We use cookies to provide you with a better experience. By continuing to browse the site you are agreeing to our use of cookies in accordance with our Cookie Policy.
  • INDUSTRY PRESS ROOM
  • ABOUT
  • CONTACT
  • MEDIA FILE
  • Create Account
  • Sign In
  • Sign Out
  • My Account
Free Newsletters
  • MAGAZINE
    • Current Issue
    • Archives
    • Digital Edition
    • Subscribe
    • Newsletters
    • Mobile Apps
  • TRANSPORTATION
  • MATERIAL HANDLING
  • TECHNOLOGY
  • LIFT TRUCKS
  • PODCAST ETC
    • Podcast
    • Webcasts
    • Blogs
      • One-Off Sound Off
      • Global Logistics and Risk
      • Empowering Your Performance Edge
      • Analytics & Big Data
      • Submit your blog post
    • Events
    • White Papers
    • Industry Press Room
      • Upload Your News
    • New Products
      • Upload Your Product News
    • Conference Guides
    • Conference Reports
    • Newsletters
    • Mobile Apps
  • DCV-TV
    • DCV-TV 1: News
    • DCV-TV 2: Case Studies
    • DCV-TV 3: Webcasts
    • DCV-TV 4: Viewer Contributed
    • DCV-TV 5: Solution Profiles
    • Parcel Forum 2022
    • MODEX 2022
    • Upload Your Video
  • MAGAZINE
    • Current Issue
    • Archives
    • Digital Edition
    • Subscribe
    • Newsletters
    • Mobile Apps
  • TRANSPORTATION
  • MATERIAL HANDLING
  • TECHNOLOGY
  • LIFT TRUCKS
  • PODCAST ETC
    • Podcast
    • Webcasts
    • Blogs
      • One-Off Sound Off
      • Global Logistics and Risk
      • Empowering Your Performance Edge
      • Analytics & Big Data
      • Submit your blog post
    • Events
    • White Papers
    • Industry Press Room
      • Upload Your News
    • New Products
      • Upload Your Product News
    • Conference Guides
    • Conference Reports
    • Newsletters
    • Mobile Apps
  • DCV-TV
    • DCV-TV 1: News
    • DCV-TV 2: Case Studies
    • DCV-TV 3: Webcasts
    • DCV-TV 4: Viewer Contributed
    • DCV-TV 5: Solution Profiles
    • Parcel Forum 2022
    • MODEX 2022
    • Upload Your Video
Home » Vessel traffic near Russian ports down 54%

Vessel traffic near Russian ports down 54%

Disruptions to sailing schedules will cause global supply chain delays in the months ahead, tech vendor data show.

ship-g27a520c46_640.jpg
March 7, 2022
Victoria Kickham
No Comments
Ocean freight traveling near Russian ports has dropped considerably since global sanctions were imposed on the country in late February, and more disruptions to sailing schedules are expected to slow global supply lines in the months ahead, according to a report from logistics software vendor project44, released today.

The company tracked a 54% decline in vessel traffic within 50 nautical miles of Russian ports between February 1 and March 4, stemming from suspended bookings to Russia as the country’s invasion of Ukraine intensifies. Since March 1, ocean carriers MSC and Maersk have suspended all cargo bookings to and from Russia, including all access areas near the Baltic Sea, the Black Sea, and the Russian Far East. French shipping giant CMA CGM, German shipping lines Hapag-Lloyd and Hamburg Sud, as well as some other major carriers, have since suspended bookings in the region as well.

“As major carriers suspend services to Russia, we are going to see additional disruptions to global sailing schedules in the months ahead, leading to additional global delays,” Adam Compain, senior vice president of data insights for project44, said in a statement Monday.

There has been a steep decline in ocean freight arriving at Russian ports as well; daily peak TEU (twenty-foot equivalent unit) vessel volume fell more than 40% between February 1 and March 3, according to the report, which is based on data from the company’s Supply Chain Crisis Tracker.

Professionals from across the logistics industry agree the situation will cause immediate and long-term effects on supply chains, most notably by reducing capacity and driving up energy prices.

“The supply chain as we know it has been strained for the past two or three years. Now, capacity moving in and out of Eastern Europe is being cut off,” said Bill Thayer, co-founder and CEO of logistics-as-a-service platform Fillogic. “The supply chain issue has all been about capacity and a lack thereof–and now, more and more capacity is being taken out of the network.”

Oil prices continue to surge, fueling fears of more inflation and an even higher cost to ship goods. The Logistics Manager’s Index has tracked a sustained increase in transportation prices over the past year-and-a-half, and researchers there said last week they expect continued upward pressure on pricing in light of problems stemming from the crisis in Eastern Europe.

“Beyond the truly tragic loss in human life, a number of costs are extending out of this conflict–many of which will have a direct effect on global supply chains,” LMI researchers said in their February report, released March 1. “The most apparent change has been the shock to fuel prices … As sanctions rack up on Russia, prices may continue to increase, potentially driving transportation and inventory costs higher.”

For more on how the conflict is affecting the supply chain, listen to the episode of the Logistics Matters podcast below.

Maritime & Ocean Ocean Carriers Supply Chain IT
KEYWORDS Fillogic LMI - Logistics Managers' Index project44
  • Related Articles

    Cargo volume down at East, West Coast ports

    Drayage pilot program expands operations near ports of Los Angeles and Long Beach

    Cargo volume down in Oakland due to crowded ports

Victoria Kickham, an editor at large for Supply Chain Quarterly, started her career as a newspaper reporter in the Boston area before moving into B2B journalism. She has covered manufacturing, distribution and supply chain issues for a variety of publications in the industrial and electronics sectors, and now writes about everything from forklift batteries to omnichannel business trends for Supply Chain Quarterly's sister publication, DC Velocity.

Recent Articles by Victoria Kickham

Leading with speed

Logistics industry growth slows in April

Demand for piece-picking robots gains steam

You must login or register in order to post a comment.

Report Abusive Comment

Most Popular Articles

  • Schneider welcomes first battery-electric truck

  • Fred Smith is not worried about Amazon

  • RJW LOGISTICS GROUP EXPANDS RETAIL LOGISTICS OPERATION TO DALLAS

  • Maersk deploys indoor drones for warehouse inventory counts

  • Outlook 2023: What’s in store for logistics/supply chain?

Now Playing on DCV-TV

5afe63a5 7125 4318 b851 1e5738df1c91

Patterson Fan Co. | HVLS V-Series Ceiling Fan | Staging Area Air Movement

DCV-TV 4: Viewer Contributed
The Patterson V-Series is a high-volume, low-speed industrial ceiling fan that is designed to circulate a lot of air at a very low speed. These fans, ranging in diameters of 8’ all the way to 24’, are perfect for large, open spaces such as staging and shipping areas. One 24’ fan can generate a cooling effect of 6 –...

FEATURED WHITE PAPERS

  • The five best applications for robotic lift trucks in warehouse environments

  • Fulfillment Facility Improved Efficiencies by 4x

  • 3PLs: Complete Orders Faster with Flexible Automation

  • Reusable Packaging for the New Wave of Supply Chain Automation

View More

Subscribe to DC Velocity Magazine

GET YOUR FREE SUBSCRIPTION
  • SUBSCRIBE
  • NEWSLETTERS
  • ADVERTISING
  • CUSTOMER CARE
  • CONTACT
  • ABOUT
  • STAFF
  • PRIVACY POLICY

Copyright ©2023. All Rights ReservedDesign, CMS, Hosting & Web Development :: ePublishing