The consequences of the pandemic on global transport
Transport, price increases and logistical difficulties: what are the causes of the global phenomenon?
Find out in this article, read the news!
2021 will be sadly remembered in the industry for the violent increases in raw material prices, which we discussed in our article “Increasing raw material prices we see why”, but also by the explosion of transport cost as well as problems in logistics.
The pandemic from Covid-19 that has effectively blocked the whole world in the last 2020, therefore continues to perpetuate its effects also in the current markets, with particular emphasis on transport.
The closures imposed by governments around the world, as well as the lack of key components in the industrial supply chains, have in fact caused great instability across the board.
Despite the great commitment of all our agents, the period still imposes limits on our activities, subject to the unforeseeable consequences of the market.
Increases in transport costs
Let’s now see what were the increases in transport costs due to the rapid change in the economy because of Covid.
As we know, 2020 was the year when everything stopped, causing a drop of about 20% of global transport capacity.
According to Assarmatori, association of category of the navigation industry, the transport of a 40-foot container between Shanghai and Genoa has suffered a surge of 317%, This increase inevitably affects the entire supply chain.
The causes of transportation problems are imputable to Covid
The causes of the difficulties in the transports, however, are also tied to the increase of the fuel, to the scarcity of the container and the congestion of the ports that, second the Financial Times, is carrying to the greatest crisis from the beginning of the shipments via container.
The past year has in fact been the protagonist of some significant negative episodes, such as the grounding of the Ever Given in the Suez Canal but also widespread political tensions worldwide.
Added to this are the problems linked to the inefficiency of ports worldwide, unable to manage the traffic generated by the economic recovery and sometimes not even modern ships, the picture of the situation is quite complete.
Fixy & Htn Group’s approach to the problem
The set of these cofactors has severely impacted on all productive activities, in a transversal way both to the working sectors and to the world geographies.
Fixy & Htn Group has witnessed all the dynamics that have involved the world of transport and logistics, facing with the strength of our international network of agents the various difficulties encountered.
Despite the limitations and the obstacle course, our team has never lost sight of the goal: to meet the needs of the customer, even when it seemed impossible to succeed.
