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Global port congestion continues to ferment, with more than $30billion of goods piled up in ports

Time:2022-07-20 Publisher:Kevin Num:22159

At present, the global port congestion is becoming more and more serious, and is hitting a record high. This makes the return of the shipping industry to normalization more and more far away.

According to the container port congestion index of Clarksons, a famous British maritime consulting company, about 37.8% of the capacity of container ships is stranded in the port.

This figure exceeds the peak in 2021 and is much higher than the pre epidemic average of 31.5%.

According to sea intelligence, "there is still no better solution to port congestion, which is not a good thing for shippers."

The agency also said that 70000 truck drivers who went on strike in California made port congestion worse. There are mountains of containers waiting for railway transportation.

Data show that there are nearly 30000 railway containers delayed in LA port alone, and the average detention time of railway goods is 7.5 days. More than 60% of these containers need to be transported to the destination by railway.

MDS trammodal estimates that the total value of the goods in these railway containers is more than $1.54 billion.

Noel hacegaba, the executive director of Long Beach port, said, "railway containers continue to pile up at the port in record numbers. We need to remove these boxes to make more space and keep the port running."

On the other hand, the situation in Canada is not optimistic. According to the operation report of Herbert Roth port, all ships calling at Vancouver Port are facing major delays.

The storage yard utilization rate of GCT wharf is as high as 85%, partly due to the continuous congestion of inland railways.

The average railway container dwell time of Canadian Pacific Railway (CP) and Canadian National Railway (CN) increased to 6.4 days and 6.8 days respectively.

As the detention time is getting longer and longer, shipping companies are canceling port berths and beginning to levy port congestion surcharges.

Maersk said, "our TP1 and TP9 services have canceled navigation. The continuous congestion makes it impossible for the company to deploy more ships to mitigate the loss of transport capacity."

In Europe, the ports of Hamburg, Antwerp and Rotterdam were affected by the continuous strike, and the ports were paralyzed for a time.

Insiders said that the situation in Hamburg Port was deteriorating, with nearly 200000 container ships waiting for berths here.

Data shows that the utilization rates of storage yards in Antwerp, Hamburg and Rotterdam are 80%, 83% and 85% respectively.

According to MDS transmodal, the nominal value of containerized goods increased by nearly 9% globally between 2019 and 2021.

According to the data of MDS transmodal, in general, the total value of cargo trade stranded at sea is about US $30billion.

GLA reminds freight forwarders and shippers that they need to pay attention to the latest developments in ports around the world and adjust freight routes in time to avoid delay in delivery of goods.

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