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Home > News > Valuable News > Effective May 1st! A One-time Increase of US$2,000 in Shipping Surcharges

Effective May 1st! A One-time Increase of US$2,000 in Shipping Surcharges

ECHEMI 2022-04-26

In addition to the difficulty of personnel arriving at the post, logistics and transportation are still a problem that cannot be ignored. If the logistics is not smooth, the production progress cannot keep up!

 

Land transportation:

As of 24:00 on April 20, 2022, a total of 104 toll stations have been closed on expressways in various provinces (autonomous regions and municipalities), and there are no closed expressway toll stations and service areas in Beijing, Tianjin, Fujian and other provinces.

 

At present, there are still control measures for expressways in Jiangsu, Hebei, Zhejiang and other places. According to reports, the expressway in Wuxi, Shanghai and other places could not get off the train, resulting in the long-term detention of trucks. Not only that, but the price of ships will also rise recently, and the land transportation will not work, and the choice of shipping is also very painful.

 


Shipping:

As Shanghai enterprises resume work and production one after another, it is expected that the volume of seaborne cargo will increase rapidly in May. Recently, a number of shipping companies have subsequently announced that from May 1st, the "General Rate Surcharge" (GRI) for the trans-Pacific route from Asia to the United States will be raised. COSCO, ONE, Evergreen, Yang Ming, HMM and other shipping companies. All are on the rise!

 

For this price adjustment, a surcharge ranging from 1,000 to 2,000 US dollars will be levied, which is roughly equivalent to one to two percent based on the increase in freight rates.

 

Suzhou borders Shanghai, and its manufacturing industry is not only an important part of the global manufacturing industry, but also the main force of foreign-invested industries. But the current state of logistics has impacted the operations of many companies. The goods cannot be delivered to the customer, the price of the ship will rise, the logistics extension will lead to the increase of the logistics cost, and the storage cost will be incurred when the goods are stored for a long time...

 

For foreign trade production enterprises, on the one hand, the risk of default has increased, which has led to the company "doing not dare to accept orders";

 

Some companies are not unwilling to resume work, but are afraid of making mistakes and taking responsibility. Therefore, even if they have been included in the whitelist for resumption of work, they choose not to resume work, just because they are afraid of cases and the production will be stopped. Although work and production have been gradually resumed, there is still a long way to go to solve problems such as personnel arrivals, supply chains, and road closures.

Disclaimer: ECHEMI reserves the right of final explanation and revision for all the information.

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