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FAA proposes $120,000 penalty for UPS dangerous goods violation

UPS says it acted properly

Dangerous goods must be properly labeled and can be prohibited from passenger aircraft. (Photo Credit: UPS)

The U.S. Federal Aviation Administration on Friday said it intends to fine integrated logistics giant UPS $120,000 for shipping a consignment of lithium batteries in an unsafe manner.

The decision comes on the heels of airfreight interests stepping up pressure on governments to enforce violations of regulations governing dangerous goods, especially lithium ion batteries, on cargo aircraft, as FreightWaves highlighted this week.

Acting as a freight agent on behalf of a customer, UPS allegedly tendered the shipment to the company’s in-house airline for transport from Ontario, California, to its Worldport hub in Louisville, Kentucky.

Employees at the UPS facility in Louisville examined the contents of the shipment and discovered that it contained multiple loosely packed lithium batteries that had no protection from short circuit, were damaged and several of which were in a reactive state, the FAA alleged.


Lithium ion batteries that are damaged, defective and likely to generate a dangerous buildup of heat are forbidden for air transportation on cargo and passenger aircraft.

The FAA alleges the shipment was not properly packaged, was not accompanied by a Shipper’s Declaration for Dangerous Goods and was not properly described, marked or labeled to indicate the hazardous nature of its contents. The FAA also alleges UPS failed to include emergency response information with the shipment.

“UPS disagrees with FAA’s assertion. We discovered the unauthorized shipment through UPS’s compliance process and immediately reported the issue to the FAA. Safety is our highest priority. In addition to complying with all federal regulations, UPS goes beyond what federal regulations require to help ensure the safety of our employees and the general public. We are reviewing the FAA’s notification and will respond within the required timeframe,” the company said in a statement provided to FreightWaves.

UPS has 30 days after receiving the FAA’s enforcement letter to respond to the agency, after which a final decision will be made.


The International Air Transport Association and other freight-related trade groups have expressed increasing frustration with governments for not aggressively enforcing rules on air transport of lithium batteries, especially those that willfully disguise the shipment’s content in documentation. IATA recently created a database to capture such incidents and alert authorities.

In related news, the FAA proposed a $57,400 penalty against Alaska Airlines for alleged drug and alcohol testing violations. The agency alleged Alaska transferred four employees into safety-sensitive functions in January 2018 but failed to initially include them in the company’s random drug and alcohol testing pool.

Three of the employees performed aircraft maintenance duties and one served as a ground security coordinator. All four performed safety-sensitive duties when they were not included in the drug and alcohol testing pool, the FAA alleges.

Alaska has asked to meet with the FAA to discuss the case.

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Eric Kulisch

Eric is the Supply Chain 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 won Environmental Journalist of the Year from the Seahorse Freight Association in 2014 and was the group's 2013 Supply Chain Journalist of the Year. In December 2022, he was voted runner up for Air Cargo Journalist by the Seahorse Freight Association. As associate editor at American Shipper Magazine for more than a decade, he wrote about trade, freight transportation and supply chains. Eric is based in Portland, Oregon. He can be reached for comments and tips at [email protected]