Updates from South Korea
The Korean government has raised the alert level to “RED” on Feb 23. Our greatest concern is the health and safety of our employees and their families, we will therefore adjust our operations in accordance with the government guidelines and the general situation. Our management team and all stakeholders are working on sustainable solutions to ensure operation under the present circumstances. Please contact your local DB Schenker branch for detailed information.
Personnel Updates:
There are no reports of COVID-19 infections among our DB Schenker workforce.
Operational Updates:
Being the first working day of the “RED” alert level, we are monitoring the airports and sea ports and will keep you updated.
Status details can be referred to from the dashboard below:
Market Updates:
Air Freight
- For APAC (Greater China and other Asian countries), please always double-check rates and space with our CAPA team as the market situation (capacity and rate) is unstable and changes without prior notice.
- Greater China Market
Steep rate increase for PVG; other destinations differ depending on available space and demand.
Capacity (both PAX/FTR) to CN including TW/HK was greatly reduced (approx. 50%).
Cargoes are concentrated to certain CN destinations (PVG, CAN, TSN, etc.) where FTRs are operated; presently there are huge backlogs including cargos from EU/US.
Rate and space issues are experienced for HKG freight. - APAC Market
Belly capacity (PAX) to certain Asian countries (SG, VN, ID, etc.) has been reduced; potentially there may be more reduction to include other APAC countries. Rate increase is expected in the near future.
SQ will stop SQ 611 (ICN-SIN) as of Feb 25, this will lead to capacity constraints and rate increase for SG and transhipment cargoes.
VN (Vietnam Airlines) downgraded (into narrow body) all flights to HAN/SGN untill Mar 15. - Europe / US
Currently, there is no major impact; we will continue to monitor the status and update should the situation change.
Ocean Freight
- China Market
Overall market volume has greatly decreased on both exports and imports. Ocean freight between KR-CN continues at low level, whereas the capacity is stable regardless of blank sailings by many carriers. - Trans-pacific Market
Holiday has been extended and carriers are adding more blank sailings.
Carriers are charging Port Congestion Surcharge on live reefer containers into Shanghai, Tianjin Xingang, Ningbo ports. - Far East / Westbound Market
Capacity has decreased by about 25% to 30% for both west and east bound due to blank sailing services by carriers.
There are cases of delay of EU import schedules due to the lack of berth capacity in Busan port.
Land Transportation
- No significant impact is expected for trucking services nationwide.
Contract Logistics
- Currently, we are operating at full capacity at all DB Schenker facilities. No significant impact is expected on transportation and order fulfilment.
