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26. August 2021

The closure of Chinese ports will also affect the European supply chain

The closure of Chinese ports will also affect the European supply chain

Tighter measures to prevent Covid-19 in China are affecting the European supply chain. A major Chinese container terminal, Ningbo-Zhoushan, closed last week. Asian ports have already closed on a single infection on Covid 19. Anti-crown measures to normalize global supply chains do not seem to end.

Ningbo, China’s third-largest port, lies between Shanghai and Hong Kong. Cargo ships are waiting to be unloaded. Port operators have closed the most important Meishan terminal. Larger shipowners are already diverting their ships to neighbouring ports.

The closure of Chinese ports is crippling the electronics market

Congestion in international shipping has the most significant impact on the electronics market. Larger shipowners such as Maersk have diverted all their ships deployed to Ningbo, the Meishan terminal, to other ports. The prices of international shipping are skyrocketing (and still rising), suppliers are raising the price of products. As a result, items on the shelves of our stores will also become more expensive.

The epidemic also affected dizzying freight prices

The covid-19 outbreak has not only affected congestion in international shipping but has also contributed to dizzying freight prices. Shipping prices have not been so high since 1973.

 

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