Boxlines rerouting via the Cape of Good Hope to save on Suez Canal transit fees, but adding journey time
Davies Turner says rerouting will benefit its direct rail link out of China
Increased ocean container transit times in the Asia to Europe trade is making railfreight services out of China an attractive modal alternative.
Davies Turner said that the decision by several container shipping lines in the Asia to Europe trade to re-route sailings via the Cape of Good Hope rather than the Suez Canal is making the UK forwarder’s direct Express China Rail service “even more appealing”.
Tony Cole, head of supply chain services at the independent freight and logistics company, said: “The impact of the COVID-19 pandemic and much lower fuel bunker prices has seen a sharp upturn in the number of container line services between Asia and Europe being re-routed via the Cape of Good Hope enabling the lines to avoid the Suez Canal – and its transit fees and dues.
“We understand that at least 20 sailings in the Asia to Europe trade lane are being diverted, adding several more days to the transit times of those services.”
Cole added: “If the lines maintain this revised routing, it means that with a transit time of just 24 days from Wuhan to Dartford, our direct Express China Rail service offers an even more competitive transit time versus the all-ocean alternative from ports on China’s North Eastern and Eastern coasts.
“This change of policy by some of the shipping lines will help us to attract even more shipments currently moving by ocean freight to the faster overland option.”
Davies Turner launched its dedicated weekly fixed-day rail consol import service from China to the UK in November 2018, with bookings increasing continually.
On departure from Wuhan, the intermodal rail service heads direct to Duisburg in Germany. Containers are then trucked under bond to the port of Rotterdam and transported by ferry to Purfleet, near Dartford, for on-carriage by truck to Davies Turner’s distribution centre, where they are discharged, customs cleared and delivered.
