511 - Market Update Q4 2021

Inbound Shipping and Logistics

Q4 2021 Market Update

The Ocean Freight Logistics of Importing Products from Asia

CHOKED PORTS and SHIPPING BACKLOGS IN ASIA ▪ Covid outbreaks, severe summer weather, and shortages of drayage drivers, equipment and warehouse space is challenging smooth transition of finished goods from factory to port throughout Asia. ACR’s China Logistics Team ▪ Ports in China and Vietnam are experiencing ship turn-times 5 days longer than normal due to heavy fleet congestion, pandemic testing protocols and sporadic Covid shutdowns. Severe storms in Q3 caused further delays. ▪ 242 container ships were off-shore awaiting berths at Chinese ports alone, during the last week of September. American Shipper

OCEAN FREIGHT COSTS STILL HIGH, STILL CLIMBING ▪ Average cost to ship 40-foot containers from Asia topped $20,500 in Q3, a 500% increase versus 2020. Container prices for shipments from India have held steady below $10,000 but rose in the Third Quarter to over $13,000. Freightos, ACR DELIVERY DATE ACCURACY WORSENS ▪ Typical ocean transit time before the pandemic was 35 days, but last quarter, we reported the average time for goods to arrive from Asia was 71 days; through mid- September, average shipment time had increased to 74 days. Flexport

Ningbo, China, 09/28/21 – MarineTraffic.com


Flexport Logistics

Made with FlippingBook Ebook Creator