As of Thursday, January 30, 2020, several additional steps have been taken in an effort to contain the coronavirus. As previously mentioned, the China Government announced this week that Chinese New Year public holidays will be extended through February 2, 2020, with Shanghai, Ningbo, Hangzhou and Suzhou extended through February 9. As of this morning, the following cities and/or provinces will also remain closed through February 9: Chongqing, Jiangsu Province, Guangdong Province, Fujian Province.
China News Updates:
- China on lockdown: Nearly 60 million people have been affected by partial or full lockdowns in Chinese cities as the country’s government steps up its response.
- Cities in China Lockdown (Hubei province): Wuhan, Huanggang, Erzhou, Chibi, Qianjiang, Zhijiang, Jingmen, Xiantao, Xiaogan, Huangshi
- World Health Organization (WHO): WHO declares coronavirus a public health emergency of international concern. Click here for WHO updates.
Industry experts report that the extended shutdown impacts both ocean and air cargo rates. It is typical to see a post Chinese New Year cargo rush due to rollover cargo that missed shipping prior to the holiday in addition to the new shipments trying to ship out. With the current holiday extended to February 10, an even larger backlog is anticipated which will push rates up, and delays should be expected.
The airlines have begun to cancel, suspend or reduce flights to/from China. While typical freight volumes are low at this time of year and the impact would not be immediate, the extended shutdown will have an impact on rates, space and capacity. Please see below current status by airline:
The ocean carriers have advised that the terminals, ports, and other facilities continue to operate as usual except for Hubei province ports, including Wuhan.
- ONE/Hapag/CMA/Maersk/EMC/MSC and others report that terminal operations will continue as normal except for Wuhan. Their business operations will continue to operate with China-based staff working onsite and remotely from home.
- ONE advises that new bookings to/from Hubei province are temporarily suspended.
Noatum Logistics is working with our ocean and air carriers to alleviate space and capacity issues in anticipation of backlogs. We will continue to send additional alerts as we receive updates.
For more information, please contact your local Noatum Logistics (formerly MIQ Logistics) representative.