Shipping Crisis Update: What is Happening?

It has been pointed out by major shipping giant Maersk that the global economy has continued to expand, despite a global pandemic and the continuous cycle of the escalation of multiple mutations, the latest being the Omicron variant of the coronavirus.

Like the global economy, the global container freight volume will continue to increase in 2022. 

But how?

Of course, this might seem counterintuitive to some, given the delays in shipping and the shortage of containers. However, Maersk estimates that the growth rate will reach 7.8% despite all of this.

In spite of the hellish conditions at ports, the industry remains highly optimistic. Since the Chinese New Year in February, China's economy is still expanding.

However, this doesn't mean that there aren't challenges. There is still significant pressure and supply chain disruptions across the board, port congestions, and delays topping the list.

Freight rates are still on the rise, and the market is growing.

It is expected that the situation will improve after February, with Maersk using the holiday (due to the Chinese New Year) to readjust its services and restore schedules.

Of course, container supply will remain in some regions, but it's a start. We'll let you know as the situation develops.