The volatile tariff policies and changing demand patterns have complicated this year’s charging season, which leads to great pressure on ocean shipments and air freight tankers, according to the “Shipping Market in the Asia and Pacific region” from the 3PL (3PL) Dimerco Express Group.
“October is a turning point for global logistics services,” Cathy Leo, Vice -President of Global Sales and Marketing at the Demirko Express Group, said in a statement. “The demand for the peak season, covered by geopolitical certainty and customs tariff changes, creates one of the most complex supply chain environments that we have seen years ago. Companies must remain graceful, plan early, and diversify their logistical strategies to relieve disorders.”
While the trucks restore their decisions in their sources and direct them amid a higher tariff and high political instability, the trading corridors across the Pacific witnessed softening the demand, which led to declining pressure on the prices of global containers for containers. For example, the Shanghai -Northern Europe spot rates have decreased by 45 % over the past ten weeks, the report says.
Transport companies responded through strong capabilities. According to the report, transport companies increased “empty sailing” – or canceling scheduled flights – by 60 % since late September. But the cancellation had no little effect on the rates. The excessive capacity appears to be a long -term concern as the new ship’s orders continue to be in the ice. New ships now represent 30 % of the global fleet, according to the report. As a result, major transport companies believe that their margins drop to their lowest level in 18 months.
Air charging is related
Meanwhile, air charging networks are also under pressure. Unlike the ocean charging, the air charging has seen a tight capacity. Continuous rail disorders in China and Urob are temporarily increased on air charging, while canceling flying due to the Ragasa Hurricane led to the accumulation of shipments. At the same time, transport companies have seen an increase in demand in Southeast Asia, especially Thailand, Vietnam, Malaysia and Singapore.
“With high technology, artificial intelligence [artificial intelligence]”As a result, we expect that semiconductor in these countries will be produced, and more completely made goods are shipped. As a result, we expect pressure in the main transportation centers including Singapore, Taiwan, Hong Kong and Korea,” says Liu.
The October report also highlights the increasing geopolitical risks. Political protests, organizational changes and commercial negotiations can increase the stability of supply chain operations. In addition, Dimerco expects to increase the costs of congestion and transportation in the short term due to the closure of the annual factory that occurs during the National Golden Week in China, which begins today, as well as the continuous customs slowdown.
