CHINA PARTLY SUSPENDS OPERATIONS AT WORLD’S THIRD-BUSIEST PORT RAISING SUPPLY CHAIN DISRUPTION CONCERNS

Operations at Ningbo Meishan port terminal were suspended on August 11 after a single case of COVID-19 was reported among the Ningbo Meidong Container Terminal staff raising renewed concerns of trade disruptions.

 

Shipping and logistics analyst project44 said the Ningbo-Zhoushan port began to turn ships away on the morning of August 11. The worker who tested positive resided in the terminal dormitory and was tested negative on August 8, before being tested positive on August 10. 

 

"All inbound and outbound container operations at Meishan terminal in Ningbo-Zhoushan port have been redirected to other terminals since Wednesday morning until further notice," project44 said of the partial closure of the world's third largest port.

 

The terminal handles about one quarter of the port’s container cargo.

 

The shipping and logistics analyst said the port authorities stated that the operating systems will remain down until Ningbo Municipal Health Commission can determine the extent of the outbreak. 

 

Average number of weekly port calls to Ningbo drop 70%

 

"Data provided by project44 confirms that a large volume of container ships (28 as of August 12) at anchor are waiting for berth space outside Ningbo-Zhoushan," it said in a statement.

 

"According to project44 data, the average number of weekly port calls to Ningbo have plummeted 70% from nearly 200 container vessels to less than 60 this week," it added, noting that ocean carriers are diverting and initiating blank sailings to and from the port.

 

project44 has recorded 37 blank sailings as of August 13, Friday.

 

"Since July 20, the number of newly reported cases of COVID-19 have compelled the Chinese government to re-enforce restrictions to reduce the surge in the spread. Most ports in the country ask for a nucleic acid test (NAT) for the entire crew with vessels anchored until negative results are confirmed," project44 said.

 

It added that many ports in the country have also made it compulsory for vessels to quarantine for 14-28 days if they were previously berthed in India or were part of any crew change process within 14 days of arriving in China.  

 

"This is the second shutdown of at major Chinese port after the Yantian Port closure in Shenzhen for over a month in May after a sudden virus outbreak, stoking fears of additional supply chain disruptions in the run up to Black Friday and Christmas shopping seasons," the shipping and logistics analyst said.