Two Powerful Storms Cause Global Supply Chain Disruptions

Typhoon Mangkhut, which just finished ravaging southern China and continues to move inland, and Hurricane Florence, which continues to be a catalyst for major flooding along the southeastern coast of the U.S., have caused major havoc on ground, sea and air transport schedules. Believe it or not, Hurricane Florence appears to be the lesser of two evils.  

Hurricane Florence (now Tropical Depression Florence), which diminished in ferocity as it made landfall, has accounted for roughly 500 cancelled flights across North and South Carolina airports, though most have returned to some form of operation.

On the other hand, according to data from FlightGlobal, Typhoon Mangkhut led to the cancellation of nearly 4,000 flights in the Asia-Pacific region on Sunday, September 16th alone.

The destructive power of Typhoon Mangkhut caused the majority of airports in southern China to cease operations, affecting both departing and arriving flights. Guangzhou Baiyun International, Shenzhen Baoan International, and Hong Kong International experienced roughly 800 flight cancellations each.  Reports have surfaced that non-operational airports are being utilized as shelters for the nearly 3 million residents who were forced to evacuate their homes. Not only were flights disrupted in southern China, but the region’s bus and ferry systems were forced to halt operations as well.

Ocean cargo in both the southeastern U.S. and southern China has also been negatively impacted by both storms as ocean carriers have rerouted vessels and diverted cargo to avoid the storms and/or port closures. If you have ocean cargo destined for, or departing from, either of these locations, please expect slight delays.

As of today, Monday, September 17th, airline and sea travel are gradually returning to normal operations in both the U.S. and China, but flight delays and cancellations are likely to extend throughout the remainder of the week. If you have air cargo departing from, or arriving in, either southern China or the southeastern U.S. please be prepared for delays lasting anywhere from 2 to 7 days.

Shapiro will continue to monitor the situation and provide updates as they become available.