Coronavirus update – its effect on logistics from China

As we all know the Coronavirus is continuing to spread throughout China with cases also identified throughout most of the world.

The effect on logistics and the supply chain is also one which is causing some concerns as there is a continued contraction in work forces, flight bans / cancellations and shipping issues.

As has been widely publicised there are numerous provinces within China where the government has implemented policies which require families and workers to stay home. This has included extending holidays for Chinese New Year and blanket bans on people moving around the country.

This will have a substantial effect on the manufacturing facilities and transport arrangements throughout these regions. Please stay in contact with your supplier and VoxGroup so we can keep you updated on any issues in relation to the supply and movement of your goods. We are in contact with all of our partners in China and will provide the most up to date details on any delays.

In relation to airfreight, Qantas has cancelled all passenger flights from China until March 29 with only their freighter still moving between these countries. Other carriers have also confirmed flights have been cancelled and this is a carrier by carrier decision. This will have a compounding effect on airfreight shipments from China.

Should you require your goods to be airfreighted please speak to us before committing delivery dates so that the expectations on this service can be assessed. The Australian Government, Border Force and Border Security are continuing to monitor the situation and will continue to provide updates on a regular basis.

In relation to seafreight the government has implemented a policy whereby any vessels from Southern China need to have been on the water in transit for more than 14 days otherwise they will not be allowed to dock in Australia. Whilst this requirement is not retrospective NSW Ports have implemented the same procedures but have made it retrospective. The shipping lines have been requested to slow the vessels in transit to make sure they comply with this requirement.

Again this is a very fluid situation and one which we are continuing to monitor.
If you require further information please speak to us and we can provide greater information.