AEC Industrial Magnetics Manufacturing

4699 Interstate Drive
Cincinnati, OH 45246

Record Number Of Ships From Asia Await Offloading
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Record Number Of Ships From Asia Await Offloading

Permanent & Electromagnets for Automation | AEC Magnetics

port congestionA record 44 ships were awaiting offloading at U.S. sister ports Long Beach and Los Angeles (see above) as of August 30, the United States' largest ports for goods coming from China, Hong Kong, Vietnam, Japan, Vietnam and Taiwan.  Serious problems are delaying and even stopping shipping, snarling worldwide supply chains. The issues, which are spelled out below, will delay orders."I'm expecting 60-day shipments to take at least 90," said Bill Klaus, president of AEC Magnetics in Cincinnati, Ohio, U.S.A.  "I do not see any relief from the shipping delays until sometime in the first quarter of 2022 at the earliest."  AEC recommends getting any permanent magnetics orders in as soon as possible.  "Those at the front of the line will receive their orders first, and probably at a better price, since these issues are putting pressure on every step of the supply chain."  Klaus added that, since virtually all of the world's permanent magnets come from China, they will be hit hardest.  "We are already facing steep price increases, and since we won't sacrifice quality or strength, our customers will definitely be affected."  Here are the main issues slowing worldwide shipping:

  • Covid-19 port and airport closures in China
  • Typhoon port and manufacturing closures in China
  • Shipping containers stuck in the wrong places
  • Atypical supply and demand patterns
  • U.S. Labor shortage 
  • Railway backups, stoppages and metering due to excessive cargo being shipped
  • Shortage of chassis necessary for trucks to transport containers