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Congestion, epidemic situation, high demand, new situation of air transportation

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The number of container ships waiting for berths in Los Angeles and Long Beach port across the Pacific coastline is increasing day by day. Now there are more than 100 to 101.


 News of cargo vessel congestion


According to the latest data of the marine exchange of Southern California, 101 container ships are parked or wandering on two gateway channels in the United States waiting for berths on the 1000 mile north American coastline. Before the epidemic, ships that usually took only two weeks to sail from Asia to North America now occupy huge transportation capacity due to congestion and delay. Some ships have berthed for more than 45 days. "Zhonggu Shandong" has been waiting for berth for 55 days.


 News of cargo vessel congestion


Although the port of Los Angeles disclosed that the number of waiting ships had been reduced by nearly half in a week, the congestion had not been alleviated. Last month, the U.S. authorities pushed the anchorage of ships waiting for berths off the coast of California and asked ships to stop 150 miles from the coastline. When we can't see a large number of container fleets, the number of subsequent congested ships continues to increase.


Through the cross tracking analysis of Clarksons' port congestion data and Los Angeles port departure volume data, it is confirmed that the port congestion has not been alleviated. The reduction is due to the adjustment of anchorage arrangement rules, resulting in some ships not being counted.


The Southern California Shipping Exchange adjusted the waiting queue rules at the anchorage on November 15. According to the previous rules, ships waiting to enter the port can stay at the anchorage within 20 nautical miles from Los Angeles port and Long Beach port. In the past six months, the intensification of port congestion has led to overcrowding in the waiting area. For the sake of safety and air pollution, the new regulations stipulate that, except under special circumstances, waiting ships can only wait in the sea area 150 miles away from Southwest California and 50 miles away from California and Mexico. Only ships that can enter the port within 72 hours of port notice are allowed to slowly approach the port anchorage and wait nearby. As a result, the distance between cargo ships is enlarged, which also lengthens the speed of cargo entering the port, resulting in further aggravation of port congestion.


According to the latest data from the marine exchange of Southern California, there are 101 container ships stranded, of which 30 are parked in the waters of Southern California and 71 are sailing or drifting slowly outside the designated safety and air quality areas.


"Can you imagine the risk of 101 container ships gathering within 40 miles of Los Angeles in tonight's storm?" Now, these ships spread 1000 miles, many of them in relatively calm waters south of the Mexican coast. " The exchange posted on Facebook on the 13th.


 Congested boats


As of the evening of the 13th, the authorities had actually cleared all ships parked in Los Angeles and long beach in response to the upcoming storm.


Sal mercogliano, an associate professor at Campbell University in North Carolina, pointed out in the latest video of his popular YouTube "what's happening in shipping" series that the waiting time of ships on the trans Pacific trade route is extremely long. The video points out that the "navios Amarillo" waiting in the sea area of Baja, Mexico and the "Maersk Esmeraldas" waiting in the sea area of Xiamen are the most typical cases.


4250teu's "navios Amarillo" left Busan Port, South Korea, on November 17. At present, it is moored in Mexican waters. It is planned to dock in Los Angeles on January 2 for 46 days.


 Navios Amarillo


The 13000 TEU Maersk Esmeraldas, which had been attached to Hong Kong, Shenzhen, Yantian and Xiamen ports at the end of November, left Xiamen port two days ago (in fact, it left on December 1). At present, it is still parked in the sea area not far from China's coastline. It is planned to arrive in Los Angeles on January 11. It takes a month of transit time, which shows the scale of congestion on the trans Pacific route.


 Navios Amarillo

Voyage Plan


Los Angeles and long beach ports announced on the 13th that the planned "container overdue detention fee" charged to shipping companies will be postponed for another week, which is the fifth postponement. The fine was first introduced in October, but has not yet been implemented.


As consumers' soaring demand is met before Christmas, some importers need to ensure that their goods can be put on the shelves in time during holidays, so they have to give up shipping and transport by air.


However, according to relevant statistics, in the past three months, the price of air transportation to and from major routes in Asia has doubled.


The air travel price from Shanghai to North America has reached a record high of $14 per kilogram, far higher than the $8 per kilogram at the end of August, and the current price has refreshed the historical high of $12 per kilogram in the early days of COVID-19, the Financial Times reported. But the extra cost of air transportation may put pressure on consumers through inflation.


 Air Freight Rates


At the same time, the air transport prices of similar routes, such as routes from Hong Kong, China to Europe and the United States and transatlantic routes between Europe and North America, have increased significantly.


"As we all know, if you want goods on the shelves before Christmas, you must use air transportation." One of the world's largest freight forwarders, said Yngve Ruud, global air freight director of Kuehne + Nagel. A freight forwarder said: "the market expects that the peak season and air freight market demand will continue until March next year."


According to the analysis of the financial times, there are many reasons for the soaring air transport prices:

•First, the global shipping congestion has led a large number of enterprises to take air routes to transport fashion products, consumer electronics products, parts and other products.

•Secondly, the wide spread of the new crown "Omicron" strain has led to a large demand for new crown detection reagents and personal protective equipment all over the world.

•Finally, the global supply chain is extremely busy due to the holidays such as "Black Friday" and Western Christmas.


 Air Freight


It is understood that at present, some airlines have turned to undertake air transportation business, and logistics companies such as FedEx and DHL are also filling some gaps to fully meet the growing demand for such convenient, fast but expensive services.


Marco bromens, the freight consulting director of Accenture's Sibley consulting company, said that the current transport capacity of the aviation industry is still 13% less than that in 2019, but the demand in the same period has increased by 6%, resulting in a gap of nearly 20 percentage points between supply and demand. According to the latest statistics and analysis report, the current chaotic supply chain situation may not be alleviated until the second half of 2022.

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