Out of stock warning! More than 700 million packages delayed! All shipping prices skyrocketed...

Out of stock warning! More than 700 million packages delayed! All shipping prices skyrocketed...

Just after Black Friday and Cyber ​​Monday, news of international shipping emergencies began to emerge one after another, causing sellers who were preparing for a new round of sales to be in a state of panic!

one
Sales soar, more than 700 million packages may be delayed


According to data, this year's Cyber ​​Monday consumers' online spending will be between US$10.8 billion and US$12.7 billion, a year-on-year increase of 15% to 35%, setting a record high !


While sales have skyrocketed, sellers have also faced new challenges!


So far this month, the three major U.S. package shipping companies have almost reached "peak performance," and package shipping companies are working hard to process sellers' packages.



According to ShipMatrix, from November 1 to November 14, the on-time delivery rates of the three major U.S. package transport companies were: FedEx 96.5%, UPS 97.3%, and USPS 96.6%. From November 15 to November 21, they were: FedEx 96.6%, UPS 96.9%, and USPS 95.4%.


However, Salesforce said it expects holiday packages shipped from mid-November through next month will ultimately exceed global shipping capacity by 5%, putting 700 million packages at risk of delays.


If delivery needs to be delayed, the seller needs to communicate well with the buyer to avoid returns and negative reviews.


At the same time, in order to address the problem of package delays and reduce customers' concerns about packages failing to arrive on time or being stolen, Amazon has also introduced a series of measures.


Such as map tracking, share tracking, photo-on-delivery, estimated delivery window, Amazon Day, key in-garage delivery, hub deliveries, etc., but the effect is difficult to predict at present.




two
Ports are overwhelmed and shipping costs surge by 300%


In addition to facing the crisis of the last leg, the first leg environment is also not optimistic. Many ports in various countries are overcrowded. Lack of containers, overloaded cabins, abandoned containers, port skipping, and crazy freight rate increases have put many sellers who are preparing for Christmas into an unprecedented predicament.


" To be honest, I have been working as a freight forwarder for more than ten years, and this is the first time I have seen such high prices. " An international freight forwarding company said: The situation is different this year. With the shortage of containers , the price of ocean freight has increased significantly, and the general price of ocean freight has increased by 200%-300%.

 


The price of transporting a 40-foot container on the US West Coast route was previously around US$1,500, but now it is around US$5,000.


There are even more expensive routes than this one. For example, the price base of short-sea routes is low, so the closer the route is to the ocean, the more the price increases. Some even increase from 200 US dollars to 2,000 US dollars. Even with such a high price, it is still difficult to book space, and even if space is booked, there are no containers.


Due to the strong demand for containers in Asia, major shipping companies said they would also impose customs clearance fees, congestion surcharges, etc. Hapag-Lloyd said it would adjust customs clearance fees from December 15 and impose surcharges on goods exported from China.


Maersk, MSC and CMA CGM said they would impose a terminal congestion surcharge of $200 to $300 on containers shipped from East Asia, including Taiwan, to New Zealand. Starting from November 16, CMA CGM will also impose a surcharge of $200 per container on 40-foot containers shipped from Asia to Africa, and these surcharges will undoubtedly be transferred to the sellers.



three
A large number of cargo planes were grounded, and air transport suffered a heavy blow


As ocean freight is facing a "collapse", international air freight is also doomed! Due to the epidemic, dozens of airlines around the world have closed down and stopped flying. In addition, some cargo terminals are seriously short of manpower, and cargo is piled up at airports. Air freight is experiencing large-scale delays and even more overloads!


Los Angeles Airport LAX board dismantling personnel are infected with the new coronavirus on a large scale


It is understood that due to the resurgence of the epidemic in the United States, a large number of local board dismantling personnel at LAX Los Angeles Airport have been infected with the new coronavirus. CA (Air China) has notified the cancellation of all LAX passenger-to-cargo flights from December 1 to 10, and the subsequent resumption time is to be determined!



The three major air cargo ports in the United States are LAX, ORD, and JFK: LAX has been paralyzed , ORD is congested but still operational, and now JFK still has room. Of course, these are all based on the normal BUP service.

Affected by:


Air China issued a notice stating that it will cancel all LAX passenger-to-cargo flights from December 1 to 10, and the resumption time is to be determined!


China Southern Airlines plans to cancel 10 flights in early December, and MU (China Eastern Airlines) is expected to follow suit.


Due to the shortage of manpower, all cargo operations at CA LAX have been stopped, and the goods that have been warehoused are ready for destocking, and the goods that have left the port are ready for return.



All Russian An-124 cargo planes grounded

Russia's all-cargo Volga-Dnepr Airlines recently announced that it has suspended all commercial flights of its giant Antonov-124-100 freighter indefinitely due to safety issues until the investigation into the cause of the sudden accident two weeks ago is completed!


The grounding of Volga-Dnepr's 12 Antonov-124s will put further pressure on an already strained global supply chain.

Heathrow Airport staff strike

Members of the London Heathrow Airport Union went on strike on December 1, with union members, including security personnel, airport staff and engineers, "overwhelmingly" supporting a strike on Monday, and further action may be taken on December 14, 17 and 18. Heathrow Airport is an important hub in the UK and a backbone hub for airlines and their scheduled flights. This strike has a great impact on British air transportation.


Logistics is the main artery of international trade. At a time when global logistics are in crisis, sellers need to be careful about the risk of out-of-stock. They should pay real-time attention to replenishment nodes, sort out process-based replenishment ideas, and open up more logistics channels to cope with the current logistics crisis.


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