Home Industry News Container shipping situation worsens due to congestion, delays, and...

Container shipping situation worsens due to congestion, delays, and empty containers


Supply chain challenges continue to worsen, exacerbated by higher levels of port congestion and shipping delays at ports in Shanghai and elsewhere in China due to Covid-19 lockdowns. Coupled with ongoing congestion at ports elsewhere in the world and low backhaul rates to Asia, container demand is far exceeding capacity.

Congestion at Chinese ports increased in March and April as Covid-19 lockdown measures were introduced in Shanghai and later extended to other parts of the country. Since the beginning of March, total dry bulk congestion levels at ports in mainland China have increased between 30-40%, according to S&P Global Commodities at Sea.

The port congestion at Shanghai has showed signs of easing in May, as traffic has been diverted to alternative ports throughout northern and southern China. However, overall congestion levels remain high and longer vessel queues are being seen at alternative ports such as Tianjin and Zhoushan.

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