ASIA TRADE UPDATE

Following our recent updates on Southern China and the Port Of Yantian, there has been a slight improvement in operational throughput, as some berths have been gradually reopening in the past 2-3 days.

This, along with many vessels omitting the port, has resulted in a reduction in vessels waiting to berth this week, which reached as many as 60 at its peak.

However, the Port is not expected to be fully operational until the end of this month and the backlog is then expected to take weeks to clear, with an estimated 400,000 TEU caught up in the crisis.

Nearby Hong Kong, Chiwan, Shekou and Nansha ports are also congested due to vessels omitting Yantian and in some cases the recently introduced Covid measures.

The resulting impact on Southern China, which has frequently been compared to the Suez blockage, is likely to be capacity issues, equipment shortages and further escalating rates – perhaps until beyond the upcoming peak season.

As always, your Westbound team are working incredibly hard to mitigate the impact on your supply chains and will continue to work to find alternative solutions, where we can. For further information, please do not hesitate to contact a member of the team.