Ports worldwide are experiencing congestion, recording new highs as a result of geopolitical conflicts and natural factors, including weather, which has impacted the functioning of the Panama Canal.
According to sources, over 4.3 million TEU of ship capacity is currently waiting to be allocated a berth at the ports, compared to the bottleneck during Covid-19, which was around 4 million TEUs. The present situation remains worse than the one during the peak of the global pandemic.
Most of the stuck capacity is affecting the container ship fleet, with 12.6% of the total containership capacity suffering from delays in their schedules. This number, however, was 15.7% during the 2022 restrictions due to Covid-19.
Longer waiting times translate to longer turnaround times, which leads to an escalation in the freight rates and operational costs for companies.
Most of this disruption is happening in East Asian ports, where weather conditions, including a surge in tropical storms this year, have adversely impacted even the top-performing Chinese ports and ship schedules.
The busiest port
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