Asia Ports Update 11th August 2021

The following was issued by the Woodland Group:

ASIA PORTS UPDATE
PRESSURES INCREASE
Asia port operations have been impacted by renewed outbreaks of COVID-19, connected lockdowns, as well as extreme weather events locally, resulting in staff shortages, delays and port (part) closures further exacerbating existing equipment shortages and pressures on the market.
 
 
Increased Covid protocols at Chinese ports in particular, such as ships only being allowed to berth after crews test negative and truck drivers only being allowed into certain ports with a negative test – all lead to more congestion.

Concerns over the possible impact of a wider or extended lockdown in China are increasing, as further pressure on the market would put significant strain on the industry which has experienced turmoil over the past 18 months.

As factories look to reopen and manufacturing starts to ramp up, equipment shortages are expected to worsen further in the weeks to come.

Growing congestion fears in Asia are being matched by delays at US west coast ports as reported here. Today, around 30 ships are at anchor in California queuing, with severe delays expected as a result.

Trucking delays on the East coast add to container dwell times while rail congestion is further exacerbating the delays in US import deliveries and the return of empties to Asia for exports.

An overview of current Asia port operations below:

China, Hong Kong & Taiwan

Shanghai WGQ: Port is operational but all terminals are heavily congested, with delays between 4-5 days and currently 20 vessels anchored and waiting to berth.

Shanghai YS: Port is operational but all terminals are heavily congested, with delays between 4-5 days and currently 17 vessels anchored and waiting to berth.

Ningbo: Port is operational but all terminals are heavily congested, with delays between 1-2 days.

Xiamen: Due to tropical depression Lupit, inbound pilotage was suspended between 04/08 1800 and 07/08 1900.
Following almost 3 days of closure, the port is heavily congested (1-2 days delays). Due to tightened quarantine measures enforced by the authorities, further congestion is expected with anticipated shortage of stevedores/manpower.

Fuzhou: Due to tropical depression Lupit, inbound pilotage was suspended between 04/08 1700 and 07/08 1500.

Hong Kong: High yard utilization with density 85-90% today.

Shekou: Port is operational but all terminals are heavily congested, with delays around 2 days. Yard utilization is high with density around 90-95% today.

Yantian: Port is operational but all terminals are heavily congested, with delays between 2-3 days. Yard utilization is high with density around 80% today.

Kaohsiung: Due to tropical depression Lupit, inbound pilotage was suspended between 05/08 0900-08/08 0600.
Following almost 3 days of closure, the port is congested with delays of a day.
APL Kaohsiung terminal is under high yard utilization (09/Aug: 85%)

Japan & Korea

Korea: Port operations are normal.
In Pusan BNCT,
  • Today (09/Aug) yard utilization is 88%
  • Many vessels stuck and late from SHA/NGB, which makes the situation more volatile with uncertain arrival time
  • Vessel bunching and congested are expected this weekend, with delays between 1-1.5 days
  • Extra t/s has been arranged in Pusan as contingency which further worsens yard congestion

Japan: Port operations are normal.

Southeast Asia

Philippines: Port operations are normal.
Heavy berth congestion in Manila, due to bad weather and safety protocols.

Thailand/Cambodia: Port operations are normal.

Singapore: Vessel operations are impacted with lower productivity and higher pre/post ops idle time.
Terminal is congested with delays around 1-2 days. Vessels with net discharge may have to wait 3-4 days or even more.
Also, the terminal is suffering from:
  • High inventory utilization
  • Bunching arrival of group vessels
  • Low productivity due to high yard density & roll-overs
  • Extra T/S connection & activities in SIN
  • Longer port-stay for contactless operations protocol

Port Kelang: Port operations are normal but activity is low.
Heavy congestion in WP with delays around 2-3 days due to vessel bunching as well as low productivity (yard congestion & less manpower). Yard utilization is still high with density >95%.

Vietnam: The lockdown in South Vietnam has caused a 100,000 teu pile-up at Ho Chi Minh City’s Cat Lai port. A number of vessels are stuck because of lower productivity in ports. The rapid surge in the volume of over-dwelled import containers at Cat Lai had negatively impacted vessel handling and has resulted in measures being implemented to encourage shippers to pick up their cargo, including offering free transport to nearby depots.
Should you require any further information or want to discuss your supply chain planning, please contact your local Woodland representative or reach out to us here.

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