April 2022

Röhlig Asia Logistics Newsletter

harbour container ship

Restrictions lift in Shenzhen while Shanghai remains under lockdown  

April 2022 - Following a series of new restrictions across China in an effort to tackle outbreaks of Covid-19, cities like Shenzhen are returning to normal working operations. However in Shanghai, the general public have been asked to stay at home while road transport is still being strictly controlled. The effects of the lockdown have already started to be felt further afield, with some vessel schedules in South Korea uncertain until operations in Shanghai recover.

Click the regions below to find out more.

Greater China

  • Shanghai remains under lockdown while further mass testing is carried out in the midst of a recent outbreak of Covid-19. The general public are required to stay at home with the exception of industries providing basic livelihood necessities such as food, fuel, sanitation services, etc. Public transport remains suspended.

  • In Shanghai, our Yangshan and Waigaoqiao bonded warehouses are operating under extremely limited capacity while the majority of personnel remain under lockdown. Trucking is also severely restricted. Operations at our general warehouses in Yangshan and Jiading remain suspended due to lockdown measures.

  • Sea Freight services remain operational in Shanghai, however capacity is severely affected by community lockdowns and traffic restrictions in/out of the city.

  • Sea Freight rates in Taiwan have decreased over the last two weeks, with more pressure easing off space than before. Vessel on-time ratios are still lingering at the lower levels due to congestion in earlier ports of call.

  • Truckers entering the Kaohsiung and Keelung ports in Taiwan are required to produce a Covid-19 negative test report.

  • Airports remain operational. At Pudong International Airport (PVG), measures are in place to ensure operations can continue. However, road transport to the airport is severely affected.

  • Our Rail Team has recently introduced alternative China-Europe multimodal solutions. Contact cn.rc.rail@rohlig.com to learn more.

  • In Shenzhen, last month’s lockdown measures have been lifted and the vast majority of public venues and transport are accessible when providing proof of a negative Covid-19 test taken within the last 72 hours.

South Korea

  • Due to vessels often calling at Shanghai prior to South Korea, the lockdown measures in China are having a knock-on effect in South Korea. In addition, available vessels from South Korea are being reduced or omitted in order to load shipments from Shanghai.

  • Container ocean freight for the Korea-Japan route remains stable for both import and export.

  • Export freight rates are maintaining previous levels, while import freight rates are rising, but are likely to level out soon.

  • Due to the lockdown in Shanghai, handling of all special air cargo (DG, PER) is paused until further notice.

  • Following rerouting around Russian airspace, a major increase in air fuel surcharges is expected after April 15.

 

  • Sea Freight carriers have suspended services to/from Russia and Ukraine.

  • Sea Freight fuel price increase has led to a slight adjustment on BAF surcharges.

  • Fuel prices are increasing and war risk surcharges are being applied in some cases. Air freight rates are rising for East and Westbound routes between Southeast Asia and Europe.

  • Demand for air freight remains high despite diminishing capacity to/from Europe due to cancelled or rerouted flights around Russia.

Malaysia

  • Operations may slow down during the May 1 holiday and Eid al-Fitr in early May. Be advised that there may be a cargo rush following these holidays.

Indonesia

  • Road restrictions will be applied between April 28-May 1 and May 7-9 in advance of the Eid al-Fitr holiday (May 2-3). Please be aware that operations will be limited during this national holiday.

Vietnam

  • Fuel surcharges are increasing, with transport fees and all commodity prices increasing by 10-30%.

  • The Loadstar has reported plans for the expansion of the Cai Mep container port close to Ho Chi Minh City.

Singapore

  • Operations may slow down during the May 1 holiday and Eid al-Fitr in early May. Be advised that there may be a cargo rush following these holidays.

Thailand

  • Air and sea freight demand will be high in the first two weeks of April due to the approaching New Year holiday from April 13-17.

  • Air freight rates have increased by around 20% compared to the previous period.

  • All ports, CFS, ICDs are working as normal across the country.

  • Sea Freight equipment is being released on the basis of forecasts received at least 4 weeks in advance. We are constantly ensuring that we can secure space for our customers in terms of FCL and LCL.

  • Shipping lines continue to apply blank sailings, and we will update customers in the event of any congestion.

  • Shipping lines have also resumed applying increases in rates, with equipment often being released to those paying the highest rates.

  • The Director-General of Civil Aviation (DGCA) has extended the ban on regular commercial international passenger flights until further notice. Air freight space is therefore cut and air freight rates are expected to rise as a result.

 

We would like to thank all of our customers for your ongoing support.

Questions or concerns? Contact our teams today.

Download available

April 2022 | Röhlig Asia Logistics Newsletter

Download PDF

DISCLAIMER - All information is provided in good faith for guidance and reference purposes only. It is of a general informational nature, and Röhlig Logistics GmbH & Co. KG takes no legal responsibility for the accuracy of the information provided via this document. Röhlig Logistics GmbH & Co. KG makes no representation as to the accuracy or completeness of any of the information contained herein and accepts no liability for any loss arising from the use of the information provided.


Röhlig Asia Logistics Newsletter