Lori Ann LaRocco

Viewpoint: China COVID policies to squeeze flow of European exports to North America

Containers in Shanghai.

China’s zero-COVID measures are producing another problem in trade. Logistics providers in Europe told American Shipper they are concerned about an impending empty-container-supply crisis. A bitter combination of blank sailings and an increase in delays of Europe-bound shipments from China have created a cocktail of capacity constriction.

“You need imports to have containers for exports,” said Alexander Geisler, managing director, German Shipbrokers’ Association (ZVDS). “The whole system only...

https://www.freightwaves.com/news/viewpoint-china-covid-policies-to-squeeze-flow-of-european-exports-to-north-america

The real victim of Shanghai’s COVID lockdown? Intra-Asia trade pipeline

The supply chain impact in Shanghai is being felt across Asia.

The slothlike trade moving out of Shanghai has created a short supply of raw materials traveling on the all-important intra-Asia trade route. Countries that make up this trade pipe — Vietnam, Malaysia, Taiwan, Japan, Korea, Indonesia and Cambodia — have factories waiting on crucial raw materials needed to finish goods ranging from apparel and footwear to furniture.

This pipeline saw an expansion in the trade as more American importers diversified their manufacturing out of China as a way to work...

https://www.freightwaves.com/news/the-real-victim-of-shanghais-covid-lockdown-intra-asia-trade-pipeline

Viewpoint: Shanghai’s disruptive impact on the summer supply chain

Shanghai's zero-COVID lockdown continues.

The hairball snarling the flow of trade in Shanghai is growing. 

Just as I warned on March 24, this lockdown will have a significant impact. The longer the delays, the greater the impact on U.S. inventories in the coming weeks. We have seen this horror show before and we all know the containers that are currently piling up will eventually make their way to the United States, creating massive congestion. 

Besides technology products, furniture and auto parts, there are seasonal items in these...

https://www.freightwaves.com/news/shanghai-zero-covid-lockdown-impact-summer-supply-chain

Under attack and low on supplies, 1,500 seafarers trapped in Ukrainian waters

The Azburg was sank by two Russian missiles.

The Dominica-flagged cargo ship Azburg that sank in the port city of Mariupol after being hit by two Russian missiles Tuesday is an example of the growing humanitarian crisis facing some 1,500 seafarers on vessels trapped in Ukrainian waters.

In an interview with American Shipper, Natalie Shaw, head of employment for the International Chamber of Shipping, noted that people representing 20 nationalities are stuck on approximately 140 vessels in the conflict zone. These men and women, she says,...

https://www.freightwaves.com/news/1500-seafarers-trapped-ukraine-low-supplies-under-attack-russia

Shanghai’s 2-stage COVID lockdown may make getting containers ‘almost impossible’

Logistics managers are warning clients the two-stage lockdown in Shanghai could be worse than the initial COVID lockdowns.

“These lockdowns are possibly more severe than the initial quarantines in 2020 when COVID was first discovered,” Jon Monroe of Monroe Consulting told American Shipper. “Many people will tell you the ports are open. And this is true. But the port workers, factory workers and truck drivers are locked in their homes.

“This will limit the capability of factories to deliver...

https://www.freightwaves.com/news/shanghais-2-stage-covid-lockdown-may-make-getting-containers-almost-impossible

Viewpoint: Keep an eye on Shanghai

The latest disruption indicators show no matter how targeted a “zero-COVID” measure is in China, there are impacts to the flow of trade. The latest disruption indicator from Kuehne + Nagel dismisses the downplaying bluster and the claims that the Yantian port was “operating normally.”

Port productivity hinges more on vessels. Otto Schacht, EVP of sea logistics at Kuehne + Nagel, tells American Shipper the disruption he posted on his LinkedIn post “is the effect of the partial lockdown in...

https://www.freightwaves.com/news/viewpoint-keep-an-eye-on-shanghai

Viewpoint: It’s a tangled game of Twister for drayage in China

Drayage is a forward-looking indicator on the impact of “zero COVID” in the movement of trade in China. People are needed to drive the trucks. Roads must be open to reach factories and warehouses — which, of course, must also be open. 

The drayage component of trade is essential, especially to ensure the fluid transportation of empty and full containers. 

Without all of this, it doesn’t matter how many vessels are available. 

The multiple testing hurdles and current stay-at-home orders in China...

https://www.freightwaves.com/news/viewpoint-its-a-tangled-game-of-twister-for-drayage-in-china

China’s lockdown will impact more than electronics from Yantian, Shanghai

The ports of Shanghai and Yantian are known as two of the largest electronics export hubs in the world, but if you look in the containers, you will find much more than that. 

Using ImportGenius, American Shipper analyzed the bills of lading of Chinese exports leaving those ports bound for the United States since Feb. 1 to see what variety of items are manufactured and exported from those specific regions.

In addition to televisions and other electronic goods, the 5,958 containers processed...

https://www.freightwaves.com/news/chinas-lockdown-will-impact-more-than-electronics-from-yantian-shanghai

Seko warns clients lockdown in Shenzhen will impact port activity

With China locking down the port city of Shenzhen on Sunday in hopes of reducing a COVID-19 spread, Seko Logistics warned clients that the measure will impact the delivery of products from that region.

American Shipper reviewed the company’s COVID-19 advisory note, in which Seko explained that because of the weeklong lockdown in Shenzhen, “no cargo will be able to load in Yantian … and vessels most likely will omit the port.”

China’s “zero-COVID” strategy was previously used in Yantian in 2021,...

https://www.freightwaves.com/news/seko-warns-clients-lockdown-in-shenzhen-will-impact-port-activity

2 tankers fill up with Russian oil after 45-day US countdown begins

After oil companies were given a 45-day window by the Biden administration on Tuesday to phase out existing contracts for Russian oil, at least two tankers were loaded with Russian oil and departed for U.S. destinations, according to information obtained by American Shipper.

MarineTraffic data shows the two tankers as the Vinjerac, which departed Thursday and is headed for the Port of New York & New Jersey for a March 25 arrival, and the Gazpromneft NORD, which loaded on Friday. Its anticipated...

https://www.freightwaves.com/news/2-tankers-fill-up-with-russian-oil-after-45-day-us-countdown-begins

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