November 4, 2024
As Black Friday and Cyber Monday peak seasons approach, Amazon's West Coast warehouses are severely overstocked, resulting in shipping delays and inventory backlogs. The consolidated shipping market is also experiencing capacity overload, especially on European and U.S. routes.
Shipping companies have raised prices and suspended sailings, tightening available capacity. Freight rates on various routes are increasing, and multiple carriers have announced new pricing adjustments and peak season surcharges.
Industry insiders suggest that this round of capacity crunch is due to factors like the impact of the U.S. election on tariff policies, customers rushing shipments, an earlier Chinese New Year next year, and the risks associated with port automation disputes and potential strikes in U.S. ports. Additionally, routes to South America and Southeast Asia are also experiencing capacity overloads.
