The China containerised freight index, a widely-used barometer measuring contract rates for export container transport from Shanghai, has averaged more than 2,000 this year, twice its level in 2020. Bottlenecks threaten to remain a significant barrier to global trade for the rest of this year.
Digitalisation of shipping is accelerating, and online competition between carriers and logistics providers will increase in 2021.
The sharp increase in freight rates will jeopardise the profitability of sectors reliant on container shipping for low value commodities.
Firms will diversify supply chains to mitigate the risk of disruptions, favouring nations that are building efficient port infrastructure.
When planning their supply chains, firms will focus more on resilience than efficiency or low cost.
