A heavy typhoon season is the latest threat to global supply chains, with potential for further delays at the world’s busiest container ports.
Last week, Yantian port suspended drop-off services due to a typhoon alert. A fortnight prior to that, Shanghai’s Yangshan facility and nearby ports were evacuated in response to Typhoon In-fa.
With global supply chains already facing disruption due to COVID-19 outbreaks and political unrest, the situation may now be set to worsen. Officials have predicted more typhoons will hit China this month.
Earlier this year in May, Yantian port was forced to close due to a COVID-19 outbreak, which led to significant and unprecedented disruption to global supply chains. Diversions from southern China also meant that factories in Guangdong had to shut down due to excess inventory that could not be exported.
More recently, Typhoon In-fa impacted factory operations in eastern China and ports along the Yangtze River had to halt their operations.
Any additional disruptions are likely to further exacerbate delays, as well as adding to the rise in inflation.
We continue to monitor the situation and will keep you updated regarding any potential impact to supply chains. Please contact our Customer teams with queries about specific bookings.