​With the ongoing conflict in the Red Sea, it has created significant challenges for global supply chains. At Hi-Tech Packaging Ltd, we aim to reduce any stresses that accompany shipping and your orders. However, we do ask for your assistance to ease these, we believe being informed is a key part in this. Here is a breakdown of the key considerations and recommendations when it comes to shipping in the current climate:

1. Ocean Capacity, Equipment Constraints, and Events:

   • The disruptions in the Red Sea are causing strain on global ocean capacity.

   • The Suez Canal interruptions impact the Asia-Europe trade lane the most, but repercussions extend to other routes. The Panama Canal being one of them due to low water levels.

   • The Cape of Good Hope, has an average increase transit time of 14 days, when it becomes a primary alternative route.

   • Longer transit times for vessels and containers may result in a shortage of empty containers in Asia.

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   • The approaching Lunar New Year is expected to intensify delays due to increased exports preceding the traditional holiday shutdown across Asia.

2. Air and LCL Freight, and Ocean to Air Conversions:

   • Traditional air freight is an alternative, but a combination of sea and air solutions, and LCL delivery should be considered.

   • Exploring Less than Container Load (LCL) ocean delivery is suggested as a viable option.

   • Although air and LCL capacity are currently more accessible, long-term availability may change as shippers activate contingency plans.

In summary, the disruptions in the Red Sea are causing a domino effect on global supply chains, affecting ocean capacity, alternative routes, and overall logistics.

What does this mean for you?

The challenges mentioned above are not only creating disruptions and delays but also increasing costs. We will continue to manage these costs as best as we can for you.

You may also see reorder quotes come in a bit earlier than expected to counter the longer shipping times.

Your Hi-Tech Packaging contact will actively discuss and guide you on the above changes. Should you have any concerns or questions please do not hesitate to reach out.