How stable is the supply chain of China’s industrial chain? Interpretation of the latest shipping index

◆ With the overall improvement of the epidemic prevention and control situation, the operation efficiency of the shipping supply chain has improved, and the freight rates of major routes have been lowered. The steady decline in the shipping index has released a positive signal that export enterprises have resumed work and reached production, and port transportation has steadily “recovered” ◆ ” The trajectory of the shipping index reflects the changes in the container shipping market faced by companies this year, showing that the contradiction between supply and demand is easing, and transportation costs and efficiency are returning to normal.”

Xinhua News Agency, Tianjin, July 3 (Reporters Wang Ning, Liu Weizhen) In the light of the sea breeze, Tianjin Port, a big port in northern China, welcomed a special “guest” – the “Viking Sea” Ro-Ro ship.

With 660 vehicles from Dingzhou, Hebei, taking this ship to the port of Lierque, Chile, the new South American ro-ro route was officially opened here, and the export channel of the Beijing-Tianjin-Hebei region has become more smooth.

After the outbreak of the new crown pneumonia epidemic, the global shipping prices fluctuated wildly, and “one box is hard to find” has plagued many trading companies that rely on sea transportation.

What is gratifying is that this year, changes in an important index have shown that China’s supply chain has stabilized and improved.

On June 30, the Tianjin Shipping Index (TSI), the “wind vane” of shipping prices for domestic and foreign trade in northern China, closed at 1,883.11 points, down 0.48% from the end of May and down 3.39% from the beginning of the year, continuing the downward trend. Among them, the North International Container Freight Index (TCI) closed at 3073.01 points, down 13.37% from the beginning of the year.

The person in charge of Tianjin International Trade and Shipping Service Center analyzed that the decline in international container freight rates was the main reason for the decline in TSI. With the overall improvement of the epidemic prevention and control situation, the operation efficiency of the shipping supply chain has improved, and the freight rates of major routes have been lowered. The steady decline in the shipping index has released a positive signal that export enterprises have resumed work and reached production, and port transportation has steadily “recovered”.

Along the tortuous coastline to the south, the trend of stabilization is also clearly reflected in the Yangtze River Delta, another economically developed region in China.

At the fourth-phase automated terminal of Shanghai Yangshan Deep-water Port, the container berths are operating at full capacity, and the 10,000-ton ships are heading towards the sea horizon one after another. At Yangzhou Port on the Yangtze River, more than 200 kilometers away, the general bulk carrier “Olen” loaded with 30 pieces of wind power blades and 173 pieces of wind power equipment parts also sailed downstream into the East China Sea. Previously, two general bulk cargo ships have set sail from this, carrying wind power towers to Australia.

In the hot summer days, several major hub ports in southern China are running at full capacity to ensure transportation, and new ships have also set out for sea trials one after another. Behind this is the vigorous vitality of industrial enterprises.

Weekly statistics released by the Shanghai Shipping Exchange show that on July 1, the Shanghai comprehensive export container freight index was 4,203.27 points, down nearly 20% from the historical high of 5,109.60 points at the beginning of the year.

“The trajectory of the shipping index reflects the changes in the container transportation market faced by companies this year, showing that the contradiction between supply and demand is easing, and transportation costs and efficiency are returning to normal.” Bian Chenming, President of Tianjin Region, Global Rapid Transit (Shanghai) Supply Chain Technology Co., Ltd. Say.

The shipping index also reflects the development vitality of domestic trade circulation in China’s coastal areas. Looking around the coast of Liaoning Province, the ports are busy, orderly and efficient. The “Dalian-Ningbo” domestic trade route operated this year has built a new “bridge” for logistics and transportation guarantees, promoting the economic cycle between the Northeast region and the Yangtze River Delta region.

Data show that domestic coastal container freight rates are also relatively stable. At the end of June, the coastal container freight index (TDI) closed at 1520.75 points, a slight increase of 2.41% compared with the beginning of the year. The index has returned to a smooth upward channel.

Bo Wenguang, deputy dean of the Binhai Development Research Institute of Nankai University, said that compared with international shipping prices, the domestic trade shipping price curve can better reflect the current situation of China’s economy. The shipping index, which is mainly stable, indicates that the supply and demand of shipping has basically returned to normal, which has an important indication value for the next stage of economic recovery.

During the epidemic, China has maintained the stable and orderly development of the industrial chain and supply chain by guiding major international liner companies to strengthen the guarantee of flights and space investment in the hub port routes, and formulating and implementing policies to reduce the pilotage fee charging standards of coastal ports in a targeted manner. Several industry insiders interviewed said that this plays an important role in enhancing the confidence and vitality of market players and smoothing the domestic and international dual circulation.

From January to May this year, major international liner companies have placed a total of 9.87 million TEUs in China’s major export ocean routes. Data from the National Bureau of Statistics of China shows that from January to May, China’s total import and export of goods was 16,037.4 billion yuan, a year-on-year increase of 8.3%. China’s position in the global industrial chain and supply chain is more consolidated.

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