Typhoon Dolphin Disrupts Movement of 2.4 Million Containers at Shanghai and Ningbo Ports

Typhoon Dolphin caused disruptions to the movement of over 2.4 million twenty-foot equivalent units (TEUs) at the Chinese ports of Shanghai and Ningbo, which are ranked among the busiest in the world, creating severe pressure on global supply chains.

The typhoon led to the suspension of loading and unloading operations at both ports for extended hours, resulting in a backlog of vessels on waiting lists and delays in shipments including electronics, textiles, and raw materials bound for European and North American markets.

Ports in the Shanghai region hold a pivotal position in global supply chains, handling alone around 20% of China's exported container volume, making any operational halt an event with immediate impact on international logistics schedules.

Logistics experts warn that the actual repercussions of the typhoon could extend for weeks, amidst accumulating shipping backlogs and rising spot freight rates for Asia-Europe and Asia-America maritime routes.

What do these terms mean?

TEU: Twenty-foot Equivalent Unit, a standard measure equivalent to one 20-foot container. It is used to measure port and vessel capacity as well as maritime trade volume.

Spot Shipping: The container freight rate agreed upon for a single voyage directly in the market without a prior contract, rising rapidly during times of logistical crises.

Shipping Backlog: The accumulation of delayed shipments that were not completed on time, adding burdens to port and vessel capacity in the post-crisis periods.