EDITORS LETTER Global supply chains take another hit
If events of the past year haven ’ t been enough to rattle the supply chain industry , March 23 saw hundreds of container carriers and vessels navigating the Suez Canal grind to a halt when the ‘ Ever Given ’ ran aground in one of the world ’ s most important trade routes
“ It is estimated that the owners could face over US $ 3bn in liability claims ”
BUSINESS CHIEF MAGAZINE IS PUBLISHED BY
Following a week long battle to free the ‘ Ever Given ’, the ship is finally free and on its way to Felixstowe , but what effect has it had on global supply chains ?
With figures reportedly in the three hundreds , the ship that ran aground on March 23 at 05:40AM GMT caused a significant backlog in the Suez Canal . While those that could begin to take the costly voyage around Africa , 320 remained waiting for the vessel to be freed .
Suspending all traffic through the Suez Canal , excavators , salvage teams and tugboats worked tirelessly to refloat the vessel coinciding their efforts with high tides .
It wasn ’ t until 3:00PM local time on March 29 , that the ‘ Ever Given ’ was finally freed heading to the Great Bitter Lake for a full inspection . It is estimated that the owners could face over US $ 3bn in liability claims .
But can the damage to global supply chains be reversed ? Time will tell .
While the Suez Canal Authority is expected to increase the number of vessels moving through each day , more than 18,000 containers still have no fixed delivery date , which is likely to continue to damage global supply chains . The FIATA expects there to be high delays in shipments , increased costs , and product shortages .
GEORGIA WILSON georgia . wilson @ bizclikmedia . com © 2021 | ALL RIGHTS RESERVED businesschief . eu 3