With the supply chain stressing with
shipment delays and cancelations in
large percentages, some carriers have
cancelled sailing than have their ships
tied up for a long time at a single
port. Container liner shippers such as
Hapag Llyod moved some cargo to smaller
ports on the West Coast such as Oakland
and have cut their sailings into
Southern California between 20% and 30%
in the recent months.
Container
lines and their importing customers are
looking for alternate paths to get
around the bottlenecks at the major
trade gateways in Southern California
where cargo vessels are still anchored
offshore at congested seaports. Shipping
lines began moving their operations to
smaller ports and canceled sailings
altogether to avoid the back ups that
tied up an overwhelming number of ships
and container goods off the Ports of Los
Angeles and Long Beach.
Franceβs CMA CGM SA, the worldβs
fourth-largest container operator by
capacity, said it was replacing a weekly
six-ship service from China to Los
Angeles with a separate sailing to
Oakland, Calif., and Seattle.
The
astounding numbers of container ships
anchored off the Ports of LA and LB, and
the vessels at berth loading and
unloading cargo have backed up
inventories. Dockworkers are coping with
the Covid-19 outbreak slowing down
operations and others sick with Covid-19
leaving cargo terminals with fewer
handlers.
Mario Cordero, the director of Port Long Beach said, βThe waiting time to dock is up to seven days on averageβ.
With the backups, importers are struggling to speed up the flow of goods to stores, factories, and customers. The delays have many companiesβ growing customer base frustrated. Tight shipping capacities with delays in shipping will have product giants facing large expenses in air shipments, expediting ocean freight, and getting their containers to ports that are less congested.
More developments are imminent to help move the backlog of import containers from port facilities. These developments could very well be more Covid-19 vaccinations given to long-shore men as well as the moderate drop in container volume during the New Lunar Year.