The epidemic is urgent! Ports are congested! Why are the prices of sea and air transportation so different?

The epidemic is urgent! Ports are congested! Why are the prices of sea and air transportation so different?

Recently, the epidemic has spread again, ports have been congested again, and sea freight prices have risen to a new high, but air freight prices have plummeted and dropped to a historical low! The new year does not seem to be that simple.

 
Early in the morning, a seller on the Japanese site asked in the seller communication group: "How are your orders these two days? My orders on the Japanese site have dropped sharply, and I'm worried."
 
However, one seller soon said: "It's normal, Japan is closed ."
 

The picture comes from the seller communication group

 

Japan's epidemic situation is once again in crisis


Real-time updated epidemic data show that the epidemic in Japan is once again critical, with the number of newly confirmed cases in a single day reaching a new high, currently exceeding 7,000+.

 
It is reported that in the face of such a severe epidemic situation, Japanese Prime Minister Yoshihide Suga took corresponding measures and officially announced that Tokyo and its three surrounding prefectures were in a state of emergency, which will last from January 8 to February 7.
 
 


Some sellers are worried that the epidemic will lead to a decline in orders. But it is worth noting that Japan has entered a state of emergency again, which means that Japanese residents will enter vacation mode early, and with the closure of offline supermarkets, it indicates that Japan's online consumption demand will rise again.

 
Therefore, the epidemic brings not only challenges but also opportunities, which sellers need to seize on their own.
 
In addition to the epidemic situation, the issue that sellers are most concerned about is definitely the frequently mentioned logistics issue.
 
Port congestion, logistics delays, and container shortages have become commonplace for cross-border people, and the above events have also led to rising freight rates. For sellers, rising freight rates mean a decline in profits, which is really unbearable.

 

Los Angeles Port is once again congested, and shipping prices are alarming


It is reported that the Port of Los Angeles is currently under pressure from a large number of containers entering the port. Not only is the port congested, but a large number of cargo ships are queuing up waiting to berth, and the scene is in chaos.
 

The picture comes from the Internet
 
At the same time, the rate of freight rate increase is also staggering. Currently, the freight rate from Asia to the West Coast of the United States has reached 4,189 US dollars/FEU, and bookings will be scheduled until the end of the month. The freight rate from Asia to the East Coast of the United States has also risen to 5,397 US dollars/FEU, and bookings have been scheduled until March.
 
Affected by the epidemic, online consumption has exacerbated port congestion, and the Port of Los Angeles is in trouble. Gene Seroka, executive director of the Port of Los Angeles, said that based on the current throughput level, the work pressure at the Port of Los Angeles may not be relieved in the short term.
 
Faced with such severe shipping conditions, logistics delays are a foregone conclusion for sellers. Most sellers are panicking and don’t know what to do.
 
In the seller communication group, some sellers pointed out that the price of air freight has fallen recently and can be included as another alternative option.

 

Air freight prices plummet, lowest in history?


It is reported that the air freight price has dropped sharply and is still falling. The freight for goods weighing more than 100kg is as low as 33 yuan. Surprisingly, this is not the lowest price. In the logistics exchange group, someone even offered a price of 19!
 

 

The picture comes from the seller communication group
 
But it should be noted that you get what you pay for, and low-priced air freight will face problems such as long delivery time and slow delivery speed. A freight forwarder said, "19 air freight will take about a month."
 

The picture comes from the seller communication group
 
Faced with such an astonishing price, a freight forwarder complained: "You keep lowering the price endlessly, are you planning to throw the goods into the sea?"
 
However, one freight forwarder said: "I can use the price of ocean freight to ship by air, which is a good deal, and the delivery time is about the same."
 

The picture comes from the seller communication group
 
As to why air freight prices suddenly dropped significantly, some sellers analyzed the following reasons.
 

1. The goods of some multinational groups have been shipped out as early as the end of the year. Currently, there are gaps in flights and shipping capacity has increased.


2. Shipping time is not as fast as before, freight time is extended, and it takes nearly a month.



Generally speaking, everything has two sides. The cheap price is accompanied by slow shipping speed. However, some sellers said that they don’t mind the long time of air transportation. After all, the current situation of sea transportation is not optimistic and the price is high.
 
Here we need to remind all sellers that when choosing a logistics method, it is best to choose an appropriate logistics method based on their actual situation.
 
I wonder how the order volume of sellers has been these days? Do you have any other suggestions for logistics? Please share in the comments section~

Text ✎ Lin Feng/
Statement: When reprinting this article, the title and original text must not be modified, and the source and original link must be retained.

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