China Port Congestion and Freight Rate Surge Disrupt Global Supply Chains

Published

China’s major ports are facing severe congestion following a combination of geopolitical tensions in the Middle East and Red Sea, typhoon-related disruptions, and a sharp surge in export demand, resulting in widespread vessel delays and terminal backlogs. Major ports including Shanghai, Ningbo, Qingdao, Yantian, Shekou, and Nansha are reporting berth waiting times ranging from 3 to 12 days, while stricter container acceptance policies and yard capacity limits are slowing cargo movement. Shipping lines have also raised ocean freight rates by up to US$1,100 per shipment, as exporters rush to secure vessel space ahead of further increases. The disruption is driving higher logistics costs through increased container storage, truck detention, demurrage, and secondary transportation charges, adding pressure on exporters and supply chains. Industry experts expect congestion and freight volatility to persist until port operations stabilise, potentially impacting global shipping schedules and trade flows in the coming weeks.

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