Customer Advisory - Yantian Operational but Backlog And Congestion Continues

Operations at the Port of Yantian are reported to have returned to normal today, following weeks of disruption caused by an outbreak of Covid in the port and surrounding areas.

Port officials have commented “Currently, Covid-19 has been effectively under control in the port area, and the operation capacity of the terminals have steadily recovered.” Berths have been reopening in a staggered fashion during the past week after the port was reduced to around 15% capacity and even closed down export operations for a few days in June.

While this is good news for UK and global importers from the region, the backlog caused by this recent reduction in throughput is expected to take weeks to clear the excess estimated to be in the region of 400,000 TEU’s. Major port congestion, caused by Covid measures or the knock-on effect of Yantian vessel omissions, continues to impact the Southern China region, including the ports of Yantian / Shekou / Chiwan / Nansha and Hong Kong.

The impact has frequently been compared to the problems that followed the Suez blockage, as many vessels were anchored during the delays.

The above, coupled with the upcoming peak season, is expected to result in more equipment shortages, further lack of availability and continued escalation of rates – possibly through quarter three and beyond. AAI, continue to work diligently to mitigate supply chain disruption during these extremely difficult times. Should you require further information on the above, then please contact your local AAI office.

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