Port of Yantian Update

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Port of Yantian Update

For all of us involved in international shipping, we understand that for every disruption there’s usually a disproportionately large reaction (unlike Newton’s third law of motion).

The Port of Shenzhen emcompasses over a dozen facilities including Yantian (one of the world’s largest and busiest container ports). The Port of Shenzhen is located in the Pearl River Delta—including Shenzhen, Guangzhou, Foshan, Zhuhai, and other coastal cities. This area accounts for roughly 25% of China’s total exports by volume.

Yantian has been currently operating at 30% operational capacity. What does this mean in numbers? The annual throughput of Yantian last year was 13.3 million TEUs. That’s close to 37,000 TEUs in average daily throughput. At 30% operational capacity, Yantian was missing out on processing close to 25,900 TEUs a day—roughly half the number of TEUs that pass through the Suez Canal every day.

The Suez Canal was blocked for 6 days. The Yantian International Container Terminals have now passed two weeks since COVID-19 cases effected its’ operations. We expect several more weeks of impact to the South China coast. On Monday, June 14th, there was 67 container vessels at anchor off the South China coast.

There is some good news coming from Yantian over the last few days. Waiting times are down from 18 days to around 9 days. The port is expected to move above 50% of berthing capacity by late this evening, June 15, 2021. There is some news that by next week, June 22, 2021, all berths will be back in use. Hopefully, the week starting off with some good news will be indication for more optimism to come.

Many of our clients understand the enormous impact of supply chain disruptions including, freight rate increases, equipment shortages, drayage delays, increased congestion, and more. Many of us are seeking corporate and governmental interventions for relief. Today, there is a U.S. House of Representatives Hearing regarding the “Impacts of Shipping Container Shortages, Delays, and Increased Demand on the North American Supply Chain.” We will continue to monitor this situation and advise our clients as changes occur.

We work tirelessly to keep delays as short as possible and additional costs low especially during times of global crisis. We advise our clients to make bookings as early as possible. Contact us to discuss alternative routings, different modes of transportation, and other freight engineering to assist in the movement of your goods.