ECONOMY

Looming Christmas crisis due to ongoing congestion

looming-christmas-crisis-due-to-ongoing-congestion

Global supply chain issues are threatening Christmas deliveries to retailers, as sustained port congestion seen in China, the US, and now parts of the UK, continues to disrupt shipping lines and the movement of goods worldwide.

Globally, there is currently a total of 334 vessels waiting, comprising more than 2.2 million TEU.

“The containership market has been under immense pressure over the last year, with Covid-related pent-up demand pushing consumer spending, bad weather in China and Covid-related terminal lockdowns contributing to high port congestion,” said Charlotte Cook, head trade analyst at VesselsValue.

She noted that containership congestion is being observed around the world at ports including Ningbo-Zhoushan in China, and Long Beach in Los Angeles.

Felixstowe in the UK is the latest port to witness delays.

“Vessels are spending longer in port than usual to unload and depart due to a pile-up of containers in port, causing disruptions to liner schedules and further reducing vessel availability,” said Cook in comments shared with Kathimerini.