11/8/2016

Attachments

With this article are the following attachments

To our valued customers and partners,

 

As a follow up to our last news publication on the G20 summit, please refer to the below information which is extremely important for all Australian Importers.

 

In brief, the impact on Australian Importers ex China will be as follows,

Impact to Customers

• Production Restriction for week 34/35 or even longer for polluting industries (Factories may close, or slow production, causing delays in production. Hangzhou citizens will have one week off from Sep 1 to 7 to alleviate security pressure)

 

• For Zhejiang, the impact on factories located in Zone A (Jiaxing, Hangzhou, Huzhou) is expected to be greater considering the venue of G20 and the higher proportion of the polluting industries. (This is due to production & traffic control measures to meet air quality & security requirements. Polluting industries include chemicals, glass, metal, plastics and textiles/leathers.)

 

• Shipments may be advanced by 2 to 4 weeks (this will mean an additional production time of 2 – 4 weeks, we advise to plan in advance and send your bookings now to avoid longer delays. We expect to see a major congestion around week 32/33, 2 weeks prior to the production restriction.)

 

• Bookings with shipping lines may be advanced by 4 to 6 weeks so as to secure space (longer notice periods for shipments will be requiredand longer time at inspection sites will apply)

 

• China Container Terminals have been requested to strengthen security and safety measures to ensure vessel and operation workers’ safety (Neither Ningbo nor Shanghai terminals have received any notice not to handle dangerous cargo during G20)

 

Further Detail to take note of,

 

• 2016 G20 meeting will be held in Hangzhou, capital city of Zhejiang province in China, during Sep 4-5 (week 35)
• Within 2 hours distance from Ningbo or Shanghai ports
• The local government has announced some production & traffic control measures to meet air quality & security requirements
• Based on previous experiences (2014 APEC, 2010 Asian Games, 2008 Olympics, etc), we expect such control measures will negatively impact the export and import cargo flows, causing fluctuations before and during the event
• 22% cargo ex Shanghai & 27% cargo ex Ningbo are under scope of restricted production
• The traffic control will also lead to more advanced shipments
• We estimate the impact level for G20 to Ningbo and Shanghai ports will be similar to what we experienced in 2014 for APEC in Qingdao/Tianjin ports (export): A pre-rush in 2-3 weeks before the event, with a big drop in the event week and A quick rebound in the following week and soon stabilize
• Hangzhou citizens will have one week off from Sep 1 to 7
• Hangzhou held 2 traffic control rehearsals

 

For a more detailed report please see attached G20 Impact Communication from Maersk Lineor the G20 official website: http://www.g20.org/

 

Alternatively please contact your BRi customer service representative for more information. 

 

Keeping you updated,

Aaron Poole

 

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