Post-COVID Outlook on Ocean Shipping
Now that most countries are easing COVID-19 restrictions, ocean shipping processes might improve. However, as of the first half of 2022, you also have to consider the impacts of the Russia-Ukraine war.
It’s important to consider these factors when determining where ocean shipping currently stands. This article will mainly focus on the changes after COVID-19 instead of the war issues, but both are relevant to current ocean shipping trends.
According to some shipping and logistics companies, ocean shipping seems to be looking up. The chairman of Yang Ming Marine Transport Corp., one of the largest shipping companies in the world, believes congestion is decreasing and ocean shipping will likely become smoother as 2022 progresses.
While some countries, including China, are reinstating lockdowns, it’s assumed these events will only have minor impacts on ocean shipping.
Ports After COVID
While the global economy is starting to return to normal, not everything will be smooth sailing in the post-COVID world. There might still be issues with congestion and delays for some time. However, ocean shipping operations are expected to pick up throughout the year.
Critical ports in China are set to remain open during the country’s latest lockdowns. Considering many ports worldwide are still experiencing backlogs due to the numerous issues COVID caused, a reduction in factory volumes could allow ships in China’s ports to get back on track.
You also have to consider the demand side of the situation. If demand decreases, ocean shipping might see some logistics relief. However, those odds are difficult to calculate with variables such as the Russia-Ukraine war and COVID-19 shutdowns in Shanghai. Some experts are warning of the potential for another surge in issues as summer approaches, particularly for ports on the East Coast of the US.
Fluctuating Outlooks on Post-COVID Ocean Shipping
Ocean shippers have faced various struggles throughout the pandemic. While ports are beginning to improve their operations, there are still lasting effects from COVID.
Ocean shipping will likely be a continuously changing landscape throughout 2022 and into 2023, especially since countries around the globe all have their own responses to the pandemic. The global economic challenges due to Russia’s war against Ukraine also contribute to the fluctuation.
Our team at Universal Cargo is here to help you keep an eye on ocean shipping and how it will recover post-COVID. Read more of our blogs to stay in the know.