The port is seriously congested!

The port is seriously congested! Nearly 500,000 TEUs are waiting to dock! Ships are delayed for up to seven days!


Global port congestion is becoming more and more obvious, with serious congestion in ports such as Singapore, Durban, Dammam, Chittagong, and Colombo, etc. The anchorage time in Singapore reached 84 hours, and in Durban it reached 79 hours.


Bad weather, geological disasters, political factors, ship failures, labor shortages, inadequate infrastructure, and tight global supply chains are all intertwined and have led to the current congestion in global ports.


The peak season effect has arrived ahead of schedule, and it is expected that congestion will be further aggravated during the peak season. In response to congestion, some shipping companies have chosen to: skip ports, stop calling, and force freight rates to rise.


According to Linerlytica's latest report, container congestion at the Port of Singapore has reached an unprecedented critical level. Currently, a large number of ships are waiting to berth outside the port, with a backlog of more than 450,000 TEUs. The analysis company estimates that the waiting time for these ships can be up to seven days.


The severe congestion has already forced some shipping lines to cancel their planned docks at Singapore, which has undoubtedly increased the pressure on ships to go directly to the port. These ships will have to face the challenge of handling the additional container volume, further exacerbating the tension in the supply chain.


Since last November, the conflict in the Red Sea has had a profound impact on the global shipping industry. Ships’ sailing plans have been forced to undergo major changes, which has not only affected major ports in Asia and Europe, but also brought unprecedented pressure to the global supply chain. As the conflict continues, the shipping industry is expected to face more challenges and uncertainties in the future.


Affected by the Red Sea crisis, the peak season in the third quarter arrived early and is expected to continue. Currently, there is not only a shortage of ships in the market, but also a shortage of containers.


In addition, due to the detours of ships, the demand for ports in the western Mediterranean and other places has increased, leading to increased port congestion, including some major Asian ports, which will also affect the efficiency of ship utilization. With the arrival of the peak season, the congestion of these terminals may be further aggravated, further exacerbating the tight supply and demand of ships and containers.


A consulting firm said port congestion is expected to worsen in June, forcing liner operators to acquire new containers and extend charter periods beyond September.


Before shipping companies plan to raise freight rates on June 1 and June 15, port congestion has also brought huge upward support to freight rates. The peak season effect has come ahead of schedule, port congestion has intensified, and shipping capacity has become even tighter. Freight prices may rise even further in June...

Post time: 2024-05-31 16:33:33
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