Views: 1 Author: Site Editor Publish Time: 2022-06-24 Origin: Site
Freight costs and shipping delays are being impacted by a number of current shipping issues. Low season, a drop in exports, and inflation's impact on European consumer demand are causing prices to drop from Asia to Europe, while the lockdown in Shanghai drove down prices from Asia to North America in May, although they remain very high compared to pre-pandemic rates.
There has been a significant impact on exports from Shanghai due to the two-month lockdown. Although authorities are trying to jumpstart production, manufacturing remains slow. Due to the city's trucking capacity being reduced by an estimated 45%, it is difficult to get imported materials from the ports to factories - or to get available shipments from factories to ports.
Shanghai's export volumes have dropped by 20-30% since the lockdown began as a result of these factors.
Shanghai is set to reopen in June, and it is possible that a surge in pent up demand will combine with these other trends to put renewed pressure on operations and freight rates.