. (WSJ)

Spirit Airlines pilots approved a two-year agreement that will boost their pay by an average of 34%. (WSJ)

Apple plans to start making its own custom displays for mobile devices as soon as 2024. (Bloomberg)

Chinese Samsung and Apple supplier BOE Technology plans to build two display-screen factories in Vietnam. (Reuters)

China’s semiconductor sales to the rest of the world fell 21% in November. (South China Morning Post)

Ford is expected to replace South Korea's SK On as its partner for a new electric vehicle battery plant in Turkey with LG Energy Solution. (Nikkei Asia)

Royal Mail was hit by a “cyber incident” that left the U.K. postal service unable to send parcels and letters overseas. (Financial Times)

Euronav is threatening legal action after accusing rival tanker operator Frontline of breaching their merger terms. (TradeWinds)

New container ships representing 10% of existing capacity are due to be delivered this year. (Lloyd’s List)

Chinese auto makers are ordering car carriers because of frustration with shpping capacity. (Automotive Logistics)

Hapag-Lloyd is building a transshipment terminal with annual handling capacity of 3.3 million containers in Egypt. (Port Technology)

Canada will soon require freight railroads to provide more detailed performance data. (Progressive Railroading)

Less-than-truckload carrier Estes Express Lines promoted Webb Estes to president and chief operating officer. (DC Velocity)

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

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