Alarms over potential Chinese espionage through port container cranes are growing. A congressional probe identified communications equipment on some of the container-handling equipment, the WSJ’s Dustin Volz reports, fueling concerns that the commercial cranes manufactured in China may pose a national security risk. The investigation found over a dozen cellular modems were on crane components in use at one U.S. port, and another was found in another port’s server room. It isn’t unusual for modems to be installed on cranes to remotely monitor operations and track maintenance, but it appears some of the ports using cranes made by China’s ZPMC hadn’t asked for that capability. Lawmakers said ZPMC repeatedly requested remote access to U.S.-based cranes and other maritime infrastructure. The finding is likely to add momentum to White House efforts to replace the cranes with U.S.-made equipment and technology, plans laid out in a recent maritime security directive.

• China is implementing a “Delete America” directive to remove U.S. technology from state-owned operations by 2027. (WSJ) 

A fatal attack on a cargo ship south of Yemen will add pressure on vessel operators to steer away from the treacherous waters heading into the Red Sea. Three crew members on the Barbados-flagged bulk carrier True Confidence died in the attack claimed by Yemen’s Houthis. The WSJ’s Benoit Faucon and Costas Paris report the attack marks the first known loss of life since the rebel group began firing missiles at ships in the Red Sea region. The vessel was bringing Chinese steel products and trucks to Saudi Arabia and Jordan and was manned mostly by Filipinos. Some ships have braved the corridor, either because of military escorts or because of connections to countries such as China. The Houthis are seeking to disrupt international shipping, however, and this week’s attack on a vessel 50 nautical miles southwest of Aden suggests they have the capabilities to carry out the threat.

• The True Confidence was insured in the London war risk market by underwriter Navium Marine. (TradeWinds)
• The U.S. sanctioned two shipowners and the tankers authorities say are used to support Yemen’s Houthis. (Maritime Executive)
• Vespucci Maritime’s Lars Jensen says container lines have enough capacity to absorb diversions around the Red Sea. (Journal of Commerce)

U.S. imports jumped 1.1% from December to January while exports were almost flat. (MarketWatch)

The Federal Reserve says U.S. economic growth accelerated slightly at the start of 2024. (MarketWatch)

German factory orders sank 11.3% in January from the month before. (WSJ)

The U.S. military will build a temporary port off Gaza to allow for delivery of emergency supplies by commercial vessels. (WSJ)

Rivian Automotive is suspending construction of its $5 billion electric-car factory in Georgia. (WSJ)

The U.K.’s budget watchdog says the country’s economy is on track to absorb a 4% hit from Brexit. (Bloomberg)

U.S. importers are holding back on signing new container shipping contracts, gambling the impact of the rate spike from Red Sea vessel attacks will fade. (Reuters)

Japan’s warehouse operators are turning to increasingly sophisticated technology to cope with a shortage of workers. (Nikkei Asia)

Amazon is slowing its efforts to build country-specific storefronts in different parts of the world. (The Information)

Chinese e-commerce giant JD.com’s logistics unit confirmed the company inflated revenue figures and costs to hit its financial targets. (Caixin Global)

Japan's antitrust watchdog says automaker Nissan illegally reduced payments to subcontractors by about $20 million over two years. (Kyodo News)

Revenue at Lufthansa Cargo fell 36% last year and the airline unit’s adjusted operating profit plummeted 86%. (Air Cargo News)

Freight broker BlueGrace Logistics acquired supply chain technology provider Evos Smart Tools. (Logistics Management)

• Securities regulators approved scaled-back climate disclosure rules, but requirements in Europe and California mean many companies may still have to report so-called Scope 3 emissions.
• Customers of defunct wine marketplace Underground Cellar fought for months to recover their wine. They won, if they are willing to heft fees and shipping costs.
• Venture capitalists are financing drugmakers seeking to improve on today’s blockbuster weight-loss medications or combat their side effects.
• Miami Beach is kicking sand on spring break revelers this year. 

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 X at @WSJLogistics.