Coronavirus Update - March 30

Allyn International is committed to providing you with the latest and most accurate updates during this very fluid and everchanging period. Our goal with the information provided below, is to give you, at a high-level, the current outlook of the most heavily impacted regions.

Prices soar as air cargo capacity remains the biggest challenge moving international freight. The void created by passenger airlines cancelling flights cannot be filled by freight-only airlines simply because there isn’t enough additional aircraft available. To help ease the burden, many passenger airlines have added cargo-only flights to their schedules, but a large gap in capacity remains. Air charter solutions are also being stretched and prices have nearly doubled since early February.

Americas

• President Trump announced yesterday the extension of national social distancing guidelines to April 30.
• Trucker shortages and offloading delays expected to continue
• The CDC issued a travel advisory for New York, New Jersey and Connecticut. Residents are asked to refrain from non-essential domestic travel for 14-days. The advisory does not impact cargo.
• Argentina extends the nationwide quarantine until mid-April.

United States

• 148,089 confirmed cases (261% increase since 3.23.2020), 4,886 recovered, 2,599 deaths

EMEA

• Delays are inevitable at European borders due to ongoing border restrictions.
• International groupage shipments are restricted in and out of Italy.
• Advised to contact pick up and delivery locations to verify operational status.
• Pick-up and deliveries of domestic and international cargo will experience delays until the Italian government lifts the domestic travel restrictions.
• Air cargo capacity shortages exist for all major European trade lanes. Prices continue to soar.
• All European ports are operating at 60% - 80% due to reduced workforce.
• The French region of lle-de-France, home to Paris is becoming the hotspot with approximately one-fourth of the countries’ total confirmed cases.

Italy – 97,689 confirmed cases (53% increase since 3.23.2020), 14,620 recovered, 11,591 deaths
Spain – 85,195 confirmed cases (157% increase since 3.23.2020), 16,780 recovered, 7,340 deaths
Germany – 63,929 confirmed cases (122% increase since 3.23.2020), 9,211 recovered, 560 deaths

APAC

• China announced the reopening of the Hubei province where the coronavirus first emerged late December. Wuhan, the most affected region of Hubei, is gradually reopening and the Chinese government is allowing its’ people to travel in and out of the city.
• China is continuing to limit entry of foreign nationals in fear of a new outbreak as a result of imported cases of the coronavirus.
• Shipping lines at Indian seaports are advised not to impose container detainment charges on imports or exports until after April 14th.
• As the fourth most populous nation, Indonesia plans to increase their social distancing measures hoping to reduce the spread of the virus.

China

• 82,198 confirmed cases (0.9% increase since 3.23.2020), 75,923 recovered, 3,308 deaths

Middle East and Africa

• Iraq / Turkey border remains closed. Turkish truck cargo must be transferred to an Iraqi truck at the border.
• Only essential cargo (food, medicine, etc.) can enter Saudi Arabia
• Strick health screening of truck drivers at UAE seaports and airports
• Nigeria implemented lock-down measures in Lagos and Abuja for 14 days.

Iran

• 41,495 confirmed cases (80% increase since 3.23.2020), 13,911 recovered, 2,757 deaths

The following tables and chart will provide the current cargo transport operational status for heavily affected countries.

Air Cargo Transport – Updated 03.30.2020

• Cargo-only flights are being added to carrier networks to assist with the mismatch of supply and demand
• Price increases are expected to continue until mid-April

* Wuhan airport has reopened. Flights will resume, at earliest, the end of March.
** Hefei airport is operational however passenger flights are still suspended. No impact to import, export, or custom clearances.
*** India’s major airports are experiencing delays and cancellations

Ocean Transport –Updated 03.30.2020

• Global capacity and equipment shortages, especially with nations trading with China.
• Carriers continue $200-400 per container surcharges

*The Hubei Province (including Wuhan) ocean port continue its’ suspension of all transportation

Road and Rail Transport – Updated 03.30.2020

• Possible trucking delays to South East Asia as a result of temporary border closures. Food and medical essentials are not restricted but may be delayed due to border congestion.

The chart below displays the year-over-year Freightos Baltic Index.

Our operations and consulting teams are working diligently and will continue to offer alternative solutions to move your cargo in the most cost-effective and efficient way possible. All Allyn International regional offices are fully operational and will continue to support you as we navigate the current and future challenges.

If you have any questions regarding the impact of the coronavirus to your supply chain or need to develop a contingency plan, please contact your Allyn International account manager or email sales@allynintl.com.