Freight Cost Soaring for POP Cardboard Display

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If you are preparing a promotion campaign for the next season, you must be sourcing your corrugate display right in this month of July.

The fact that shipping cost has been climbing up since last February. And there is no sign of fall down. So it’s quite important we get freight part pre- and well arranged.

It’s highly likely that you won’t be able to book the cabin with cash

Peak shipping time abroad in China lies in the second half of the year. Today is the last day of the first half. Cargo demand already exceeds capacity available right now.

The result is that we or you need to book vessels at least 4 weeks or even 8 weeks in advance. Regualry it only needs to place book 2 weeks ahead.

Let’s see what has been described from The Journal of Commerce Online,

COVID-19 epidemic a big reason

Due to the global epidemic, ports of American and European are not easy to relieved in a short while from congestion, so shipping cost will increase.

While at the end of Asia ports, bookings to American and European have hit a record high with limited supply. This bring shipping cost to a new high. Major ocean carriers even filed for an eye-popping $3,000 GRI in June. The Shanghai Containerised Freight Index (SCFI) hit new highs on June 4th. No one konws how much higher spot rates can go.

Let’s review the statistics gained from The Journal of Commerce Online,

Import volumne reached a new high

Since every importers and wholesalers want to pre-arrange their shelves, their competitors are not waiting and are buying products to seize the market.

The world is experiencing a supply chain nightmare. There are shortages in a bunch of different goods and components. The import wave is coming. As retailers struggle to catch up, imports could be capped in the months ahead by the shipping network that has reached its limit. That, in turn, implies more premium charges and even higher all-in costs for importers. High freight rates and tight capacity are currently common problems for all importers. They can not be alleviated in the short term. Putting off importing can not help, but may miss the opportunity of the market and even face another shipping cost increase.

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