Ukraine closed most of its ports, and the congestion in the United States and West was transferred to other ports in North America!
February 28, 2022
Recently, the conflict between Ukraine and Russia has continued to escalate. Most of Ukraine's ports have been closed, many shipping companies have suspended bookings, and freight forwarding companies have been on vacation. Congestion in North America continues to escalate, with a total of around 10% of the global container fleet, around 2.53 million TEU, stuck in port congestion. The latest cross-border logistics information, Hugo Fungus will take you to take a look.
Ukraine closes ports, suspends bookings
The war between Russia and Ukraine has led to the closure of most Ukrainian ports, the largest port of Odessa has been closed, the Ukrainian government has suspended railway transportation, and the Ukrainian military has ordered the suspension of commercial shipping in its seaports. According to CCTV news, on the 24th local time, the Russian Maritime Canal Transport Agency stated that according to the warning of the Russian Ministry of Defense, from 4:00 a.m. local time on the 23rd, the Azov Sea shipping has been suspended until further notice, but Russia’s ports in the Black Sea are still open. remain open for sailing. Many shipping companies have suspended bookings, and freight forwarding companies have been on vacation.
Ukrainian authorities have closed the port of Odessa, the country's largest port, and German port operator HHLA said it had closed its container terminal in Odessa and sent employees home for vacation. DB Schenker said it had suspended its logistics operations in Ukraine and asked employees to stay home.
On February 24, Maersk, MSC, CMA CGM, Hapag-Lloyd, Estar and other shipping companies announced that they will not call at Ukrainian ports from now on, and will stop accepting new booking spaces in and out of Ukraine until further notice.
10% of the world's container ships are stuck, and the congestion in the west of the United States is transferred to other ports in North America!
After the Spring Festival, there are fewer ships waiting at ports on the west coast of the United States. Yang Ming Shipping pointed out that the current waiting time has dropped from the longest in recent months to about 20 days.
According to statistics from Kuehne + Nagel, a logistics giant, there are currently more than 565 main ships in waiting ports around the world; the Asian Linerlytica platform estimates that about 10% of the world's container ships are stuck, and the congestion in the United States and West is transferred to other ports in North America, Sea-Intelligence It is predicted that congestion will intensify in March and April.
Linerlytica commented that while congestion has eased in much of Asia this week, North America has continued to escalate, with a total of about 10% of the global container fleet, or 2.53 million TEU, struggling due to port congestion.
Sea-Intelligence, a Danish supply chain research firm, forecasts an increase in the number of ships scheduled to deliver goods from Asia to North America in March and April this year, which will exacerbate port congestion.
Nearly 8,000 trucks were stranded on the Sino-Vietnamese border, and the Friendship Pass port issued a customs clearance warning!
According to Vietnamese media reports, the number of trucks stranded at the border ports of Lao Cai, Lang Son and Quang Ninh provinces in the three provinces bordering China is as high as 7,947.
Among them, Lang Son Province has the most serious congestion. There are 4,469 trucks in three ports in the province. Among them, there are 1,619 trucks in the temporarily opened Coc Nam port, 1,467 trucks in the Youyiguan port, and 1,467 trucks in the Coc Nam port. There are 1383 trucks at the Deng railway station. Quang Ninh Port ICD has 1,329 trucks, Lao Cai Province Lao Cai Railway Station has 1,120 trucks, and Lao Cai Port has 1,029 trucks. In addition, the ports on the yellow alert are the Sin Thanh Port in Lang Son Province, with 901 trucks, and the Mang Cai Port in Quang Ninh Province with nearly 500 trucks.
The fact is that the number of vehicles heading to the northern border crossings is increasing, while the number of goods that China clears and receives is limited, the report said. Last weekend, due to the discovery of a new confirmed case in Hekou County, Yunnan Province, China has suspended customs clearance procedures for goods exported to China from the Hekou-Laojie (Jincheng) international port since February 17.
Warning: 82000TEU empty space is required!
Sea-Intellingence, a well-known shipping consultancy, warned in its latest weekly report that in the future, U.S. ports will face the problem that a large number of empty containers will be difficult to ship quickly. While delays in shipping schedules, port congestion, and tight container supply chains are expected to improve in the future and eventually normalize supply chains, this shift will leave the U.S. import side facing a large number of stranded empty containers.
It is expected that the supply chain bottleneck will gradually improve from mid-February 2022, and is expected to return to normal by late December 2022, which means that by the end of 2022, the shipping time will return from the current 112 days to the previous 45 days .
In the transpacific seaborne trade, the annual container volume on the outbound route (Asia to the US) is about 19 million TEU. Therefore, Sea-Intellingence estimates that after the supply chain cycle is shortened, about 3.5 million TEU containers will be difficult to transport back to Asia under the existing capacity, which may lead to the U.S. container yard being stranded by these stranded empty containers. The box is "flooded". Therefore, if they want to avoid the detention of a large number of empty containers, the carrier needs to reserve 82,000 TEU of empty container space in the trans-Pacific outbound route within the 10-month period, which is specially used for returning these empty containers.