Home >> Array

Array

Lockdown eases in Shanghai, but shipping delays continues

PostTime:2022-05-25 09:10:39 View:290

THE authorities in China appears to be gradually easing its lockdown of Shanghai, but that won't bring immediate relief to global supply-chain congestion, according to a major shipping company, reports Bloomberg The shortage of rail, port and trucking workers in China and the US need to get resolved quicker than is currently happening as they are delaying ships at the world's major ports, said Jeremy Nixon, chief executive officer of Ocean Network Express (ONE). "Every government is doing their best to address the issue, but labour shortages still exist, and infrastructure shortages still exist," Mr Nixon said in a recent interview. "We're putting more ships into service, but we can't magic up more when we're running out." The world's supply chains have taken a battering this year from China's Zero Covid policy, which has hampered the production and delivery of everything from bathroom faucets to Apple iPhones. At the same time, trucker and rail worker shortages in the US have made it difficult for industries to move their goods, prompting the Biden administration to step in. From Los Angeles to Hamburg, scores of containers ships are waiting for weeks to berth at ports, Mr Nixon said. That wait is three weeks at Vancouver in Canada, and there's currently a queue of 130 vessels waiting off the world's biggest port in Shanghai, he said. While the Chinese city's lockdown is slowly being eased as Covid-19 cases drop, the number of container ships spotted in the Shanghai and Ningbo-Zhoushan region is still 11 per cent above the median in the last year, according to shipping data compiled by Bloomberg. And the volume of container goods moving in or out of Shanghai port by truck and train has declined recently, according to data from FourKites. Some shippers have tried to shift to air routes but have faced similar problems, with many flights being cancelled as a result of staffing shortages, according to digital freight forwarder Zencargo. The disruption to supply chains has extended further south to other ports. The number of container ships off Shenzhen and Hong Kong hit a seven-month high of 184 vessels early last week. At this time last year, there were just 95 vessels in the area. Mr Nixon said ONE is planning to reduce the number of ships that it charters from other parties, adding that about 15 per cent of the company's fleet is hired on short-term contracts lasting up a year. The company is looking at ordering new ships that will run on cleaner fuel, he said.    

ABS launches sustainability centre in Shanghai

PostTime:2022-05-16 09:29:45 View:237

ABS is extending its global sustainability centre network to Shanghai to support the industry in China. Katherine Si | May 13, 2022 Following the establishment of sustainability centers in Athens, Houston, Copenhagen and Singapore, ABS has opened up its fifth global sustainability centre in Shanghai.  The Shanghai centre will focus on promoting marine innovation, providing specialized information for low-carbon economy, developing ESG strategy and supporting green financing.  Related: ABS and HHI team up on autonomous vessels “ABS’s support to the sustainable development of Pacific region has grown strongly after the launch of sustainability center in Singapore. We will provide customized decarbonisation strategy and technical guidance to Chinese clients, as well as the cutting-edge sustainable development services to the industry,” said Georgios Plevrakis, ABS Vice President for Global Sustainability.

Shanghai extending empty container service to Taicang port

PostTime:2022-05-12 09:56:40 View:299

Shanghai empty container center has opened up a unit at the neighboring port of Taicang in Suzhou. Katherine Si | May 11, 2022 Shanghai empty container center’s branch in Taicang aims to provide sufficient empty containers and convenient container distribution and transshipment services for foreign trading along the upper and mid-reach of Yangtze river Shanghai port and Taicang port started to jointly improve waterway transportation capacity in April and opened up green channel for cargos to Shanghai which could be transferred at the port of Taicang, and upgraded the land-to-water transport solutions between Shanghai and Taicang especially during the recent covid-outbreaks in Shanghai.  Related: SIPG and Evergreen team up for empty container centre development In April, Taicang port posted a container volume of 627,000 teu, an increase of 6.7% year-on-year. Among which, foreign trade volume was 349,000 teu, increased 15.2%. 

Shanghai port container handling drops 25pc in April lockdown

PostTime:2022-05-11 10:02:03 View:294

SHANGHAI, the world's largest container port, has suffered a daily container handling decline of 25 per cent in April, reports Colchester's Seatrade Maritime News. With many of the factories shut down, warehouses closed and logistics options limited, cargo volume at Shanghai port dropped in April. The daily average container handling capacity of Shanghai was expected to be around 100,000 TEU during April a decline of 25 per cent compared with the normal levels in the past. In particular while the port was operational there was a severe shortage of trucking capacity on the landside. To reduce inland container transportation pressure, Shanghai heavily promoted water-to-water with barging and feedering from nearby ports, land-to-sea and sea-rail combined transportation to try and stabilise the supply chain. In April, water-to-water transshipment volume of Shanghai was around 1.99 million TEU, accounting for 65 per cent of the total container volume of Shanghai port in April. The lockdown continues in much of Shanghai although there have been tentative steps to open areas where transmission has dropped to zero. The city government is also pushing to get more factory production back into operation.  

