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Congestion spreads! The large port has a backlog of 80,000 containers, which was detained for a month at the longest, and the shipping company jumped out of the port.

MIKEY sofreight.com 2021-10-15 19:43:34

According to the New York Times, the Savannah Port in Georgia, the third largest container port in the United States, currently has a serious cargo backlog. Nearly 80,000 containers are in the port. The backlog is 50% more than before, and about 700 containers are stranded by the shippers. At the port for a month or more.

Griff Lynch, executive director of the Georgia Port Authority, said: "Our port has never been so congested. The supply chain has been overwhelmed and things are developing in an abnormal direction." Last month, 4,500 containers were stranded at the terminal for at least three weeks. , "This is ridiculous."

While the Port of Savannah is processing the backlog of cargo, ships near the port have been waiting at sea for more than nine days. On a recent afternoon, more than 20 ships stopped 17 miles from the Atlantic coast. Congestion is spreading. Last week, more than 50 container ships were stranded near the Port of Los Angeles, and some ships were waiting for berthing near the Port of New York.

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With the supply chain chaos, the Port of Savannah has no place to store containers. As major ports struggle with the astonishing accumulation of cargo, supply chain congestion that was once considered a temporary phenomenon and will eventually disappear is increasingly becoming a new reality that may require a major transformation of the world's shipping infrastructure.

The Port of Savannah is the third largest container port in the United States after the Port of Los Angeles/Long Beach and the Port of New York and New Jersey. It has 9 container ship berths and abundant land for expansion. To alleviate congestion, Lynch is overseeing a $600 million expansion project:

Replace one berth with a larger berth to accommodate the largest container ships; expand the warehouse by another 80 acres and increase the space for 6,000 containers; expand the railway yard from five tracks to 18 tracks to allow more Trains come into the station, creating an alternative to truck transportation.

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But even if Lynch believes that the expansion project is imperative, he knows that just expanding the facilities will not solve his problem. "If there is no space for facilities outside the port, even if I have 50 berths, it will be useless."

No matter how he manages the Port of Savannah, he cannot quell the chaos on the highway, in the warehouse, other major ports in the world, and factories around the world.

Affected by the new crown pneumonia epidemic, ocean freight rates soared at the beginning of this year and container shortages. The United States relied heavily on Asian factories. It was originally estimated that global shipping would return to normal with the restart of life, but six months later, congestion became more serious. According to survey data from Danish shipping consulting agency Sea Intelligence, nearly 13% of global cargo transportation capacity is limited due to delays.

Facing the upcoming Christmas season, Lynch expressed concern: “Everyone is asking,'Will the merchandise be delivered to the store in time?' This is a very difficult question.”

▎CMA CGM and Hapag-Lloyd jump into the port of Savannah

According to CMA CGM’s official website notification, the company stated that due to severe congestion at the port of Savannah (8-10 days), and in order to ensure the integrity of the schedule and the weekly sailing frequency, its AMERIGO service (connecting the Western Mediterranean and the East Coast of the United States) will Temporarily stop calling the Port of Savannah and call Charleston instead.

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Hapag-Lloyd stated that in order to continuously optimize its service portfolio, stabilize shipping schedules, and adapt to market demand, it will adjust its AL3 (Atlantic Loop 3) service, temporarily canceling its call at the Port of Savannah in the United States, and instead call at Jacksonville, Florida. Port (Jacksonville).