Supply-chain bottlenecks are colliding with cargo theft in Southern California, creating a new headache for U.S. importers. Thieves have been plundering idle rail cars in brazen operations in Los Angeles, making off with enormous amounts of merchandise and littering tracks with empty packages and looted containers. The WSJ’s Paul Ziobro and Ian Lovett report the scene has triggered finger-pointing between Union Pacific and local authorities over who is to blame and how to secure a crucial corridor for American inbound shipping. Many of the thousands of boxes strewn alongside rail lines are Amazon, United Parcel Service and FedEx shipments, along with boxes bound for a broad range of retailers and consumer goods suppliers. Union Pacific has ramped up security in the area with agents and new detection systems. But the railroad says local police aren’t doing enough and that people arrested for such thefts are often treated leniently.

The Covid-19 Omicron variant is leading to new strains in U.S. food supply chains. The growing number of cases is stretching workforces from processing plants to grocery stores, the WSJ’s Jesse Newman and Jaewon Kang report, leaving gaps on supermarket shelves and pushing stores to revive pandemic-era strategies aimed at securing goods. Food-industry executives and analysts warn that the latest shortfalls could persist for weeks or months as food suppliers, distribution centers and transportation operators try to catch up. The variant’s impact shows that supply chains for a wide range of goods remain fragile nearly two years after the pandemic began. Some executives say supply challenges are worse than ever, with safety stocks depleted and deliveries from key suppliers unpredictable. Still, supermarkets and food providers say overall supplies remain ample and that stores and consumers will have to switch brands and choose alternatives for goods running low.

An old market town in Northern England offers a lesson on the deep changes e-commerce is exerting on local economies. Many merchants in Darlington, in County Durham, have blamed Amazon in part for the closures of a raft of local shops that have transformed the town in recent years. The WSJ’s Trefor Moss reports officials are reassessing the U.S. online behemoth since Amazon added a warehouse there in early 2020, bringing in hundreds of new jobs that are helping deliver an economic boost to the town. Concerns about Amazon’s dominance haven’t gone away in Darlington and Amazon remains a target of protests. But the softening attitude suggests that Amazon’s investment is having an impact on local perceptions. Amazon has spent some $89 billion since 2010 on an accelerating expansion across Europe and the U.K. and transforming the community response may be as important as reshaping local business districts.

The Conference Board’s index of leading U.S. economic indicators rose a steady 0.8% in December. (MarketWatch)

The U.S. suspended 44 flights operated by Chinese airlines in response to similar measures taken by China’s aviation authorities. (WSJ)

Airbus scrapped a $6 billion jet contract with Qatar Airways amid an escalating legal battle over the quality of paint on the carrier’s aircraft. (WSJ)

France’s TotalEnergies and Chevron are withdrawing from Myanmar over shareholder pressure and a deteriorating human-rights situation following a coupe. (WSJ)

A consortium backed by activist hedge fund Starboard Value is offering roughly $9 billion to buy department store Kohl’s. (WSJ)

A Senate panel approved legislation forbidding large tech platforms from favoring their own products over those of their competitors. (WSJ)

The U.S. Postal Service’s mission to deliver 500 million coronavirus test kits casts it in an unprecedented role in the nation’s pandemic response. (Washington Post)

Shopify is sharply reducing its capacity to pack and ship orders for merchants as the e-commerce platform resets its fulfillment strategy. (Insider)

Chinese regulators told internet platforms including Alibaba to better protect the rights of gig-economy workers. (South China Morning Post)

Gopuff has expanded its instant-delivery business in Europe faster than projected but still faces high hurdles in London. (The Information)

Nike says added automation in its distribution operations will help the sports apparel company solve supply-chain problems. (Footwear News)

Apparel materials supplier Invista signed an agreement to help develop nylon production in China. (Sourcing Journal)

South Carolina’s Port of Charleston says a backlog of container ships could take six weeks to clear. (Journal of Commerce)

Mediterranean Shipping Co. suspended some land operations in Brazil over concerns of activities by drug smugglers. (Splash 247)

U.K. logistics companies report signs that a critical shortage of truck drivers is easing. (Motor Transport)

MasAir Cargo took the first Airbus A330 converted freighter it will operate in Latin America as part of a fleet overhaul. (Aviacionline)

E-commerce shipment tracking startup Route raised $200 million in a new funding round that values the company at $1.3 billion. (PYMNTS)

Sears Auto Centers closed the last of its 15 stores. (Tire Business)

French poultry farmers will kill millions of birds for a second straight year as a bird flu crisis deepens across Europe. (Bloomberg)

Regional officials approved plans for a 3.5 million-square-foot logistics development near Doncaster in central U.K. (Logistics Manager)

Hollister, Calif., authorities approved construction of a 1 million-square-foot distribution center for an unnamed customer under a plan called Project Almond. (BenitoLink)

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.