Congestion at U.S. ports worsens, container ship waiting time extends to 8 days

Container ship wait times at Southern California ports extend to 8 days

Foreign media reported that a large amount of cargo from Asia to the United States has caused congestion at West Coast ports , which will lead to a global shortage of containers and soaring freight rates.

On Thursday, 28 ships were anchored off the coast, waiting for unloading sites to open at the Port of Long Beach, according to the Southern California Marine Exchange.

It is understood that the Port of Long Beach accounts for about one-third of US imports, and the port has been congested in recent months.

Kiprotite, executive director of the Southern California Maritime Exchange, said that the rapid growth of U.S. consumer spending has prompted freight imports to grow at an unprecedented rate , and ports are facing unprecedented congestion, with waiting times for unloading containers extending to eight days.

The ships carry millions of dollars worth of popular imports, including furniture, auto parts, clothes, electronics and plastics, according to the Port of Los Angeles, materials that could be in serious short supply in the U.S. because of port congestion.

However, the delays at Southern California ports are just a microcosm of the global supply chain crisis. Ships waiting to unload outside Southern California ports may carry thousands of containers, which will also exacerbate the global container shortage and will cause transportation delays.

18,000 containers will be delayed indefinitely

Since the EVER GIVEN ran aground in the Suez Canal on March 23 , the global supply chain has suffered another blow.

The Suez Canal Authority said EVER GIVEN had been towed to the Great Bitter Lake, where it would undergo a safety inspection.

Egypt stated that all of the more than 400 stranded ships have passed, but it will not let EVER GIVEN go until the investigation is completed and an agreement on compensation is reached.

This means that the 18,000 containers on board will have to experience indefinite delays after attracting worldwide attention...

And EVER GIVEN may face a claim of $1 billion. It is worth noting that in one year's revenue, the toll of the Suez Canal is $5 billion...

During the epidemic, various blockades have increased pressure on the global supply chain. This century-level blockage once again demonstrates the fragility of the global trade infrastructure.

Maersk Shipping Group said that the impact of the stranding on global production capacity and equipment is huge. The BBC reported that the cost of shipping goods to Europe will also increase as a result.

In short, after the congestion on the west coast of the United States and the century-long blockage of the Suez Canal, the most consistent report from foreign media is that logistics are delayed and customers will face the tragic reality of rising prices.

logistics

Cross-border e-commerce market

USA