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Congestion in Asian maritime shipping

The increasing congestion in container shipping from Asia continues to escalate and poses a significant problem for global maritime shipping. With wait times extending up to seven days in key ports such as Singapore and Shanghai, the global supply chain is under severe strain.

Challenges due to congestion in Asia

Ports in Asia are experiencing severe congestion due to increased exports from China and the rerouting of ships that would normally travel via other routes. Ports like Singapore are seeing wait times extend to seven days, which is significantly longer than the usual one to two days. The demand for shipping capacity has surged due to early peak seasons and a resurgence in trade between Asia and Europe. This has led to a shortage of available ships and containers.

Impacts on the supply chain

This congestion has several critical impacts on the global supply chain:

  • Higher costs: Due to longer wait times and port congestion, freight rates and insurance premiums are rising. This increases costs for shipping companies and their customers, which in turn leads to higher consumer prices.
  • Delays and delivery issues: Companies are experiencing longer lead times, resulting in stock shortages and operational disruptions. Perishable goods such as agricultural products are particularly affected by these delays. 

Akomar's solutions

At Akomar, we understand the challenges this congestion presents and offer solutions where possible. 

  • Smart route planning: we utilize the latest data analysis tools to identify alternative routes, helping avoid wait times and additional costs.
  • Cost-Efficient strategies: by continuously evaluating the market situation, we find the most cost-effective options. This includes mapping the extra costs of alternative routes and providing financially favorable decisions.
  • Risk management: we conduct detailed risk assessments and keep you continuously informed of potential threats and solutions.
  • Personalized advice: we are eager to provide personalized advice that suits your specific needs and situation.

Every delay or adjustment in routing can have significant consequences for your business. Akomar is here to guide you through these challenging situations. Together, we ensure that your deliveries remain smooth and reliable, keeping everything in motion.

Have questions or need advice? Contact us directly!

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