Shanghai port container handling drops 25% in April lockdown

PostTime:2022-05-09 09:59:13 View:216

The world’s largest container port in Shanghai has managed to maintain operations during the Covid lockdown of China’s commercial heart, but daily container handling dropped by about 25% in April. Katherine Si | May 06, 2022 With many of the factories shut down, warehouses closed and logistics options limited, cargo volume at Shanghai port dropped in April. The daily average container handling capacity of Shanghai was expected to be around 100,000 teu during April a decline of 25% compared with the normal levels in the past.  Related: Shanghai lockdown: Disruption grows to logistics, shipyards and production In particular while the port was operational there was a severe shortage of trucking capacity on the landside. To reduce inland container transportation pressure, Shanghai heavily promoted water-to-water with barging and feedering from nearby ports, land-to-sea and sea-rail combined transportation to try and stabilise the supply chain. In April, water-to-water transshipment volume of Shanghai was around 1.99m teu, accounting for 65% of the total container volume of Shanghai port in April. Related: Restricted to Ship – episode 2 – Ghosted in Shanghai The lockdown continues in much of Shanghai although there have been tentative steps to open areas where transmission has dropped to zero. The city government is also pushing to get more factory production back into operation.

Restricted to Ship – episode 2 – Ghosted in Shanghai Photo: YouTube screenshot

PostTime:2022-05-05 09:48:05 View:271

The second episode is online of a YouTube series documenting life onboard a US-flagged containership stranded mid-repair in a Shanghai shipyard during on the current lockdown. Marcus Hand | May 04, 2022 The second episode entitled “Ghosted in Shanghai” recounts life on days 21 and 28 of the lockdown onboard the vessel and trying to deal with keeping shoreside power running. The vessel’s engine is in pieces mid-repair and a ballast water treatment system partially fitted. The episode focuses in on individuals in the crew, many close to or past the end of their contracts, and how they are coping with the situation and unsure when they will next see their families. “We are keeping ourselves busy to fight the boredom,” says one. Another questions if they’ll ever got off the ship. Related: Shanghai lockdown: Life on a ship stuck in a repair yard Even once work restarts, whenever that might be, its estimated it would take another six weeks to complete. The crew on the vessel featured are not the only ones stranded with another 25 ships said to be in the yard.

Shipyards on Shanghai Changxing island plan production restart

PostTime:2022-04-26 08:53:38 View:249

Large manufacturing companies based on Shanghai Changxing island, including the shipyards and equipment manufacturing bases, are planning to restart production. Katherine Si | Apr 25, 2022 Even though Shanghai remains under lockdown with most the cities 25m population confined to their residences the city government is pushing for some major companies to restart production. Included among these are shipyards CSSC Jiangnan Shipyard, Cosco Shipping Heavy Industry, and port equipment manufacturer Shanghai Zhenhua Port Machinery, the latter which remained operational through the lockdown. Related: Shanghai lockdown: Disruption grows to logistics, shipyards and production Shanghai-based CSSC Jiangnan Shipyard said it is ready for the production resumption. The shipyard is running the production resumption pressure test covering shipyard production and daily routines for staff. The shipyard will gradually bring production back online if nothing unusual happens during the pressure testing period.  Before returning to the workplace, all the shipyard staff will need to provide Covid-19 negative tests for the past seven days, and do another test within 24 hours after entering into the shipyard.  Related: Shanghai lockdown: Container line blank sailings remain ‘normal’ Where production has either resumed or continued through the Shanghai lockdown it has been carried out through a closed loop system where workers both work and live on site. Meanwhile, Cosco Shipping Heavy Industry, the shipbuilding unit of Cosco Shipping, located at Changxing island, has also started operations for some parts of its business. The world’s largest port equipment manufacturer, Shanghai Zhenhua Port Machinery, maintained operations of its branch at Changxing island during the recent Shanghai covid-outbreak. After nearly one-month city lockdown, Shanghai is promoting the operation and production resumption for some major companies, although there are reports of supply chain disruptions causing parts shortages for some factories.

