Global Maritime Hub
No Result
View All Result
  • Login
  • Premium Content
    • All
    • Economic Impact
    • Emissions, Fuel Technology & Environment
    • Financing
    • Hinterland & Intermodal
    • Offshore Vessels Market
    • Piracy & Security
    • Port Environmental Impact
    • Ports & Terminals
    • Ship Building
    • Shipping Economic Trends & Regions
    • Shipping Workforce Issues
  • Blog
  • Events
  • Industry Links
    • Broker
    • Certification
    • Consultant
    • Industry Association
    • Institute & Think Tank
    • Legal Experts
    • Official Institution / Body
    • Port & Port Authority
    • Recruitment Specialist
    • Research & Market Data
    • Shipping Company
    • Industry Blog
    • Trade Media
    • Training & Education
  • Newsletter
  • Videos
  • Other Hubs
    • GLOBAL LNG HUB
    • EUROPEAN GAS HUB
    • THE COAL HUB
  • Subscribe
  • My account
  • Login
SUBSCRIBE
  • Premium Content
    • All
    • Economic Impact
    • Emissions, Fuel Technology & Environment
    • Financing
    • Hinterland & Intermodal
    • Offshore Vessels Market
    • Piracy & Security
    • Port Environmental Impact
    • Ports & Terminals
    • Ship Building
    • Shipping Economic Trends & Regions
    • Shipping Workforce Issues
  • Blog
  • Events
  • Industry Links
    • Broker
    • Certification
    • Consultant
    • Industry Association
    • Institute & Think Tank
    • Legal Experts
    • Official Institution / Body
    • Port & Port Authority
    • Recruitment Specialist
    • Research & Market Data
    • Shipping Company
    • Industry Blog
    • Trade Media
    • Training & Education
  • Newsletter
  • Videos
  • Other Hubs
    • GLOBAL LNG HUB
    • EUROPEAN GAS HUB
    • THE COAL HUB
  • Subscribe
  • My account
  • Login
Global Maritime Hub
No Result
View All Result
Home Ports and Terminals

Ever Given leaves supply chain disruption in its wake

Editor by Editor
2 years ago
min read2 min
ING economics Suez Canal
Share on FacebookShare on TwitterShare on Linkedin

With the Suez Canal open again, a stretched world trade system can’t catch up overnight, increasing the disruption to supply chains.

RELATED POSTS

Containership-demolition-sales

Containership demolition sales fall to 17-year low in 2022

3 days ago
Asia-Europe-sailings

Asia-Europe: 27% of sailings axed in first seven weeks of 2023

1 week ago
Boxship-Sale-and-Purchase

Boxship Sale and Purchase market shrinks by 50% in 2022

2 weeks ago

The blockage is over, but the damage is done

The six-day-long period of traffic being completely stopped in both directions along the Suez Canal has delayed some 16 million tons of cargo freight on hundreds of container ships. Getting back on track will put an already stretched system under more strain. Estimates suggest that the queue of ships which has built up will be able to move through the canal within two weeks.

Ships arriving at the Suez Canal will be delayed while the backlog is cleared, but opting for the Cape of Good Hope route to avoid the Suez Canal will add at least a week on to journey times. Taking into account the likely bottlenecks when ships arrive at their destinations via either route, the effects of Ever Given’s time in the Suez Canal will be felt in vessel waiting times and port congestion in European and Asian ports for weeks to come, and in global supply chains for much longer.

What the Suez blockage really means for trade

While the impact of the canal disruption may not register on world trade volumes already straining against capacity constraints, it illustrates the risks of the system operating at such tight capacity. This results in any disruption having large ripple effects, with delays quickly causing problems along supply chains that take a long time to resolve.

Running short of equipment is an increasing problem for EU businesses

Suez canal

Source: DG ECFIN, ING calculations

Shipping capacities between Europe and Asia have been under pressure since the beginning of the pandemic, suffering four out of five cancelled sailings of ships while Pacific Routes have seen capacity little changed. Problems have mounted, including continuing shortages of containers and equipment affecting the ability of European countries to export their goods.

Inbound trade has also been a problem, with equipment shortages in the sectors most associated with ocean freight – investment goods (such as machines and computers used by industry), intermediate goods (inputs to manufacturing) and consumer durables (furniture and electronics) increasingly being reported as limiting production within the EU.

Deliveries delayed by the Ever Given will add to these disruptions, in some cases bringing production to a stop. The average delay for late vessel arrivals at ports has risen above six days in 2021, the highest on record, having steadily increased during 2020, as world trade has struggled to keep up with fast-recovering demand around the world.

Another alarm bell ringing, but don’t expect a big rethink of global supply chains yet

The faster than feared re-floating of the Ever Given will help to limit the damage, and allow trade between Europe and Asia to continue to normalise. But this is a setback in what has already been a sustained period of difficult conditions for trade between the two regions.

Nonetheless, a major re-shoring effort is unlikely to follow. Relief is round the corner for some of ocean freight’s worst difficulties, as air freight capacity begins to recover and the most time-sensitive goods can once again be transported by air. Port handling speeds will also increase once safety measures for staff can be relaxed.

