5 Tips to Navigating Unprecedented Ocean Freight Market
Just when we thought the international shipping market from Asia to the United States couldn’t get any more challenging … we’re thrown one more curveball. Due to a Covid-19 outbreak, the port of Yantian is now closed as of 6/8/2021, adding more chaos to an already fragile supply chain. With nearly every vessel scheduled to call at Yantian cancelled, the backlog of containers at the port now surrounds roads and suburbs, according to HLS Holding.
As we reach the midpoint to this year, we continue to see record-breaking ocean freight rates from Asia to USEC and space and equipment shortages reaching unprecedented levels in the eastbound trans-Pacific. According to the Journal of Commerce, “What should be a 35-day transit time from Shanghai to Chicago is now 73 days.” With drayage rates nearly double their standard and a truck driver shortage, U.S. importers should prepare for continued volatility through the summer. READ MORE HERE
eShipping recommends the following tips for all U.S. ocean importers:
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Book your suppliers 4-6 weeks in advance of the cargo “ready date” to assist in securing equipment and space
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Be open to using alternative equipment and routing options, as creative solutions are a necessity in this market
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Split multiple container bookings into single container bookings
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Be flexible on your receiving schedule, as U.S. dray capacity is extremely tight
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Prepare yourself for continued challenges, and know that eShipping is doing our best to help you navigate these unprecedented times