Shanghai port runs out of space for refrigerated containers

PostTime:2022-04-19 10:09:41 View:219

THE Port of Shanghai has run out of space to accommodate refrigerated containers that must have power plugs to keep cargo cool, reports New York's FreightWaves. Shanghai residents are demonstrating increased signs of frustration with the mass isolation, with people having to stay home and depend on the government to feed them. Shippers are preparing to divert reefer cargo destined for Shanghai to other ports because Shanghai's citywide Covid lockdown. The notices to customers are the latest manifestation of how the strict restrictions on movement within the city are impacting imports and exports through the world's largest container port and Pudong International Airport. Authorities in Shanghai have sealed off the entire city for two weeks. Over the weekend a record 23,000 Covid cases per day were counted. More than 90 per cent of trucks supporting import and export deliveries are out of action because of the restrictions. The slow pickup of cargo has resulted in long container dwell times, leaving less room to place arriving import boxes. Decreased terminal efficiency is forcing dozens of container vessels to wait at anchor for berth space, while others skip the port altogether. Import dwell times for containers at Shanghai marine terminals has increased nearly 75 per cent, to eight days, since the lockdowns began, according to supply chain visibility platform project44. French shipping giant CMA CGM has urged cargo owners to identify alternative ports for delivering refrigerated containers in case port operators deny discharge due to the limited availability of electric plug-ins. "As we try our best to safeguard your cargo, please note that in the event your reefer import shipment fails to discharge upon its arrival in Shanghai, we may divert the cargo to alternative transshipment ports for interim storage before shipping back to Shanghai when the situation allows," the notice said. The Mediterranean Shipping Co (MSC), the world's largest container vessel operator, also said it will begin offloading refrigerated containers at other ports because there are no available power plugs to connect to in Shanghai. MSC said that unless customers request a specific change in destination within seven days, reefers will be discharged at intermediate or alternate ports of the carrier's choosing. "Additional freight charges for transshipment, storage, equipment rental and electrical connection may apply."

ONE encourages customers to change Shanghai to alternative ports as destination

PostTime:2022-04-18 10:18:25 View:201

"The situation in Shanghai has not improved since its last update on 6th April 2022. Trucking remains limited and the terminals are still congested, whilst reefer yard plug capacity remains highly stressed. Hence, there is a possibility that reefer containers cannot be discharged in Shanghai until the situation eases," Ocean Network Express Pte. Ltd. (ONE) said in its media release. Considering this situation, ONE highly encourages customers to consider a change of destination (COD) to alternative ports to prevent delays and/or damage to your cargo, especially for time-sensitive commodities. For customers who prefer to have their cargo retained on board (ROB) and returned to origin port, this can be arranged as well. "If you do not COD or ROB your container and it cannot be discharged in Shanghai, your container will be diverted to transshipment ports to be stored in the interim and will be transported to Shanghai once the situation permits," ONE said. ONE will waive the COD or ROB administration fee for customers who decide to divert their cargo from Shanghai to alternative ports. However, please note that for both cases above there may be additional costs incurred and such costs will be on Consignee’s account and payable upon delivery.