Source: ING Economics

Follow on Twitter:

Tweets by "ING_Economics"
Tags: Cape of Good HopeEver GivenING Economicsinternational trade flowsport congestionSuez Canalsupply chain disruption
Editor

Editor

Related Posts

Containership-demolition-sales
Shipping Trends

Containership demolition sales fall to 17-year low in 2022

3 days ago
Asia-Europe-sailings
Shipping Trends

Asia-Europe: 27% of sailings axed in first seven weeks of 2023

1 week ago
Boxship-Sale-and-Purchase
Shipping Trends

Boxship Sale and Purchase market shrinks by 50% in 2022

2 weeks ago
MSC,-CMA-CGM,-Evergreen-and-ZIM
Shipping Trends

MSC, CMA CGM, Evergreen and ZIM strongest growers in 2022

3 weeks ago
Carrier-volumes-drop
Shipping Trends

Carrier volumes drop 5% but results vary across lines

1 month ago
Asia-North-Europe-trade
Shipping Trends

CULines second ’newcomer’ to quit Asia-North Europe trade

2 months ago

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

No Result
View All Result

Trending Posts

Containership-demolition-sales

Containership demolition sales fall to 17-year low in 2022

January 26, 2023
Asia-Europe-sailings

Asia-Europe: 27% of sailings axed in first seven weeks of 2023

January 19, 2023
MSC,-CMA-CGM,-Evergreen-and-ZIM

MSC, CMA CGM, Evergreen and ZIM strongest growers in 2022

January 5, 2023

Recent Post

Bunker-Weekly-Outlook

MABUX: Bunker Weekly Outlook, Week 04, 2023

January 26, 2023
Containership-demolition-sales

Containership demolition sales fall to 17-year low in 2022

January 26, 2023
Asia-Europe-sailings

Asia-Europe: 27% of sailings axed in first seven weeks of 2023

January 19, 2023
Bunker-Weekly-Outlook

MABUX: Bunker Weekly Outlook, Week 03, 2023.

January 19, 2023
Bunker-Weekly-Outlook

MABUX: Bunker Weekly Outlook, Week 02, 2023

January 13, 2023
Boxship-Sale-and-Purchase

Boxship Sale and Purchase market shrinks by 50% in 2022

January 12, 2023

Online platform for sharing information & analysis on trade, shipping, ports and the maritime business more info

Categories

  • Shipping Economic Trends & Regions
  • Ports & Terminals
  • Piracy & Security
  • Emissions, Fuel Technology & Environment
  • Economic Impact
  • Financing
  • Ship Building
  • Hinterland & Intermodal
  • Offshore Vessels
  • Port Environmental Impact
  • Shipping Workforce

Recent Posts

MABUX: Bunker Weekly Outlook, Week 04, 2023

Containership demolition sales fall to 17-year low in 2022

Asia-Europe: 27% of sailings axed in first seven weeks of 2023

Weekly Updates

Sign up to receive our weekly newsletter (each Thursday) with new shipping industry market reports, presentations & analysis.

By signing up, I agree to our TOS and Privacy Policy.

© 2020 GlobalMaritimeHub | All Rights Reserved

No Result
View All Result
  • Premium Content
    • All
    • Economic Impact
    • Emissions, Fuel Technology & Environment
    • Financing
    • Hinterland & Intermodal
    • Offshore Vessels Market
    • Piracy & Security
    • Port Environmental Impact
    • Ports & Terminals
    • Ship Building
    • Shipping Economic Trends & Regions
    • Shipping Workforce Issues
  • Blog
  • Events
  • Industry Links
    • Broker
    • Certification
    • Consultant
    • Industry Association
    • Institute & Think Tank
    • Legal Experts
    • Official Institution / Body
    • Port & Port Authority
    • Recruitment Specialist
    • Research & Market Data
    • Shipping Company
    • Industry Blog
    • Trade Media
    • Training & Education
  • Newsletter
  • Videos
  • Other Hubs
    • GLOBAL LNG HUB
    • EUROPEAN GAS HUB
    • THE COAL HUB
  • Subscribe
  • My account
  • Login

© 2020 GlobalMaritimeHub | All Rights Reserved

Welcome Back!

Login to your account below

Forgotten Password?

Create New Account!

Fill the forms bellow to register

All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In
We use cookies on our website to give you the most relevant experience by remembering your preferences and repeat visits. By clicking “Accept”, you consent to the use of ALL the cookies.
Cookie settingsACCEPT
Manage consent

Privacy Overview

This website uses cookies to improve your experience while you navigate through the website. Out of these, the cookies that are categorized as necessary are stored on your browser as they are essential for the working of basic functionalities of the website. We also use third-party cookies that help us analyze and understand how you use this website. These cookies will be stored in your browser only with your consent. You also have the option to opt-out of these cookies. But opting out of some of these cookies may affect your browsing experience.
Necessary
Always Enabled
Necessary cookies are absolutely essential for the website to function properly. This category only includes cookies that ensures basic functionalities and security features of the website. These cookies do not store any personal information.
Non-necessary
Any cookies that may not be particularly necessary for the website to function and is used specifically to collect user personal data via analytics, ads, other embedded contents are termed as non-necessary cookies. It is mandatory to procure user consent prior to running these cookies on your website.
SAVE & ACCEPT

Brighten Up Your Thursday!

SIGN UP to receive our free weekly newsletter with new shipping market reports, presentations & analysis! EVERY THURSDAY!