Air and sea freight prices drop! Recent logistics prices have plummeted!

Air and sea freight prices drop! Recent logistics prices have plummeted!

The world's largest freight forwarder spearheaded directly at U.S. ports, causing the biggest problem of supply chain congestion for the U.S. ports.

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It is reported that the recent air dispatch prices, U.S. sea transport and crazy dive, the Spring Festival back freight forwarders are crazy down air prices.

Air dispatch, sea freight prices fell, for sellers is undoubtedly good news. The drop in shipping costs is good news for everyone, can save logistics costs. However, it is predicted that this wave of price reductions may only be temporary, or mainly the market is no goods in the near future.

Often logistics and transportation are the most problematic link, there are shipping plans must be in advance, do a good job of shipping plans in advance, do advance stocking planning.

Choose a good product, estimate the number of stock, have FBA needs to be sent in advance to the warehouse to do a good job in preparation for processing, logistics prices and timeliness fluctuations during the peak season are relatively large, early delivery, early shelves. Before shipping, also communicate with your logistics service provider in advance of the recent logistics situation.

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The culprit of supply chain disruption is the U.S. port

Research by Kuehne Nagel, the world's largest ocean freight forwarder, shows that the ports of Los Angeles and Long Beach cause most of the congestion delays and that U.S. ports are responsible for about 80 percent of global supply chain disruptions. Tucson's view echoes that of the industry earlier, with shipping industry insiders pointing out that the lack of active improvement in the U.S. West's chronic port problems over the past 20 years has contributed to today's severe congestion and supply chain disruptions.

Port of Los Angeles officials says the port's yard is 90 percent utilized, meaning that most trucks and personnel have difficulty moving efficiently and that a figure of 70 percent is considered the ideal flow. Sources from the relevant terminal handling companies pointed out that the yard is already considered full when 80% of the containers are placed there, as there is still space for lifting and turning containers.

Textron has been focusing on port congestion and has created its own Congestion Disruption Index to keep customers informed about congestion. The pointer measures the cumulative waiting time in days per container (20-foot) of cargo based on the capacity of the ships in these major ports. Using the company's metric, a 10,000 container ship waiting 12 days equals 120,000 container waits.

A closer look at wait times reveals that the ports of Los Angeles and Long Beach are the origins of global container ship congestion, said Otto Schacht, executive vice president of maritime logistics at Textron. U.S. ports are responsible for about 80 percent of the world's supply chain disruptions, with congestion at the ports of Los Angeles and Long Beach being the most severe. Under normal circumstances, the indicator is below 1 million container waits, while these two ports reach a staggering 12.07 million container waits.

There are many reasons for port congestion, including a shortage of human resources due to a significant increase in import and export cargo, congestion at terminals, distribution centers and warehouses, poor cooperation between port and shipping companies and the administration, inadequate port terminal infrastructure, port productivity levels, poor port consolidation and distribution systems, low levels of port information technology and carrier restrictions.

The U.S. port congestion, ship schedule delays, will affect other international port operations to and from the port, there is no port congestion problems, but like the U.S. line container schedule delays, has been sent to the port waiting for loading containers can not be loaded in real-time, stay in the terminal will cause congestion; another before and after the ship crowded in the same time to the port, will also cause congestion, the ship daily rent tens of thousands to tens of thousands of dollars, waiting for a day loss is tens of thousands to tens of thousands of dollars.