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22.06.2022
Air freight market update | June 2022

DACHSER has extended its charter program on the route between Shanghai and Frankfurt. A clear signal of reliability and stability in times of continuing challenges on the global trade markets.

  • Current Situation

Demand for air cargo softened in March and April due to ongoing supply chain disruptions and global inflation. China’s zero-covid strategy with massive lockdowns in Shanghai and other Chinese cities, as well as  the continuing conflict between Ukraine and Russia led to limited flight capacities, supply bottlenecks, and a rapid increase in fuel and energy prices. In 2022, jet fuel prices increased by more than 70%.
 
It is a challenging operating environment for all businesses. But with the easing of restrictions in China on June 1, it will now become even more difficult. It is expected that demand for cargo capacity will increase in the coming months.
 
Therefore, DACHSER Air & Sea Logistics has already extended its charter program on the route between Shanghai and Frankfurt to cover the period from May 2022 to April 2024. Thus, DACHSER is able to continue offering its customers reliable transport capacities. Two days a week, DACHSER flies between Asia and Europe with a wide-bodied aircraft, transporting 33 tons each way.

With this premium service, DACHSER can respond to market capacity changes at short notice and ensure its own stable air freight network.
 

  • China

On Wednesday, June 1, 2022, Shanghai lifted the restrictions on COVID-19 after a two-month lockdown. However, the city is still far away from normal:
 
·         Residents from COVID-19 low-risk areas are free to move within the city.

·         Resumption of public transport.

·         A number of businesses and retailers are still closed and will gradually reopen.

·         Factories and production sites located in COVID-19 low-risk areas are gradually resuming 
          to normal over the next few weeks.

·         Transport logistics services are also resuming to their normal capacity step by step 
          as the restrictions on roads, workers, and drivers are lifted.
 
During the lockdown period, DACHSER’s consolidation warehouse at Shanghai PVG Airport Cargo City was closed. As of June 1, 2022, the warehouse is operating again and the transitional warehouse outside of the Cargo City has been decommissioned again.

  • DACHSER Air network

The flexible and constant structure of the DACHSER Air network, in combination with the worldwide DACHSER gateway locations, serves all requirements of global supply chains.
 
The weekly network capacities from Asia (Hong Kong & Shanghai) to Europe and between Europe and the USA (rotation) are an integral part of DACHSER's air freight portfolio. If necessary, additional capacities are booked at short notice. 

  • Supply & Demand Indices and Oil Development

Please click the button below to read the latest Indexes on Supply & Demand and Oil Development.

We are looking forward supporting you in stabilizing your supply chain and are at your disposal for an individual consultation. Please do not hesitate to contact your local DACHSER representative.

22.06.2022
Sea freight market update | June 2022
  • Strikes at Germany and South Korea

In the German ports of Hamburg and Bremerhaven, the four-hour warning strike did  not lead to major vessel delays, however the suspension of handling operations at the terminals led to massive backlogs and later on the roads. This is expected to take a while to be resolved. In Asia, the eight-day strike in South Korea has come to an end and road transportation is returning to normal, but the it will take more time to clear the backlog.
 

  • Easing of COVID-19 restrictions in China

Lockdown relief in Shanghai will lead to an increase in export container volumes into Europe and on Transpacific Eastbound, which might cause space issues, empty equipment challenges and rising rate levels. On the Transpacific trade, rates are stable and  space is  adequate. Carriers expect a new rush of cargo to the US once the factories in China return  back to normal.

Trade Lane Update

EUROPE

Port congestion in Northern Europe continues to worsen. Very high slot densities at Northern European container terminals and bottlenecks in inland transport are aggravating port congestion problems in the trade between the Far East and Northern Europe.

Container ships operating on this route currently take an average of 101 days to complete a full round voyage. This means that on average they arrive 20 days too late in China to start  their next round trip, forcing carriers to blank sailings because no ship  is available.
 
Port Congestion EMEA

  • Belgium                     Antwerp 2 days
  • France                        Le Havre 1 day
  • Germany                   Bremerhaven 3 days
  •                                     Hamburg 6 days                                
  •                                     Wilhelmshaven 0 days
  • Italy                            Trieste 3 days
  • Netherlands             Rotterdam 2-3 days
  • Slovenia                    Koper 1 day
  • Spain                         Algeciras 1 day
  •                                    Valencia 1 day


Europe - Far East
Space is currently available but empty equipment is likely to be running short in the upcoming weeks.

