Blog

Shipping Delays/ Congestion/ Omissions

Our partners at ADM Global have provided us with another update on international shipping.

Freight rates continue on the downward turn and spot rates are applied where possible.

SERVICES

  • Transhipment delays/congestion are starting to ease with an average delay of 2 weeks, depending on the TS port/line – leading into peak season, these delays could increase
  • BMSB from China as an ‘emerging risk country’ with heighten surveillance/inspections only as opposed to mandatory fumigation – this is creating delays with AQIS and pressure on AU treatment facilities with an increase in BMSB directions, unpacks and inspections
  • Global Fuel prices are increasing and BAF will be increasing come Q3 for all liner services
  • Fuel prices in the domestic market are also due to increase in JUL
  • Terminal Handling charges into AU will increase in JUL/AUG
  • Tauranga Port has introduced an Infrastructure surcharge

CHINA

  • No further GRI announcements at this stage with market rates remaining stable. With the impending peak season and the lifting of lockdowns ex China, rates could increase in the coming weeks/months
  • Transport services are being impacted by the lockdowns with limited resources to service the volume and a backlog being created, in the cities that are being lockdown
  • New services have been announced ex SHA/SZX into AU, commencing the 31st of May, adding further capacity/volume into the AU market

SOUT EAST ASIA

  • Equipment issues and overbooking in South East Asia remain a challenge but have been steadily easing as supply/demand lowers however leading into peak season, the demand will continue to grow
  • Services are becoming increasingly more reliable, however feeder services into TS ports are still being impacted
  • Shipments/services are impacted by ongoing transhipment delays in South East Asian ports (Port Klang/Singapore/Tanjung Pelapas)

USA

  • The situation in the US is easing with an average of 69 vessels pending berthing, infrastructure is stabilising under the current demand but the increase of products from Asia to US is expected in the coming months
  • Rates from US remain at a historical high with high demand for services ex US – globally
  • US haulage is under strain and will continue to be under pressure as exports increase throughout peak season

EUR

  • As the situation with the Ukrainian conflict continues, we are monitoring global services closely – fuel pricing is being impacted with fuel increasing across all lines on a monthly/quarterly basis as well as in the domestic market
  • Sanctions on Russian products are applicable from the 3rd of March. Orders placed or departed prior to the announcement of sanctions will not be subject to the tariff

AUSTRALIA

  • No further PIA action announced at this stage
  • Empty Parks are receiving an influx of empties and are turning away dehires – we are monitoring closely
  • Fuel is being monitored closely – JUN/JUL has seen further increases
  • Domestic transport has been impacted across the board including labour shortages, increasing fuel prices, increasing ADBLUE costs, longer lead times for essential equipment including higher costs
  • Unpack depots/ECP/transport yards are at CAPACITY and pressure is being placed on national infrastructure, resulting in detention with surcharges continuously increasing from timeslots/dehire/tolls/port charges
  • Discussions with the EU have begun to fast track free trade agreements