DELAYED SHIPMENTS – RISING FREIGHT RATES – STORM SEASON APPROACHING
Since early July 2025, logistics across Asia — especially routes from China and India to Vietnam — have shown several notable developments. This is a critical period, and businesses should closely monitor shipping activity to avoid supply chain disruptions.
1. OCEAN FREIGHT RATES ARE SURGING
• China–Vietnam routes (Shanghai, Ningbo, Shekou): Freight rates have jumped by 30–40% in the past two weeks. Some 40-foot container routes are now priced at USD 2,800–3,400/FEU.
• India–Vietnam routes (Nhava Sheva, Mundra): Rates are also rising due to container shortages and irregular sailing schedules, hitting USD 3,800–4,200/FEU depending on the carrier and transshipment frequency.
• Large carriers such as ONE, MSC, HMM are reporting increased cases of blank sailings (canceled voyages) and container rollovers (cargo deferred to a later sailing).
Impact:
• It’s becoming harder for businesses to maintain stable selling prices, as both input costs and raw material prices are rising — disrupting sales and budgeting.
2. SHIPMENT DELAYS & UNPREDICTABLE SCHEDULES
Vessels from China and India are arriving 5–10 days later than expected due to:
• Congestion at transshipment hubs (Singapore, Port Klang).
• Shortage of handling equipment and empty containers.
• Detours to avoid unsafe zones (e.g., Middle East) or long queues at overburdened ports.
Impact:
• Late arrivals delay sales plans and production schedules.
• Businesses struggle to meet delivery commitments for export customers.
3. WEATHER DISRUPTIONS: TYPHOONS, FLOODING, & DELAYS
• China has just been hit by Typhoon No. 4 (near Fujian–Zhejiang), with ports like Xiamen, Ningbo temporarily suspending operations.
• India is in peak monsoon season. Ports such as Nhava Sheva and Chennai are facing frequent waterlogging, slowing down cargo handling.
• Northern and Central Vietnam are also entering peak typhoon season (July–September), causing:
+ Delays in unloading/importing containers.
+ Local transport (port to warehouse) impacted by floods and traffic jams.
+ Shipments from China to Vietnam may be postponed due to weather avoidance.
Impact:
• More unpredictable vessel schedules.
• Inland transport faces temporary disruption.
4. WHAT SHOULD BUSINESSES DO NOW?
• Plan material imports at least 3–4 weeks in advance to ensure seasonal readiness.
• Closely track vessel schedules if you have export orders, and update your customers early on any delays.
• Prioritize direct routes, avoiding excessive transshipment points.
Key note: Freight rates may remain high through late August if poor weather persists and port congestion remains unresolved.