Europe - South America East & West Coast
Space is overall tight but to South America East Coast it is slightly better than to South America West Coast. The empty equipment situation in Northern Europe is tight, especially the lack of containers in Inland Depots. Vessels often face large delays due to congested terminals. Carriers continue with schedule recovery measures, such as port omissions and blank sailings. The situation in Northern Europe Ports, including Hamburg, Bremerhaven, Rotterdam and Antwerp are getting worse, due to strikes . It is recommended to place bookings well in advance, ideally 4 to 6 weeks before sailing.

Europe – Mexico
Space is very tight. The empty equipment situation in Northern Europe is tight, especially the lack of containers in Inland Depots. It is recommended to place bookings at least 5 to 6 weeks before sailing. Rates remain at a very high level and no rate reductions are expected in Q3. Vessels are frequently heavily delayed on all services. Especially if vessels have their first port call in the US. Carriers are looking into options to improve schedule reliability, but there are no service changes announced yet.

Europe – Indian Subcontinent
Space is available. Congestion and vessel delays are overall still ongoing in Northern and Southern Europe. The empty equipment situation in Northern Europe is improving while it is still tight in Southern Europe . Congestion in Sri Lanka is still not improving due to the political situation. 

ASIA

Port Congestion Asia

  • China Mainland             Ningbo: 7-10 days
  •                                         Dalian / Shanghai: 7-10 days
  •                                          Qingdao / Xingang: 7-10 days
  •                                          Nanjing / Xiamen: no congestion
  •                                          Yantian/ Shekou / Nansha: 7-10 days
  •                                          Hong Kong 7-10 days
  • India Subcontinent       Chittagong: 3-6 days.
  •                                          Colombo: Delays for containers going into Cochin.
  •                                          All other ports: no congestion
  • Indonesia                       Jakarta / Surabaya / Semarang: 2-3 days
  • Korea                              Busan / Incheon: 5-7 days
  • Malaysia                         Port Klang / Pasir Gudang / Tanjung Pelepas / Penang: 5-7 days      
  • Singapore                       No congestions for FCL containers, 
  •                                          some delays for LCL shipments depending on the carrier.
  • Taiwan                            Keelung / Kaohsiung / Taichung: 3-7 days
  • Thailand                         Bangkok: 7-10 days
  •                                          Laem Chabang: 2-3 days
  • Vietnam                          Haiphong Export / Import: 4-5 days
  •                                          Saigon Export / Import: 7-10 days


Far East - Europe
Space is generally available, depending on the carrier and loop. The empty equipment situation in Asia is still tight.

Far East – Mexico
The market is heating up, and space to Mexico is becoming an issue. Rates have increased, and for July further upward rate adjustments are expected.

Far East - South America East Coast
The empty equipment situation in Asia is very tight, especially in the North,  affecting large ports like Tianjin and Qingdao. As the situation in Shanghai gradually resumes to normal, space is becoming very tight. It is recommended to place bookings well in advance, ideally 3 to 4 weeks before sailing. Since June 01, 2022, rates have been increasing on a weekly basis.

Indian Subcontinent – Europe
Space is available and the empty equipment situation is further improving. Please consider congestion and delays when transporting shipments via Colombo.

  • DACHSER LCL service India - Spain

DACHSER is launching its own Less-than-Container-Load (LCL) consol service from Nhava Sheva to Valencia. The LCL service offers frequent departures and reliable transit time. Please contact your DACHSER representative if you are interested.

Transpacific Eastbound
Due to the easing of COVID-19 restrictions in China, space and equipment decreased . The situation is predicted to tighten again in July and August due to potentially high volumes. Supply and demand are currently under control, but this could change in the next month  due  to the predicted pick up of containers towards the US.
 
In South Korea, the Truckers’ Union went on a strike at the ports for eight days. Currently, the situation is that the Union will not strike but it is unknown if the situation will change in the next few weeks. Negotiations between the Union and the government are still ongoing, but signs are showing that both parties will come to an agreement. 

US Port congestion is ongoing but decreasing due to the decreased volumes from Asia.

  • DACHSER expedited LCL Service

DACHSER offers an expedited LCL service from China to the U.S. West Coast, which is a reliable alternative for customers to avoid congestion issues. The weekly scheduled direct expedited LCL service reduces transit times by 3-7 days. Please do not hesitate to contact your local DACHSER sales team to get further information about the LCL service.

