China Trade War Fallout: Freight Cancellations Signal Looming Shortages
Eighty canceled sailings from China, attributed to decreased demand stemming from the US-China trade war, have been reported. This reduction in transpacific services, impacting major alliances like ONE, could result in a significant drop of 640,000 to 800,000 containers, severely impacting ports, logistics companies, and related sectors. The World Trade Organization has noted a sharp deterioration in global trade outlook, and the uncertainty is impacting businesses like JB Hunt. While a complete halt is unlikely, a substantial decrease in container traffic is anticipated.
John Q. Hosedrinker