How does Chinese New Year affect shipping and disrupt global supply chains
1. Factory shutdowns
Chinese New Year is more than just a holiday; it’s a nationwide exodus. Most factories close for at least one to two weeks, with many workers taking extra time off to travel home. According to Statista, China accounted for 29% of the world’s manufacturing output in 20231, making these closures a major global disruption. For Indian businesses that import from China, this can translate into a complete halt in production.
2. Logistics bottlenecks
The weeks leading up to Chinese New Year see a surge in shipping demand. Businesses rush to move goods before the holiday, leading to congested ports, overcrowded airports, and container shortage. This pre-holiday frenzy often forces importers to compete fiercely for limited capacity, further aggravating shipping delays.
3. Post-holiday delays
Even after the festivities conclude, factories don’t return to full speed immediately. Worker shortages, backlogs, and extended ramp-up periods can keep delayed shipments lingering for weeks. For Indian businesses, express shipping services from China have become a critical tool for navigating post-holiday bottlenecks and maintaining a steady supply.