Welcome to GLA! Leading the global logistics alliance.

The surge in cargo volume has led shipping companies to limit the number of space reservations

Time:2021-08-05 Publisher:Kevin Num:4143

As one of the most important ports in North America, the port of Los Angeles accounts for nearly 20% of the total imports of the United States.

Recently, due to the increasing demand for imported goods in North America, a large number of imported goods from Asia have poured into the port of Los Angeles and other ports.

The executive director of the port of Los Angeles said that the import volume of goods was nearly half higher than that the same period last year, which made many ships carrying large quantities of goods wait at the dock for berths to unload.

Now, with the rising demand before the festival and the early arrival of the peak season, it is expected that the tension in the freight market will not improve in the short term and may worsen.

Due to the rising demand for freight volume, a large number of shipping companies have overbooked, and many shipping dates have been booked until October.

Therefore, shipping companies began to limit the number of space reservations, which was very unfriendly to shippers or importers. 

In addition, shipping companies charged high surcharges for port congestion.

A logistics platform gives a set of data, which shows that there are about 400 ships stranded in many ports around the world.

According to the latest news from the Los Angeles port operator, there are nearly 20 ships docked at the port anchorage, and 10 ships are waiting outside the port. 

The average berthing time has increased to 6 days, which is very painful for port operators.

Although the port itself is also under pressure, the excessive congestion of warehouses and distribution centers and the shortage of drivers are the reasons for the aggravation of the congestion problem.

However, according to the analysis of sea intelligence, although shippers feel helpless about the delay in receiving goods, the increasing number of ships berthing has not had a significant impact on the reliability of shipping schedule.

It is expected that in the next few months, due to the delay of shipping schedule caused by congestion, the attendance rate will continue to decline, from about 25 to 20%, which can be said to be the lowest figure in history.

Los Angeles port operators said that the shipping company is about to launch two new trans Pacific routes to alleviate the crisis.

Maersk, the world's largest container transportation company, concluded that the congestion will continue and the freight price has not reached the expected peak.

It pointed out that the surge in freight rates was due to low transport capacity and a sharp increase in demand for goods. 

At the same time, due to the shortage of containers and congestion in some ports, shipping companies charge high additional fees.

Prev：New Golden Member From China—— Qingdao Grand Master International Logistics Co.,LtdNext：New Golden Member From Japan——FEG LOGISTICS CO. LTD.