Serious congestion! 500,000 TEUs waiting to dock!

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Congestion at ports around the world is becoming increasingly apparent, with severe congestion at ports such as Singapore, Durban, Dammam, Chittagong, Colombo, and Jebel Ali.

Severe weather, geological disasters, political factors, ship failures, labor shortages, insufficient infrastructure, and tight global supply chains. These factors are intertwined and jointly contribute to the current congestion situation in global ports.

The peak season effect has arrived early, and congestion is expected to intensify during the peak season. In response to congestion, some shipping companies have chosen to jump to ports and stop calling, forcing freight rates to rise.

Container congestion at the Port of Singapore has reached unprecedented critical levels, according to a new report from Linerlytica.

Currently, the number of containers in the Port of Singapore is constantly piling up, and congestion is very serious. A large number of ships are queuing up outside the port waiting to berth, and the backlog of containers exceeds a staggering 450,000 TEU. The analytics firm estimates that queues for these ships can be up to seven days.

This severe congestion has forced some shipping companies to cancel planned calls at the Port of Singapore, which has undoubtedly intensified the pressure on ships to reach the port directly. These ships will have to face the challenge of handling additional container volumes, further exacerbating supply chain tensions.

The conflict in the Red Sea region has had a profound impact on the global shipping industry, forcing major changes in ship sailing plans, which in turn affects the Port of Singapore.

Congestion at the Port of Durban is rooted in extreme weather and an equipment failure at port operator Transnet, which has left more than 90 ships waiting outside the port.

Congestion expected to last for months, the shipping giant imposed a congestion surcharge on South African importers due to a lack of equipment maintenance and available equipment, further exacerbating the economic pressure.

At Jebel Ali Port, due to tensions in the Red Sea region, ships on major routes such as Asia and Europe have to choose to bypass the Cape of Good Hope, which increases the transportation pressure at Jebel Ali Port.

Delays at Jebel Ali Port range from 3 to 4 days, and the waiting time for ships from arrival to berthing can be as long as seven days, exacerbating port congestion.

Due to the increase in the number of ships, the yard density at each terminal is at a high level, which not only affects operating efficiency, but also aggravates delays in transshipment between terminals.

Jebel Ali Port, one of the largest and busiest ports in the Middle East, is also seeing increasing transshipment volumes, especially amid the Red Sea crisis and tight global supply chains, which is further exacerbating congestion at the port.

Due to labor shortage and reduced efficiency, the Port of Colombo has a backlog of 50,000 TEUs of cargo, which has led to shipping delays and rate increases, and has thrown cargo transshipment into chaos at important transit ports in South Asia.

Freight rates in Colombo have doubled due to congestion and delays, with shippers required to book a slot eight weeks in advance.

The congestion at Colombo Port not only affects itself but also its neighbors India and Bangladesh.

In fact, since November last year, the conflict in the Red Sea has had a profound impact on the global shipping industry. Ship sailing plans were forced to undergo major changes, which not only affected major ports in Asia and Europe, but also put unprecedented pressure on the global supply chain.

As the conflict continues,It is expected that the shipping industry will face more challenges and uncertainties in the future.

Affected by the Red Sea crisis, the peak season arrived early in the third quarter, and the peak season effect is expected to continue. At present, there is not only a shortage of ships in the market, but also a shortage of containers.

In addition, due to the detours of ships, the demand for ports in places such as the Western Mediterranean has increased significantly, leading to increased port congestion. Some major ports in Asia are also facing congestion, which will also affect the efficiency of ship use.

As the peak season approaches, congestion at these terminals is likely to intensify, further exacerbating the tight supply and demand situation for ships and containers.