Global shortage of shipping space (AKEBONO)

The Global container shortage likely to last until 2022, says specialists. Thus exporters and importers have to adjust to new realities. The containers shortage as a results brought to the increase of RO-RO shipment usage, which itself brought to the new problem of RO-RO space shortage.


More details about reasons of shortage and current situation: https://www.japantimes.co.jp/news/2021/05/17/business/economy-business/world-economy-shortages/


Most big companies exporters announce about the problem of shipment delay on their web sites.





What used car exporter companies can do about it?


USE PREMIUM SERVICES

In order to provide a more stable level of service, some carriers have implemented premium products, which offer certain advantages, such as priority for equipment availability and space availability. However, the price for premium services is too high. Average cost of shipping for 40F container from Japan to USA is 14,000-15,000 USD, premium services offer containers for 20,000 USD.


OPTIMISE BOOKINGS

Having a lean booking process will help you and the related parties reduce the workload during these times. A lean process allows experts to dedicate more time to your shipments. This can be made possible by booking your shipments at least four weeks before departure; by minimising cancellations or no-shows.


FOCUS ON FORECAST

Having robust forecasts and plans is helpful, especially in such volatile situations. Find sources for reliable forecasts for significant events, develop alternative routes, and the types of containers to use. Try to be as flexible as possible to increase your options. Check the latest schedules, events and routing options.


TRY TO SEARCH SHIPPING COMPANIES YOU DIDN'T USE BEFORE

All shipping companies have shortage now, but it is better to keep in touch with every possible shipping company and daily check their schedule and space availability.


TRY TO FIND NEW LOGISTIC ROTES OF DELIVERY

For instance for direction Japan-USA there is a big shortage of containers, but Japan- Canada direction some containers are available. Thus there is a possibility of shipping to Canada and later deliver the container to USA by using in-land transportation.


JOIN ALLIANCES WITH OTHER EXPORTERS

The bigger volume of your export the easier to get the space. Shipping companies make priorities for bigger exporters.


Read more about us: https://www.akebono-akb.com/blog


#akebono #export #container_shortage #logistics


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