Recently, a ship departing from Taiwan easily strangled the throat of world trade on its own. Since then, the Suez Canal has become popular and enjoys the star treatment of being a regular hot search on Weibo.
Today, the hot search on Weibo about the Suez Canal is: The bow of the stranded cargo ship in the Suez Canal is damaged and flooded! ! ! Many netizens began to worry, will the ship capsize and sink? It is understood that more and more ships have been diverted, and many people have said that due to this incident, the freight rates on the Europe-Mediterranean route and the US-West Coast route will soar again.
However, the latest news shows that EVER GIVEN successfully refloated at 4:30 am on March 29, 2021. This means that the rescue work has made significant progress!
Sellers should also note that floods are hitting the United States. According to foreign media reports, floods have hit Tennessee and Virginia, and many local roads have been closed, which will undoubtedly affect logistics delivery.
In addition, there is also the Amazon warehouse explosion incident. A freight forwarder stated that due to the explosion of the UK Amazon warehouse, a large number of Amazon packages have piled up in the DPD warehouse and cannot be delivered. DPD has decided to suspend all pickup services from next Monday (March 29).
Great news! The stranded ship in the Suez Canal has refloated!
Recently, the congestion in the Suez Canal has attracted much attention. According to the fresh feedback from the front line, EVER GIVEN has floated again!
It is understood that EVER GIVEN was successfully refloated at 4:30 am on March 29, 2021. A freight forwarder said that the ships sounded their horns to celebrate.
What is the impact of the continued congestion in the Suez Canal?
According to foreign media reports, the Suez Canal channel continued to be blocked in both directions yesterday. Despite continued efforts to move the container ship operated by Evergreen Marine, unfortunately, there are now more than 300 ships waiting for anchorage to pass through the canal. Maersk and its partners have three ships stuck in the canal, 27 vessels waiting to enter the canal, and two more ships are expected to arrive at the blockage. So far, we have rerouted 15 ships around the Cape of Good Hope at the southern tip of Africa, Maersk said.
The canal remains blocked every day, and the chain impact on global shipping capacity and equipment continues to increase. The blockage has triggered a series of disruptions and backlogs. Even after the canal reopens, it may take months for global shipping to resolve. The congestion in the Suez Canal will lead to further shortages in the market.
In addition, Maersk also announced the latest developments of ships in the Suez Canal, including ships in the canal, ships heading to the canal, and ships that have changed routes. Sellers can check whether their goods are on these ships.
Vessels in or heading to Suez ↓ Reroute ships ↓
At present, many ships have begun to change their routes, but the change of route will take more time. Foreign media said that if container ships avoid the Suez Canal and detour around the Cape of Good Hope, this will increase the voyage by more than 8 days.
Because there are too many ships waiting in the Suez Canal, a source from the maritime services company GAC told the Sputnik News Agency that the Suez Canal will operate all day after it is dredged to allow cargo ships gathered at the entrance and the middle lake to pass. The source said: "As soon as the canal resumes operation, it will work all day to quickly allow all waiting ships to pass."
While it is small news that the vessel has started to move, two sources in the Suez Canal Authority said a rock was found on the bow, complicating salvage efforts, Reuters reported.
Today, the cargo ship stranded in the Suez Canal soared to the second place on Weibo's hot search list. It is understood that a spokesperson for Bernhard Schulte, the company that manages the stranded cargo ship "Ever Given", said that the bow of the ship was damaged and river water poured into two cabins. After the "Ever Given" is refloated, it will be assessed whether the freighter can leave the Suez Canal.
Seller: The shipping cost will probably go through the roof!
It is understood that the Suez Canal carries 14% of the world's maritime trade volume, and hundreds of ships pass through it every day. After the canal was blocked, netizens were also worried:
A: The boats queuing behind me must be going crazy! B: No sails pass by the side of the sunken boat! This ship blocking the Suez Canal has not been moved yet, and it is even broken. I am afraid that the freight rate will go through the roof... C: It’s actually broken. I hope the boat won’t capsize! D: Foreign trade is not easy to do! Freight forwarding is not easy to do! Shipping company agent is not easy to do! “Any prolonged blockage would have serious consequences, affecting oil prices and freight rates, and would also force container ships to take longer routes around Africa,” said Samir Madani of Tanker Trackers, a website that tracks tanker traffic . Brokers and shipping analysts said the blockage threatened to create days-long backlogs at European ports and exacerbate container shortages in Asia, sending freight rates soaring. Anas Alhajji, a Texas energy expert , said crude oil prices have risen by more than $1.5 a barrel, or nearly 3%, since the canal was blocked.
Now that the rescue work has made significant progress, will freight rates stop rising? Let us wait and see.
Floods hit many states in the United States, local road closures caused logistics delays
Why is there so much bad weather in the United States? Previously, the United States was hit by a snowstorm, and Denver Airport canceled many flights. Now, many areas in the United States are receiving the baptism of floods ... According to foreign media reports, Tennessee and Virginia experienced severe weather and hail storms yesterday, and rainfall on Sunday caused flooding throughout the region. In northeast Tennessee, several roads were closed in Greene County, including: Poplar Springs Road, Shackelford Road, Carpenter Church Road, Portertown Road, Fairfield Road, Crumley Road, Marvin Road, Wise Carver Road, the Iron Bridge side of Gilbrandt Mill Road and Oakland Road. The county's highway department is closing roads to clear them because of flooding. The Hawkins County Emergency Management Agency reported multiple road closures across the county on Sunday due to flooding and severe weather.
Floodwaters also surged into neighborhoods, inundating homes, and rivers and creeks running through Nashville continued to swell and were not expected to peak until late Sunday or early Monday. Flash flood warnings were in effect until Sunday after parts of middle Tennessee received just over 7 inches of rain.
Middlesboro, Kentucky, also experienced significant flooding, though no one was killed. Heavy rain closed major roads in Middlesboro on Sunday morning, flooding cars and leaving water inside homes and businesses.
Mayor Rick Nelson said the flooding began around 5 a.m. and continued to rise, covering much of Cumberland Avenue and temporarily closing busy U.S. 25 E. Nelson also said he knew of at least 25 homes that were damaged. Currently, many parts of the United States have been hit by floods, and local areas have also taken some measures to close roads, so delivery time will definitely be delayed.
UK DPD warehouse suspends all pick-up services!
In addition to floods and the blockage of the Suez Canal, which will affect logistics timeliness, the explosion of FBA warehouses also prevents sellers from delivering their goods to consumers as expected. Recently, the editor just reported that German UPS/DPD/GLS were affected by the explosion of all Amazon warehouses in the Nuremberg 90451 postal code, and the news that they could not be restored in a short time, and now there is news of another warehouse explosion!
The freight forwarder stated that due to the warehouse explosion at Amazon UK, a large number of Amazon packages were piled up in the DPD warehouse and could not be delivered. DPD decided to suspend all pickup services from next Monday (March 29).
The picture above is the content of the email.
There have been many major logistics events recently, so sellers should pay more attention to the latest logistics developments to avoid pitfalls.
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