US Cargo Screening Deadline Looms For Airlines –

An imminent deadline for screening of all domestic U.S. cargo on passenger jets appears likely to trigger some bottlenecks and higher shipping costs, though freight-sector players are hopeful the disruptions will be minimal.

“There’s not going to be a meltdown in the supply chain” once the federal mandate takes effect Aug. 1, said Dave Brooks, president of the cargo division at AMR Corp.’s (AMR) American Airlines unit.

But Brooks said there may be “a few headaches” initially, and unprepared shippers could face delays.