AMERICA

Port Congestion in North America
West coast

  • Los Angeles                   9 days waiting time to berth
  • Oakland                         8 days waiting time to berth
  • Tacoma                          waiting time insignificant
  • Seattle                            Situation fluid

 
East Coast

  • Boston                            Situation fluid
  • New York                       5 days waiting time to berth
  • Baltimore                       Situation fluid
  • Norfolk                           2 days waiting time to berth
  • Charleston                     Situation fluid
  • Savannah                       5 days waiting time to berth
  • Jacksonville                    Situation fluid
  • Miami                             Situation fluid
  • Mobile                            Situation fluid
  • Houston                         5 days waiting time to berth

Transatlantic
Currently, there is space available depending on the destination coast. But this is expected to tighten once cargo flows in Asia are picking up again. It is recommended to place bookings 2 to 3 weeks in advance. New York remains to be congested and delays at the NYC Ports are up to 10 days. Montreal is facing heavy delays as well and all transfer loads (to inland points) are affected combined with truck and rail shortages.

In general, most destination ports are volatile. The empty equipment situation in Northern Europe is still challenging across the region. The lack of 40-footers is a main issue.

  • Container Indexes

Click the button below to read the current development on the World Container Index and Shanghai Containerized Freight Index.

If you would like to discuss your transport needs, please get in touch with your local DACHSER representative to work out the best logistics solution.

01.06.2022
DACHSER resumes general cargo line to Ukraine

DACHSER is re-evaluating the current developments in the Ukraine conflict day by day. This leads to the situation that the complete takeover and loading stop for all goods shipments to Ukraine, which was taken in February 2022, can be partially reversed.

The safety of all drivers and employees remains a top priority for DACHSER. In areas not directly affected by the war, DACHSER is starting a regular general cargo line to Western Ukraine from the Strykov platform in Poland. The corresponding handling of shipments on site and distribution in Ukraine is carried out by the partner company in Lviv.
Transports to the regions in the east, north and south of Ukraine directly affected by the war are still not possible.

As delivery zones can change very quickly due to developments in the war, DACHSER will continue to monitor and assess the situation on an ongoing basis and keep customers informed of further developments accordingly. The local contacts in the DACHSER branches will be available to answer any questions.

26.05.2022
With DACHSER on the southern route: full truck loads from China to Europe

The war in Ukraine has also had an impact on intercontinental land transport between Asia and Europe. Journeys through Russia and Belarus as well as through the conflict zone itself have become impossible. However, DACHSER Cargoplus can continue to offer the service reliably via an alternative southern route.

10.05.2022
DACHSER secures long-term air freight capacity

DACHSER Air & Sea Logistics is extending its charter program on the route between Shanghai and Frankfurt to cover the period from May 2022 to April 2024. This enables the logistics provider to continue to offer its customers reliable transport capacity. DACHSER flies a widebody aircraft between Asia and Europe two days a week, transporting 33 metric tons at a time.

22.04.2022
Efficient management of global supply chains by DACHSER Air & Sea Logistics

In air and sea freight, operational procedures are characterized by a high degree of manual effort and require coordination with numerous contacts. With DACHSER as a logistics partner, customers benefit from digital solutions for more efficient management of their international supply chains. A single point of contact at DACHSER supports and coordinates their simple and fast implementation.

19.04.2022
DACHSER appoints Jesper Larsen to lead South East Asia

Larsen has assumed the role of Managing Director Air & Sea Logistics South East Asia effective April 1, 2022. Based in Bangkok, he is responsible for 220 employees in eight locations across Indonesia, Singapore, Malaysia, Vietnam and Thailand. He reports to Roman Mueller, Deputy Director Air & Sea Logistics Asia Pacific.

2
15.04.2022
Knowing where and how

Shipment tracing and transport management in the Internet of Things: with GPS location tracking using 5G/LPWAN technology and telematics, DACHSER Road Logistics is setting new standards in real-time tracking, arrival-time prediction, and visualization of long-distance groupage shipments.

07.04.2022
Megatrends in logistics

What kind of future should logistics providers be preparing themselves for? What trends and developments will shape and reshape the sector tomorrow? And what is DACHSER’s take on all this? Here are five milestones on the way to the logistics market of the future.

06.04.2022
DACHSER revenue exceeds EUR 7 billion for the first time

2021 was an exceptional year: Increases in volume and high freight rates generated record growth; 78.3 percent jump in air and sea freight

DACHSER Mediaroom

Brexit: What remains to be considered

Our Brexit project team has set the course for a functioning and secure logistics network to and from the UK.

Many companies, that depend on the smooth transport of their products, now have to do their Brexit homework to keep their goods moving: Find all the relevant information by clicking on the link below.

LEARN MORE

DACHSER Asia Pacific facts (as of 2021)

813700000
Revenue in EUR (net, unconsolidated)
43
Locations
343600
Shipments
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