Logistics prices are soaring, and shipping congestion may continue until June

Logistics prices are soaring, and shipping congestion may continue until June

Last year, due to the impact of the epidemic, many sellers originally thought that the logistics prices in 2020 had reached the "ceiling" of the price. But after entering 2021, they really saw the "crazy" side of logistics prices!

 

Since April, due to the tight transportation capacity and the surge in the number of goods, logistics prices have "risen in tandem" in terms of sea, land and air. The quotations from freight forwarders in the circle of friends are outrageously high.

 

According to a freight forwarder, the prices of Europe-US routes this month have increased compared to last month. This week , the price from major Asian ports to the US West Coast is USD4900 to USD6500/40HQ; the price from major Asian ports to the US East Coast is USD8900 to USD9800/40HQ; the price from Asia to the US IPI inland point is USD8500/40HQ.

 

Even though prices have skyrocketed, it still cannot prevent the embarrassing situation of being unable to find a container. Many freight forwarders have stated that although logistics prices are high now, space is very tight.

 

It has been more than 20 days since the Suez Canal returned to normal in March, but the impact of the congestion in the Suez Canal still exists.

 

 

Industry insiders have previously said that the subsequent impact of the Suez Canal congestion will continue until May, but up to now, the impact of the congestion in the Suez Canal is still very large. So when will the impact on shipping caused by the congestion in the Suez Canal be eliminated?

 

Suez congestion impact expected to subside by June

 

Sea -Intelligence conducted an in-depth analysis of the ripple effects on Asia-Europe network capacity and expanded the scope of the analysis, stating that "basically by early June, Asia-Europe trade will have eliminated all the impact caused by the Suez Canal congestion."

 

But will the impact of the Suez Canal congestion really be eliminated in early June?

 

Maersk has previously predicted that the impact of the Suez Canal congestion on progress and ports will continue until May, and the tight shipping capacity problem will continue until the third quarter!

 

And if it really continues into the third quarter as Maersk said, it will be really sad and tearful news for sellers.

 

However, price increases are an uncontrollable problem for sellers. Since they cannot be changed, they should just accept it calmly! Therefore, as many freight forwarders’ advertisements say, it is recommended that sellers place orders and book warehouses as early as possible, plan shipments in advance, and be prepared for delivery delays.

 

A notice from Amazon yesterday made many sellers heartbroken. Not only did the replenishment restrictions not ease, but it became difficult for sellers to ship goods again. Some sellers said that the goods had just been loaded, but the backend could not confirm it, and now they were stuck.

 

The impact of logistics prices and Amazon’s replenishment restrictions have made the already difficult situation of Amazon sellers even worse. However, the influence of the platform and the market cannot be controlled, and sellers can only pray that they can successfully "survive the disaster"...

logistics

Amazon

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