2025-07-10
Reading time: 8 minutes
Global Shipping Update: Navigating Continued Headwinds in July 2025
June 2025 presented significant challenges for global shipping, marked by severe container shortages, the widespread application of surcharges and General Rate Increases (GRI’s), and substantial port congestion at both origin and destination. These factors collectively stretched door-to-door transit times to over 2 months. As we move into July, many of these issues persist, particularly on the critical Asia–South Africa trade lanes.
Current Challenges: China to South Africa
Container Shortages & Capacity Rerouting: The scarcity of containers remains a dominant concern. A primary driver is the diversion of empty containers to lucrative China–US lanes, fuelled by heightened trade tensions and a surge in US imports. This leaves Asia–South Africa routes significantly under-equipped. Compounding this, carriers are increasing blank sailings on less profitable Asia–Africa routes to manage tightened capacity, further squeezing container availability. The overall effect means equipment is getting stuck in China as bookings surge on other lanes, stalling the repositioning of empties for South African bound cargo.
Major Chinese ports like Qingdao, Shanghai, Ningbo, and Nansha are experiencing berthing delays of 2-3 days, alongside vessel bunching and congestion. Similarly, Singapore is seeing berthing delays of 2 days, leading to 2 week transshipment delays on certain routings due to vessel bunching.
Freight Rates and Surcharges: The market continues to see elevated costs. Peak Season Surcharges (PSS) remain in effect, with Maersk officially implementing a PSS of USD100.00 per 20ft GP and USD200.00 per 40ft GP for shipments from Far East Asia to South Africa and Mauritius, effective 15 June 2025. Other carriers have also enacted GRI’s. Customers should anticipate these additional costs and plan accordingly. Even as global spot rates show slight softening, routes to Africa remain high due to ongoing GRI’s.
Port Congestion & Operational Delays
Chinese Ports: Persistent fog and adverse weather conditions intermittently cause 1–3 day delays, with vessel queues ranging from dozens to over 150 at major ports like Shanghai, Ningbo, and Qingdao.
South African Ports
Cape Town has inherited June’s crisis-level congestion. Anchorage and berthing wait times remain steep at 6–10+ days due to Red Sea diversions and strong winds.
Durban continues to face challenges from heavy storms and equipment constraints, keeping delays around 9–10 days on average.
Total Transit Delays (July Point Estimate)
The cumulative effect of these delays extends door-to-door transit times significantly:
Europe: Persistent Congestion & Delays
The situation across European ports remains erratic due to labour unrests and high levels of congestion, impacting all logistics services. Belgium, Spain, Italy, and Germany are experiencing berthing delays of 3-6 days, while France, Turkey, and the Netherlands see 2-3 day delays. The UK’s London Gateway Port has 3-day berthing delays, impacting cargo destined for Hamburg which is being routed via the UK, leading to further transshipment delays in Southampton or London Gateway. All cargo moving via European ports is experiencing extended transit times and lead times, including transshipment services for LCL cargo and container transshipment hubs like Algeciras and Las Palmas. Rotterdam, Antwerp, and London Gateway are the most severely impacted.
Actionable Tips for July
To mitigate these ongoing challenges, we advise clients to consider transshipment via alternative ports or explore container re-use options within Africa to ease the impact of shortages.
July 2025 continues to present a complex shipping landscape characterised by container shortages, persistent port congestion, and elevated freight costs. Proactive booking, exploring alternative routings, and meticulous inland planning are essential strategies for navigating these prolonged transit times, which currently exceed 2 months door-to-door.
Local Port Update
Durban
Cape Town
Eastern Cape Ports (Gqeberha/Port Elizabeth and Ngqura)
https://www.freightnews.co.za/article/port-ngqura-welcome-first-ultra-large-container-vessel
Important Note: The situation at ports can be highly dynamic and change frequently based on weather, operational issues, and vessel arrivals. For the most up-to-the-minute information, please consult with your dedicated controller.
Good news for SA ports: Their new approaches are resulting in better performance
https://www.freightnews.co.za/article/sa-ports-switch-gear-record-improved-performance-figures
Worldwide demand for air cargo increases
https://www.freightnews.co.za/article/global-air-cargo-demand-rises-0
Peak Season Surcharges (PSS)
Major carriers like Maersk and CMA CGM have already announced or implemented Peak Season Surcharges (PSS) for shipments from the Far East to Southern Africa, effective from June and July 2025. These surcharges can significantly add to the overall cost, with Maersk announcing USD500.00 for 20ft containers and USD1,000.00 for 40ft/40ft HC containers starting 01 July 2025. CMA CGM also implemented a PSS of USD250.00 per TEU to Cape Town from 01 June 2025 and further increases to other Southern African countries from mid-June and early July.