The transportation of goods from China is in big trouble. The collapse hit shipping, rail and air freight. According to experts, this may lead to further price increases in Chinese goods in Europe. Over the last year, shipping companies have raised prices seven times. The situation is unlikely to improve until Christmas. The reason is interstate anti-epidemic measures.
According to economists, due to the transport collapse, medical aids, toys, office and school supplies, as well as clothing, electronics and batteries will become more expensive.
This is of particular concern to companies that are dependent on imports from China. The Asian power is currently the European Union’s largest trading partner, replacing the United States with tariffs. Prices for the transport of goods are skyrocketing.
“There is up to four times the price increase compared to 2019. This will be reflected in the shortage and the price of goods. I would say 10 to 20 percent at least,” said LED Solution co-owner David Gébl.
“There were big complications in shipping, mainly due to the lockdown in Chinese ports, where there was no one to load the ships,” explained the founder of the zdopravy.cz website, Jan Sůra. Ships wait months before they can set sail. For the first time, maritime transport is more expensive than rail. However, the railways are not technically ready for such large volumes.
The price of used cars is going up. 5 reasons why they will continue to rise sharply
–
–
“There are currently 40 trains waiting to be handled between Belarus and Poland. It’s about a week to two times between China and Europe,” Sura said.
Staff and containers are missing. The collapse also occurred in air transport. It also affected China’s largest cargo airport, Pudong, Shanghai. The traffic outage will not catch up by the end of the year.
“It will be the most expensive Christmas in history,” thinks economist Štěpán Křeček. The solution is not not to buy things from China. A large part of domestic or European products contain Chinese components.
Ivan Berka, mb, TN.cz
– .
