Why does the shipping carriers raise the ocean freight crazily?

Why does the shipping carriers raise the ocean freight crazily?

The United States can no longer break away from China’s cheap products, and many large and medium-sized import companies, purchasing companies, and trading companies have established a complete set of goods imported from China, quality control, supplier selection, factory inspection, and logistics. No one wants to build sales channels in the United States and the complicated interests involved in the mistakes within a short period of time. The supply chain that has been painstakingly built over the past 10 and 20 years has been interrupted in this way.

The United States has realized some of the negative impacts of its heavy dependence on Chinese manufacturing. The Trump administration has been commissioning the return of manufacturing industries. Recently, many international companies such as Japan, South Korea, and Taiwan have also begun to set up factories in countries around China and move factories from China. , Withdraw from the manufacturing industry, and set up new manufacturing bases in Vietnam, Malaysia, Thailand, and Cambodia. Of course, in this process, Bestforworld also helped these multinational companies to start shipping from these Southeast Asian countries to Japan, South Korea, the United States, and Europe. This is a trend. Although the process is painful, the United States and other countries have realized this.

This trend is Irreversible. After all, China has experienced 20 years of low-end manufacturing. Most of the goods imported from China to the United States are cheap daily necessities, toys, and textiles. Of course, with the transformation of China’s industrial structure, more shipments will be made from China in the future. Products ship to the United States will be replaced by more mid-to-high-end products and high-tech products. Although the US government is also aware of China’s rise in the field of science and technology and has begun large-scale sanctions, this is an inevitable trend and cannot be stopped.

However, the carrier’s eagerness to resume the interrupted voyage may throw cold water on their prospects.According to eeSea data, only 10 out of the 245 scheduled voyages in Asia and North America in August, and only 5 out of 243 scheduled voyages in Asia and North America in September.Whether the shipping trade routes can withstand the decline in demand caused by the pandemic is still inconclusive, but there are rumors that the reduction in factory orders may lead to a sharp drop in ship bookings in September. In addition, the soaring freight, the risk of dumping containers, the increase in demand for personal protective equipment, and the introduction of electronic products during peak seasons have brought air freight back to people’s attention

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