The Suez Canal Blockage Update
 

Efforts to free a ship wedged in the Suez Canal blocking traffic through the critical waterway, progressed significantly late Friday, people familiar with the operations said, raising hope among authorities that the ship could be dislodged as early as Saturday, and the canal cleared for the resumption of traffic soon after.

The late-night optimism came after a day in which the ship’s operator said it may take two to three more days to dig out the ship’s bow from the sandy and muddy bank that it crashed into earlier in the week. Dredgers worked late Friday under floodlights to remove hundreds of thousands of cubic feet of sand around the bow of the 1,300-foot Ever Given, operated by Taiwan-based Evergreen Group. An attempt to refloat the vessel earlier Friday wasn’t successful, according to the ship management firm for the vessel.

Fresh efforts at digging out the ship are “going well,” a person involved in the operation said. “We may get it moving earlier than originally thought.”

In a statement earlier Friday, Evergreen said a salvage team was continuing to clear sand and mud around the ship’s bow in order to try to free the vessel during high tide. It said it would take “at least two to three days to reach the required depth for the stranded ship to refloat.”

Earlier in the day, Yukito Higaki, president of Imabari Shipbuilding Co.— whose group of companies includes the ship’s owner, Shoei Kisen Kaisha Co.—said at a news conference in Japan that workers hoped to dislodge the ship by Saturday. More diggers were being brought in and salvage teams planned to siphon out fuel and ballast water to lighten the ship, according to one person involved in the operation.

Re-Route

Shipping companies with vessels idling in or near the Suez Canal are considering taking a detour around Africa. The Cape of Good Hope route is considerably longer and burns more fuel, making it less popular than the Suez Canal option.

Should you have any questions in regards to the above, please do not hesitate to contact your DEAN World Cargo Account Manager.

Market Insight – China

Recent rate update ex China indicates that market stabilisation is well underway.

Reduced rates and improvement in equipment availability should be encouraging signs for Australian importers who suffered record high rates for an extended period of time.

With Australian consumers’ confidence at high levels coupled with more reasonable importation rates, this could be an opportune time to stock up on goods before the start of peak season which traditionally start around the end of financial year. 

It is also worth mentioning that Sydney port congestion surcharges will be waived off starting 1 April 2021.

For more information on a host of solutions from China, please contact your DEAN World Cargo Account Manager or Customer Service Executive.     

 
Should you have any questions in regards to the above, please do not hesitate to contact your DEAN World Cargo Account Manager.

USA Congestion Issues

Currently there are significant port delays in the US, due to increased volumes and reduced dockworkers.

The severe lack of equipment is also not helping matters forcing carriers to blank sailing at times and causing issues with trackers availability and gating the containers before vessel cut-off.

For more details, please refer to the below detailed report.

 
Should you have any questions in regards to the above, please do not hesitate to contact your DEAN World Cargo Account Manager.