The knock-on impact of recent typhoon activity in China is continuing to affect vessel schedules. Asia-Europe space also remains under pressure, as resilient demand and ongoing blank sailings keep capacity tightly managed.
Demand Remains Resilient as Fuel Costs Rise
Uncertainty around the Strait of Hormuz and the wider Middle East region continues to affect global shipping markets. Oil prices have risen again over the last week and are now around 20% higher than at the beginning of the month. As a result, fuel-related surcharges remain in place and wider shipping costs continue to be affected by volatility in energy markets.
Asia-Europe demand remains resilient, with carriers continuing to manage capacity closely across key routes. Blank sailings are continuing across carriers until the end of August and are expected to continue through September, as shipping lines work to keep supply and demand closely balanced. This means space is likely to remain limited over the coming weeks, with market conditions still under pressure.
Typhoon Delays Create Knock-On Schedule Pressure
The knock-on impact of Typhoon Dolphin is continuing to affect some vessel schedules in China, particularly around Shanghai and Ningbo. Although the immediate weather disruption has now passed, vessels have been forced to wait at East and South China ports, causing some departures to slip and creating schedule delays of around a week in some cases.
The impact is also being felt beyond China. When vessels leave China later than planned, this has created bottlenecks at transhipment hubs and affect onward connections through parts of South East Asia. Some carriers are making operational adjustments to recover schedules where possible, but delays may take time to fully clear.
We are also seeing a few delayed vessels being routed through the Red Sea and Suez Canal to help recover time. However, this does not mean there has been a wider change in routing, and the majority of vessels continue to route around the Cape of Good Hope.
UK ports are continuing to perform relatively well, and we are not currently seeing any major congestion challenges. However, some vessels are arriving off schedule, which may result in delays of around 24 to 48 hours in some cases.
Where delays occur, we will continue to keep customers updated on individual shipments.
If you have any questions or concerns regarding your shipment, please don’t hesitate to contact our Customer Service Team on 01376 533039 or email [email protected].
