Shanghai launched a two-staged lockdown for 9 days on March 28, putting stricter restraints on transport due to the latest pandemic outbreak. Some logistics companies said that the new lockdown would help raise transportation costs.
According to the Seatrade Maritime News, the Shanghai International Port Group claimed that the port would maintain normal operations and provide 24-hour services during the lockdown at all of its port production units.
However, landside infrastructure and transport links will be disrupted in and out of Shanghai.
In an advisory statement, shipping giant Maersk said the closure of Shanghai has further disrupted the global supply chain and will seriously damage land transport services and increase transport costs.
Due to the full lockdown of Pudong and Puxi areas until April 5, 30% of the cargo services in and out of Shanghai will be severely affected.
Maersk added, “Consequently, there will be longer delivery time and a possible rise in transport costs such as detour fee and highway fee.”
New cargo acceptance in air freight would also be impacted for air shipments due to the first-mile delivery and labor resource constraints.
Maersk added that some of its depots in Shanghai will remain closed until further notice, and all warehouses in the city will remain closed until April 1.
SEKO Logistics said that its factories in the province of Zhejiang are moving cargo out of Ningbo rather than Shanghai due to the surging costs and restraints.
In a statement issued on March 28, the company said they were anticipating “a sharp increase in air freight rates from today. We have already received some sky-high offers for inquiries to Europe so far today.”
For trucking shipments in SEKO Logistics, all highways linking Pudong with the outer are currently closed, which may delay air freight deliveries to the airport. SEKO added that trucking costs were expected to increase sharply.
As per Seatrade Maritime News, certain logistics companies have suspended operations and will not receive freight during the Covid-19 restrictions.
Woodlands Group from the UK said in an update, “While some FCL trucks are still running within Shanghai, LTL trucks are not allowed to enter Pudong. As a result, there will likely be a significant impact on LCL cargo.”
The company also agreed that Shanghai’s lockdown is expected to impact supply chains.

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