With operations at the Port of Ningbo’s Meishan Terminal temporarily suspended due to the report of a positive COVID-19 case, ongoing shipping delays and lengthy order lead times are on track to keep growing. As of last Friday, “in two days the average number of weekly port calls to Ningbo has plunged 70% from nearly 200 container vessels to fewer than 60 this week as ocean carriers divert vessels and initiate blanked sailings to and from the port,” according to project44.
The situation’s impact on container congestion is already taking a toll on European intermodal services as reports of increased barge delays start to emerge. The resulting rise in ocean freight rates is causing some shippers to turn to air as well in order to mitigate supply chain bottlenecks.
Meanwhile, recent data has revealed a new baseline for U.S. imports from Asia that’s “approximately 30 percent higher than over the past two years and can be attributed primarily to the rapid growth in online shopping during the pandemic,” according to JOC. And this year’s peak season will definitely feel the residual aftershocks of this heightened baseline.
Also, businesses hoping to see an improvement in the worldwide chip shortage may be disappointed to hear that today’s scarcity “may stretch into 2023,” according to Infineon Technologies, Germany’s biggest semiconductor company. To learn more about this week’s top international shipping industry news, check out the following article highlights:
