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    New partnership aims to reduce the risks posed by dry bulk cargoes

    St. Lawrence Seaway resumes traffic as grounded vessel is refloated

    War risks insurance to be offered for vessels in the Black Sea

    War risks insurance to be offered for vessels in the Black Sea

    canada shipwreck

    Ghana imposes strict PSC and fines over MARPOL violations

    American club

    RMI: Failed bursting discs in carbon dioxide fire-extinguishing systems

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    thinking out of the box

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    Always do what your gut tells you: Keep it healthy

    Book Review: A role model for ship managers

    Book Review: How we perceive and deal with luck in life and business

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    aidaprima biofuel

    Russia removes ban on high-sulfer and bunker fuel exports

    QatarEnergy, HHI to construct 17 ultra-modern LNG carriers

    QatarEnergy, HHI to construct 17 ultra-modern LNG carriers

    ABS and Asiatic Lloyd Maritime LLP to explore methanol fuel system conversion

    ABS and Asiatic Lloyd Maritime LLP to explore methanol fuel system conversion

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    Two Swedish companies collaborate on hydrogen fuel use

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    Jotun Hellas pioneers vessel maintenance and safety with novel Aerial Drone Inspection Service

    Jotun Hellas pioneers vessel maintenance and safety with novel Aerial Drone Inspection Service

    IUMI explores the implications of digitalization on marine insurance

    IUMI explores the implications of digitalization on marine insurance

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    Port of Rotterdam and Yokogawa study ways to increase energy efficiency

    Irish forces found huge quantity of drugs on board ship

    Irish forces found huge quantity of drugs on board ship

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    Gard Club: Industry needs to mature and learn from incidents and human errors

    Gard Club: Industry needs to mature and learn from incidents and human errors

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    Tokyo MOU: Fire Safety is one of the most frequently detainable deficiencies

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    Seafarer Stories: Capt. Cristian Bacanu, Master

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SAFETY4SEA

New Shanghai lockdown creates fears over supply chain disruption

by The Editorial Team
March 28, 2022
in Maritime Health
fmc accurate information

Credits: Shutterstock

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Following an increase in COVID-19 cases in China, Shanghai will go into a new two-stage lockdown, as it was announced on Sunday, creating concerns over supply chain disruption.

As it was informed, there will be two phases for this lockdown during which there will be conducted a mass testing procedure. The first phase includes the Pudong financial district and areas east of the Huangpu river from 28 March to 1 April, and the second phase concerns the west of the Huangpu river that will be in a lockdown between April 1 and 5.

Accordingly, all residents will not be able to leave their homes. The public transport will be suspended and only private cars will be allowed to make just the necessary journeys. The congestion at the port which is already high, is expected to increase even more in the coming days.

What is more, all firms and factories will suspend production since people will be working from home. There is an exception for those who those involved in essential services and food supply.

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According to Shanghai International Port Group, during this lockdown, the port will ensure normal operations and will provide 24h services at its all port production units. Nevertheless, landside infrastructure and transport links are expected to be disrupted.

Under the new lockdown rules, all container truck drivers must provide a negative COVID-19 test result taken in the last 48h.

Several logistics companies said that they had suspended logistics-related operation and will not accepting cargoes during the lockdown.

 There is significant disruption to truck movements already, particularly from neighbouring provinces with trucks being forced to turn back on their way to Shanghai port, leaving a large part of the cargo ready for loading today unable to be transported to the port

…said logistics solutions provider Woodlands Group, noting also that “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.”

If this is widespread it will mean demand slow-down in the short term and downwards spot rate pressure, followed by a surge and upwards pressure

…Lars Jensen, CEO of consultancy Vespucci Maritime, stated on his LinkedIn profile.

Recently, there have been many concerns over this topic, with China announcing sweeping new lockdowns. It goes without saying that lockdowns will impact manufacturing and other sectors even if the ports continue to operate normally.

For this reason, the Predictive Maritime Intelligence company, Windward, had released its insights on how Shenzhen ports locking down might affect the supply chain.

 

Tags: Chinamaritime healthomicron variantShanghaisupply chain
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