Shipping delays and congestion worsen at South China ports
Covid-19 outbrakes in Shenzhen and Guangzhou are causing serious shipping delays that could last until the end of June and lead to further rise in ocean freight rates.
Yantian port, the key export facility in Guangdong province, is still partially shut down due to efforts by the local authorities to disinfect and enforce quarantine measures. As a result, its current productivity is about 30% of normal levels.
The ongoing situation at Yantian port has not only aggravated the container shortage but also caused congestion at other ports.
Truck operations are also limited, as drivers are required to book their arrival at the ports in advance and present a negative COVID-19 test from within a 72-hour window. As a result, road freight tariffs have increased several times over.
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