Shanghai lockdown could lead to ocean shipment delays till mid-May

PostTime:2022-04-08 08:09:17 View:326

OCEAN carriers and forwarders' schedule data reveals dozens of blank sailings resulting in cargo owners shipping through Shanghai facing disruption to ocean shipments until at least mid-May. That comes as officials in Shanghai, home to the world's busiest container port, extended the Covid-19 lockdowns indefinitely as the number of cases surged to more than 13,000 on Monday, reports IHS Media. The lockdown in Shanghai's Puxi district, west of the Huangpu River, was due to be lifted Tuesday, but that was scrapped, as was the easing of restrictions in Pudong last Thursday. The lockdowns have crippled manufacturing, warehousing, distribution, and haulage services as people are forced to stay home, even as Shanghai's two main terminals, Yangshan and Waigaoqiao, remain open and operating despite a significant drop in productivity. The extended curfews have also created severe shortages of food and other essentials. As of Wednesday morning local time, there were 53 container ships at anchor in Shanghai, according to AISLive, a product within IHS Markit. Carriers and forwarders said Shanghai will be hit by a raft of blank sailings until May 8, while carriers are also implementing ad hoc port omissions at Shanghai. As of Wednesday morning local time, there were 53 container ships at anchor, according to AISLive, a product within IHS Markit. "The Shanghai terminals are still operating, but they are badly affected due to the shortage of labour caused by staff quarantining or staying home due to the lockdowns," a senior executive at a Hong Kong-based freight forwarder said. "There are quite a number of service cancellations and skipped port calls by carriers." The executive said THE Alliance has cancelled at least 36 sailings at Shanghai, while the Ocean Alliance has cancelled six sailings. Highlighting the 2M blank sailings, the source said they will affect at least eight trans-Pacific services, four to the US West Coast and four to the East Coast. They include the TP9 West Coast service for weeks 14 and 15, the TP8 for week 15, the TP1 on weeks 14 to 16 and 18, and the TP3 service for weeks 15 and 19. The East Coast sailings that have been blanked are T10 on weeks 14 and 16, TP12 for week 16, TP16 for weeks 15 and 17, and TP18 on week 18. Ocean Network Express confirmed in schedules published in the last few days there would be 38 blank services between April 4 and May 8 on the trans-Pacific, Asia-Europe, Mediterranean, and intra-Asia services. The blanked services include no PN3 or PS8 services at Shanghai on weeks 16 and 17, the PN4 service on week 17, and the EC1 service in week 17. ONE also confirmed the Interasia Vision operating its Japan-China-Vietnam service will skip its China call at Shanghai near April 5-6. Other carriers said they are trying to maintain a normal port call schedule at Shanghai. "We have remained normal without any significant disruptions except for an additional one- or two-day delay in vessel berthing at Shanghai," an HMM spokesperson told {非本站网址}. Danny Hoffmann, managing director of Gold Star Line, the Hong Kong-headquartered intra-Asia affiliate of Zim Integrated Shipping Services, said there were no plans to skip Shanghai. But the carrier is adding more capacity to places less affected by pandemic restrictions, such as Ningbo and Qingdao, he added. Geodis, the France headquartered forwarder, said the lockdowns have resulted in a lack of labour at ports and terminals, which has further increased congestion and limited capacity at the ports.

Shanghai in state of emergency

PostTime:2022-04-04 09:01:41 View:274

The Covid 19 outbreak in Shanghai is causing a local lockdown that is also affecting the port. With a handling volume of over 45 million TEU, it is the largest port in the world. Many industrial companies and also customs have switched to keeping the port open in a two-shift operation. The employees remain on site. Despite all these measures, there are delays in supply chains. For the Port of Hamburg, Shanghai is one of the most important ports in China trade. Shanghai and Hamburg are connected by 13 liner services, nine of which run weekly. In addition, four general cargo services operate according to demand. The volumes transported between Hamburg and Shanghai are correspondingly large. A total of 2.561 million TEU were handled between China and Hamburg last year. 14.1 million tonnes came from China to Hamburg in 2021. The largest commodity groups were machinery, equipment and household appliances, chemical products, metals and metal products, and furniture, jewellery and musical instruments. The extent to which this will have an impact in Hamburg is not yet foreseeable. This will only become evident in a few weeks' time.

Maersk warns of more cost hikes with Shanghai Covid lockdown

PostTime:2022-04-01 10:47:17 View:325

DENMARK's shipping giant Maersk has warned that the Shanghai lockdown will severely hurt trucking services and increase transport costs, as China's intensifying efforts to fight the spread of Covid-19 further rattles global supply chains. The Chinese coastal city, home to some of the world's busiest sea and airports, began locking down half of the city on Monday and intends to do the same to the other half for four days starting Friday in a two-stage testing exercise, reports Reuters. While it has kept its airports and deepwater port open, it has imposed stringent movement curbs, barring unapproved vehicles from streets and telling millions of people not to leave their homes. "Trucking service in and out (of) Shanghai will be severely impacted by 30 per cent due to a full lockdown on Shanghai's Pudong and Puxi areas in turn until April 5," Maersk, the world's second-largest container shipping company, said in an advisory to clients on Monday. It added that warehouses in Shanghai would be closed until Friday. "Consequently, there will be longer delivery time and a possible rise in transport costs such as detour fee and highway fee." SEKO Logistics, a US-based freight transport and warehousing company, said factories in the neighbouring province of Zhejiang were opting to move cargo out of Ningbo's port, rather than Shanghai. "We are anticipating: a sharp increase in air freight rates. We have already received some sky-high offers for enquires to Europe so far," it said on its website. China is battling its largest number of Covid-19 infections since the onset of the country's initial outbreak receded in early 2020. Meanwhile, a survey conducted by a state newspaper found Shenzhen's "war" on COVID-19 has hurt up to 93 per cent of local small and medium-sized companies, with many suffering production disruptions because of shutdowns, interruptions in supply chains, and delays in order executions.