Shanghai, China’s most populated city will enter a phased lockdown in an effort to curb an Omicron-fuelled COVID-19 outbreak. Presently, the eastern regions of Shanghai are in lockdown for five days of testing which will be followed by a similar lockdown of its western territories beginning on the 1st of April. Pudong (East of Huangpu River) is now in lockdown until the 1st of April, while Puxi (West of Huangpu River) will lockdown from the 1st of April to the 5th of April. Some key considerations as follows:
• During the respective lockdowns there will be no transportation services operating within city limits.
• In some instances, containers may be diverted to ship from Ningbo.
• Freight stations in Pudong will be unable to accept goods over the next three days.
• Yangshan Terminal and Pudong Airport currently remain open, however are severely congested.
• There will be a higher risk of demurrage, detention, storage, etc. as a result of these closures.
• Many suppliers will be slow to reconcile payments at the time. This may result in a delays to telex releases or the freeing of goods.
The situation is slowly improving in all other key cities, namely Tianjin, Dalian, Shenzhen, Qingdao and Nanjing. While restrictions are easing and operations are resuming in these cities, trucking costs have increased substantially due to the absence of drivers and a backlog of orders.
Please do not hesitate to contact your Mondiale VGL representative if further information is required.