Back Asia oversea update - Golden week

Oversea situation, Golden week update

Update from Asia, with latest news on the COVID-19 and Golden week.

Due to the logistic and container situation in Asia, this year's Golden Week (from 1 October to 7 October) will impact your supply chain even further.

We have gathered some information, together with some market forecasts. 

 

Situation in China

Limited or no production during Golden week

Golden week is a public holiday in China, leaving most businesses, factories, and the public sector closed or low-staffed. Production slows down or stops completely for the week.
Airports, seaports, some terminals and warehouses will keep running with limited capacity, and customs offices will be closed.

ColliCare offices in China will be closed from the 1st to the 7th of October.


Energy crises in China

A growing power supply crunch in China is forcing factories to cut production, threatening to slow down the economy and place an even more strain on global supply chains.
State media reports that companies in the country's industrial heartlands are told to limit their energy consumption to reduce power demand.
When this hits the major industrial and shipping hubs, such as Guangdong, Jiangsu, and Zhejiang province, even more delays caused by shortages and global shipping delays are mostly like to happen. 
The main reason behind more delays is that Chinese industries are facing heavy pressure from soaring energy prices.

Container ships piling up

Container ships are now piling up at anchorages off China’s ports. 
The number of container ships berthed near Shanghai and Ningbo has surged in recent weeks.

There are now 242 container ships waiting for berths countrywide.

Situation in India

In India, all the ports, factories and offices are full-time operational with no closure or restrictions.

Vessel space and container availability remain an issue, a persistent situation ever since the COVID-19 second wave. We experience a slight improvement, but it is far from optimal.

The rise in freight rates is a major area of concern and a global market issue. We are following the situation closely, forecasting this will persist during fall and winter 2021.
In terms of highest to lowest freight rates from India, this is what it looks like: USA and Canada, Africa, Europe, Asia, the Middle East. 

 

Air freight recommendation

Booking 2 weeks in advance is needed to secure cargo space by air.

 

Rail freight recommendation

Booking 3-4 weeks in advance is needed to secure cargo space by rail.
 

We recommend you take precautions in order to reduce the impact on your supply chain
 

  • share your logistic needs and shipment deadline enabling us to offer you the most suitable solution

  • communicate with your suppliers and customers to avoid possible delay

  • place booking as early as possible

  • prepare the accurate shipment plan and indicate the most urgent shipment if possible

 

For any questions please contact your regular contact persons within ColliCare, we will be happy to help you