Blank Sailings on Asia to Europe routes cause market prices to rise. Carriers continue to delay vessel arrivals to Europe and the UK to ease port congestion and equipment shortages in China are beginning to emerge.
The effect of blank sailings on routes from Asia to Europe and the UK is already being felt. The removal of capacity is directly impacting market rates, as the reduction in supply is more than offsetting normal seasonal demand.
Continued delays in vessel arrivals from Asia to European ports remains a significant issue. The delays to arrivals across Europe and the UK are, in turn, hindering the return of vessels to Asia, resulting in equipment shortages.
Significant ETA Changes
Ongoing congestion at transshipment hubs, particularly in European ports, is prompting carriers to push out vessel arrival times to create operational space to help ease congestion. This strategy is affecting estimated times of arrival (ETAs) ranging from 10 to 25 days beyond the original expected arrival dates. These changes are creating short-term instability and reducing ETA reliability. We remain hopeful that this is a temporary approach and that vessels will resume regular timeframes to ports once congestion issues improve.
Additionally, shipping lines are facing significant challenges in securing berthing windows at ports across both Asia and Europe. This competition for berths is causing further disruptions and inconsistencies in advertised ETAs, adding to uncertainty for customers.
Impact of Blank Sailings from China
We have previously informed customers that carriers have scheduled blank sailings for the next four weeks. This capacity cutback on Asia-Europe routes aims to balance the gap between planned supply and demand. Additionally, delays in return voyages to Asia are further tightening the available capacity. With limited capacity and the normal seasonal demand, we are already seeing increased upward pressure on market rates.
As carriers continue withdrawing capacity, the current delays in shipping cargo to Europe may worsen, likely resulting in extended transit times from Asia to the UK via the Cape of Good Hope.
Equipment Shortages in China
Delayed vessel arrivals in Europe are causing late departures back to Asia, which in turn is impacting equipment availability in pockets across China. The delay in returning vessels has led to 40-foot container shortages, which initially appeared in East China earlier in the week and has now spread to South China, affecting major ports like Ningbo and Shanghai. We are doing all we can to mitigate the impact for customers including pick-ups from alternative ports in some instances to keep cargo moving.
Keeping You Informed
The ongoing global supply chain challenges, from extended transit times to port delays, continue to create uncertainty around shipment arrival times on Asia-Europe routes. We are closely monitoring the situation and will keep you informed with the latest, most reliable updates as soon as they become available.
If you have any questions or concerns regarding your shipment, please don’t hesitate to contact our Customer Service Team at 01376 533039 or email [email protected].
