- The coronavirus outbreak in Wuhan caused the entire nation to go into lockdown.
- China handles nearly 30% of world traffic or nearly 715,000 containers per day last year.
- It has impacted supply networks from varied sectors.
- The average wait time for a container ship to dock in China has increased to 60 hours due to labor shortage.
- The labor shortage has been attributed to virus outbreak, travel restrictions and lunar holidays.
- With drivers returning, processing rates at Zhoushan surged with up to 13,235 TEU containers clearing the port on Feb. 22, compared to only 5 TEUs on Feb. 16.
According to an article published in NMSU Daily, a virus outbreak that originated in the metropolis of Wuhan caused the entire nation to go into lockdown.
Cargo operations affected
China is the largest container cargo handler – processing nearly 30% of world traffic or nearly 715,000 containers per day last year – and the virus clampdown impacted supply networks of everything from sneakers and machine parts to technology components.
Waiting time increases
The average wait time for container ship at Zhoushan in southern China – the third-largest container port on this planet by annual handling capacity – hiked to over 60 hours in the week of February 11-17, when travel limitations on workers returning from the extended Lunar New Year vacation forced ports to function with skeleton staffing.
Travel constraints
That was about 15 hours longer than the week before the holiday, and practically 20 hours more than in early January before the travel constraints, based on Shanghai International Shipping Institute (SISI) data.
However, turnaround times at Zhoushan and other ports are beginning to improve as more container crane operators, customs delegates, tugboat pilots, and different vital logistics links slot back into place.
Returning drivers
After port authorities offered support for returning drivers, and chartered buses to bring them back, Ningbo reported nearly 7,000 truckers back at work by Feb. 21, reports Reuters.
Processing rate surge
Processing rates at Zhoushan surged as a result, with up to 13,235 twenty-foot-equivalent unit (TEU) containers clearing the port on Feb. 22, compared to only 5 TEUs on Feb. 16, according to SISI data.
While processing rates remain well below the port’s daily average of just over 75,000 TEUs in 2019, the improved flow is being noticed.
Some ports have even managed to surpass year-ago processing rates in an effort to clear the backlog.
Fewer vessels diversions
Shanghai’s port of Yangshan, the biggest deepwater container port in China, cleared 59,800 TEUs on Feb. 20, exceeding the average daily volume in 2019 of 54,200 TEUs, the port said.
Chinese ports are also seeing fewer vessels divert to other destinations because of the backlog, with 61 container vessels redirected from China last week, down from a peak of 144 vessels in early February.
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