An ocean container capacity crunch has hit global trade just as peak shipping season starts, with freight spot rates up some 30% over the past few weeks and heading higher.
Bad weather, longer ocean transits, and vessels skipping ports are adding to the supply chain issues.
The beginning of peak shipping season, coupled with the longer transits to avoid the Red Sea, and bad weather in Asia, have hit the flow of trade on key routes. Ocean carriers are skipping ports or decreasing their time at port, and not picking up empty containers, in an effort to keep vessels on track for delivery.
DHL has been warning about about a container crunch since January because of the longer routes needed to avoid the Red Sea since the Houthi attacks began. Containers are out on the water longer and as a result not available to be reloaded. The availability of containers has been slowed even further by the bad weather impacting port operations in China, Malaysia, and Singapore.
Bad weather in East Asia at the end of April created some further delays, which was one factor leading ocean carriers to skip some port calls or shorten their turnaround at destination ports to make up time. That also means fewer empty containers have been brought back to China.
According to an Honour Lane Shipping note to clients, the “huge rate increases” could push the market to a new post-pandemic high. ″While spot rates continue to soar, capacity out of Asia continues to tighten,” HLS wrote to clients, and that has allowed carriers to implement a “diamond rate … played during pandemic period,” it added.
Citing the re-routing of ships around the Horn of Africa due to the Red Sea issues accounts for 17% of global container shipping capacity, and HLS warned the cancellation or blanking of ships will only add to the pressure of soaring freight rates.
Reference:
Today we announce that Exim is rebranding as ExSyn. We are presenting a new brand identity and website as a reflection of our relentless transformation over the course of 30 years serving the pharma and chemical industries. The new brand builds upon our core strengths as a sourcing company and captures our most essential duty: helping improve people’s health and lives.
L’Art de S’épanouir à Vegas Plus : Gagnez au Casino Table des matières Introduction Les Avantages de Vegas Plus Casino Les Jeux Disponibles Stratégies pour Gagner Les Bonus et Promotions Conclusion FAQ Introduction Bienvenue dans l’univers fascinant de Vegas Plus, un casino en ligne où les rêves peuvent devenir réalité. Que vous soyez un joueur […]
Adventures on the Colorful Chicken Highway: A Deep Dive into the Casino Game Table of Contents Introduction Gameplay Mechanics Winning Strategies Bonuses and Promotions The Chicken Road Community Frequently Asked Questions Conclusion Introduction The chicken road game has taken the online gaming world by storm, combining the excitement of traditional casino elements with quirky characters […]
Colchicine is a naturally occurring alkaloid obtained primarily from the autumn crocus (Colchicum autumnale) and related species. It has been used in medicine for centuries, especially for the treatment of gout and Familial Mediterranean Fever. In modern medicine, Colchicine is valued also in conditions like pericarditis, Behçet’s disease, and certain dermatological and cardiac disorders.