News / Typhoon Kong-ray creates congestion at Shanghai, Ningbo and Kaohsiung

ID 63873715 | Ship © Tom Wang | Dreamstime.com

Asian container ports Shanghai, Ningbo and Kaohisung are working through congestion after Typhoon Kong-Rey blew through last week.

And Kong-rey, which made landfall in Taiwan on Thursday, was the strongest typhoon to lash Taiwan since 1996.

According to EconDB, Kaohsiung, the island’s main container port, is experiencing 100% delays for all incoming box ships, which amount to 69 over the next seven days.

ONE’s vessel schedule shows the 1,100 teu Contship Era arrived in Kaohsiung on Thursday, but only managed to berth yesterday, while the YM Wreath, which arrived on Sunday, waited more than 24 hours to berth yesterday.

Dwelling time stands at five days for transhipments, and six days for exports.

Shanghai and Ningbo temporarily halted some operations on Friday in anticipation of Kong-Rey, and EconDB data shows delays stand at 82% and 85%, respectively, with 195 and 116 boxships due over the next week.

According to ONE’s shipping schedule, Kota Ganding, KMTC Manila and Wan Hai 363 arrived in Shanghai on Saturday, but are only able to berth today or tomorrow. Two other ships, Venetia and Lorraine, arrived Sunday, but are not expected to berth until Thursday.

YM Maturity, ONE Maxim and Cosco Ashdod arrived in Ningbo on Sunday, but only managed to berth today, while Hyundai Tokyo and Busan Express arrived yesterday, but are not expected to berth until Thursday.

Linerlytica’s report this week noted that congestion in North Asian ports surged at the end of the week, with adverse weather conditions due to Kong-rey creating elevated vessel queues in the Taiwan Straits and Shanghai/Ningbo area.

The consultancy said: “The backlog is expected to be cleared in the coming days with some delays expected. Vessel departures from Shanghai have been badly disrupted at the end of last week due to severe weather conditions, with more schedule sliding expected this week.”

While the 1 November GRIs may have reversed the slide in freight rates, with capacity affected by port congestion, liner operators could slash freight rates again if vessel utilisation fails to recover.

Linerlytica added: “Carriers will struggle to retain the rate hikes with cargo demand still weak in the seasonally weak November period in the absence of more capacity cuts. Although capacity utilisation increased in the last two weeks of October, this was due to post-Golden Week blanked sailings out of China and front-loading ahead of the November rate hikes.”