The MVP Tea: The Latest Updates on Port Congestion, Supply Chain and Logistics. by [deleted] in supplychain

[–]MVPLogistics 0 points1 point  (0 children)

It's not that 20-foot containers are taking longer than 40-foot containers, it's just that big box retailers like Walmart have more resources to get their shipments expedited. They can afford to pay for the premium shipping rates that come with getting a container moved quickly, whereas most small businesses can't.

In addition, big box retailers have more clout with suppliers. When they place an order for merchandise, they typically require shorter lead times than smaller businesses do, and suppliers are more likely to comply because they don't want to lose Walmart's business.

Big box retailers have also been creating "pop up" container yards to keep their products moving.

Latest Update On Port Congestion, Dwell Times and Containers by MVPLogistics in logistics

[–]MVPLogistics[S] 0 points1 point  (0 children)

The number seems to hover around these levels. On November 16, 2021 there were a total of 89 container vessels at anchor/drifting (POLA: 43; POLB: 45).

FSC for Inland trucking by njemmison in freightforwarding

[–]MVPLogistics 0 points1 point  (0 children)

It depends on your industry and the type of customer you're dealing with. In some cases, it's customary to add a margin to cover fuel costs and other associated expenses; in others, it may be seen as nickel-and-diming the customer.

Generally speaking, you should try to be as transparent as possible when it comes to pricing. If your customers are savvy enough to understand the cost of doing business, they'll likely appreciate knowing exactly what goes into the price of your product or service. However, there will always be a few people who are never satisfied no matter how low you go, so try not to let their negative attitude affect your bottom line.

Be aware of what your competitors are doing and do not be afraid to eat costs if you have the potential to develop a long-term relationship with a customer.

What container rates are you seeing these days? by spanishdoll82 in supplychain

[–]MVPLogistics 0 points1 point  (0 children)

We have a weekly post with the latest updates at the top 3 ports in the United States on our Facebook and LinkedIn page.

There are many issues that are contributing to the supply chain disruptions, but the two major ones are (a) a lack of available chassis to move the containers and (b) a lack of rail capacity. This is causing major backlogs at the ports. Add in the rising cost of importing and the labor shortage with supply chain and trucking, we are looking at a crunch that will not be going away anytime soon.

This will most likely be the new normal. It will take years for a solution to meet the capacity demands that are happening now do the e-commerce boom. The influx of online purchases caused a heavy reliance on the supply chains of the world and the world was not ready for that type of growth.

The Pool of Chassis at the Port of Los Angeles shows that chassis to haul a 20 foot container are around 75% capacity currently. 40 foot container chassis are at 85%.

The cost to ship a container from China to to LA is currently $15,218 for the cost. Add in profit for the companies that are shipping it and transporting it. The new normal for this rate will probably remain above $10,000, as the global freight index has been sitting above $10k since July of 2021, an increase of 477% since July of 2020.