FAA fines firms for unsafe lithium-ion battery shipments on cargo jets

FedEx and UPS identified shipments after packages caught on fire

U.S. and international rules for shipping dangerous goods call for shipments containing batteries to have a hazardous warning label. (Image: Shutterstock/nik_nadal)
Gemini Sparkle

Key Takeaways:

  • The FAA fined three companies (Mobile Sentrix, Mokwheel Bikes, and LG Energy Solution) a total of over $300,000 for shipping lithium-ion batteries that were undeclared, improperly packaged, and/or mislabeled, resulting in fires and safety hazards.
  • These violations involved the dangerous goods regulations set by the U.S. Department of Transportation, IATA, and major carriers (FedEx and UPS), highlighting the risks associated with improperly handled lithium-ion batteries.
  • The incidents underscore the need for stricter enforcement of hazmat regulations for lithium-ion batteries due to their increasing prevalence and potential for causing fires on aircraft.
  • Companies must ensure proper training for employees handling lithium-ion batteries and comply with established global safety standards for packaging, labeling, and documentation.
See a mistake? Contact us.

The Federal Aviation Administration last week issued fines to three companies for alleged violations of hazardous material regulations after shipping lithium-ion batteries on FedEx and UPS cargo aircraft. In two of the incidents, a package of batteries caught on fire. 

Lithium-ion batteries pose chemical and electrical hazards during transport — especially if they are damaged, improperly packaged, or short-circuited.

Regulations from the U.S. Department of Transportation, International Air Transport Association (IATA), and major carriers like FedEx and UPSclassify lithium batteries as Class 9 dangerous goods and enforce strict packaging and labeling requirements.

The FAA slapped Mobile Sentrix, based in Manassas, Virginia, with a $170,000 civil penalty for tendering undeclared and improperly packaged shipments of mobile phone lithium-ion batteries to FedEx on four occasions last year, including one incident in which a small fire occurred and three batteries melted together. 

Ontario, California-based Mokwheel Bikes was fined $74,250 for offering an undeclared hazmat shipment containing lithium-ion batteries in late 2023 to UPS for air transport to Shenzhen, China. The FAA said the company also failed to provide proper hazardous material training for employees and include emergency response information in shipping papers. 

UPS personnel discovered the shipment at the company’s sorting facility in Anchorage, en route to China, the agency said in a news release.

The FAA also fined LG Energy Solution of Seoul, South Korea, $60,000 for not declaring and labeling a package with five lithium-ion batteries shipped to Los Angeles through FedEx. FedEx workers discovered the shipment when it emitted heat, smoke, ember and flames in its sorting facility in Irvine, California. One or more of the lithium-ion batteries was charred and melted. 

The FAA alleges on Jan. 4, 2024, the company offered an undeclared and improperly packaged and labeled shipment of five lithium-ion batteries from Seoul to Los Angeles. FedEx personnel discovered the shipment when it emitted heat, smoke, ember, and flames in its sorting facility in Irvine, California. One or more of the lithium-ion batteries was charred and melted.  

None of the shipments from the companies were properly classified, described, marked, labeled, or packaged to prevent sparks or heat transfer, the FAA said.

Lithium-ion batteries can be carried by air depending on their configuration and other specifications. 

The airline industry has warned for years about the need for better enforcement of hazmat rules as lithium-ion batteries become ubiquitous and uneducated or unscrupulous shippers increasingly send shipments that could pose a threat to aircraft.

Shipments of lithium batteries must comply with well-established global safety standards for how they are manufactured, tested, packed, marked, labeled and documented. IATA has developed in-depth guidance on proper battery handling for shippers, freight forwarders, ground handlers, airlines and passengers. 

Click here for more FreightWaves/American Shipper stories by Eric Kulisch.

Write to Eric Kulisch at ekulisch@freightwaves.com.

Maersk Air Cargo expands freighter network to South America

Amazon promises equal priority for third-party air cargo, own parcels

Eric Kulisch

Eric is the Parcel and Air Cargo Editor at FreightWaves. An award-winning business journalist with extensive experience covering the logistics sector, Eric spent nearly two years as the Washington, D.C., correspondent for Automotive News, where he focused on regulatory and policy issues surrounding autonomous vehicles, mobility, fuel economy and safety. He has won two regional Gold Medals and a Silver Medal from the American Society of Business Publication Editors for government and trade coverage, and news analysis. He was voted best for feature writing and commentary in the Trade/Newsletter category by the D.C. Chapter of the Society of Professional Journalists. He was runner up for News Journalist and Supply Chain Journalist of the Year in the Seahorse Freight Association's 2024 journalism award competition. In December 2022, Eric was voted runner up for Air Cargo Journalist. He won the group's Environmental Journalist of the Year award in 2014 and was the 2013 Supply Chain Journalist of the Year. As associate editor at American Shipper Magazine for more than a decade, he wrote about trade, freight transportation and supply chains. He has appeared on Marketplace, ABC News and National Public Radio to talk about logistics issues in the news. Eric is based in Vancouver, Washington. He can be reached for comments and tips at ekulisch@freightwaves.com