Equipment shortages throughout China and Southeast Asia are so severe that carriers with premium trans-Pacific services are unable to guarantee equipment availability. Some vessels are leaving China without full loads because there is not enough equipment. Due to these serious shortages, all shipping routes are reporting freight rate increases, and have added carrier surcharges.
After many months of blank sailings earlier this year, intra-Asia rates have increased due to equipment shortage and lack of space. The past six months have seen an upsurge in 40ft demand, which follows one of the weakest demand periods ever. Intra-Asia volumes are heavily driven by China-Asian trade, which has risen after COVID19 lockdowns have been lifted. If shortages persist, rates will continue to climb.
The shortages similarly impact bookings as well as rates. Without the necessary supply to accommodate the amount of bookings being made in these origins, booking delays and longer than expected processing times will become more common and difficult to navigate.
Ports effected by shortage:
Shanghai: shortage of both 40GP and 40HQ
Nanjing: shortage is moderate, delays in releasing of empty containers
Ningbo: shortage of 40HQ, occasional delays in equipment release
Qingdao: shortage of 20 and 40HQ
Tianjin: shortage of both 40GP and 40HQ
Shenzhen: shortage of 40GP and 40HQ
For further questions, please reach out to your Mohawk Global representative.