3 Ways COVID-19 Has Changed International Shipping

3 Ways COVID-19 Has Changed International Shipping
3 Ways COVID-19 Has Changed International Shipping

The pandemic brought many disruptions to the world in 2020, and shipping delays were certainly one of them. However, the industry has managed to handle the situation ever since the pandemic started more than two years ago. Keep reading to understand several ways COVID-19 has changed international shipping and how it may affect you moving forward.

Production Decreases

The pandemic impacted several industries, causing substantial delays, and international shipping was no exception—given that this industry requires human interaction. With such a unique situation, adjustments were certain to take time.

As addressed in the Organization for Economic Cooperation and Development's analysisof international trade in the pandemic era, industrial trade and production dropped significantly during the pandemic. However, the same analysis showcases the industry’s recovery, with both trade and production rising again by 2022. Let’s talk more about how that fall and rise has influenced the market.

Maritime Freight

Maritime freight is essential to international travel as roads can’t take your shipments everywhere. In the same aforementioned OECD analysis, maritime freight rates were also a discussion piece due to their increase during the COVID-19 pandemic—potentially due to vessel capacities and container shortages, among other reasons. When this trend started in 2020, the total outlook of international shipping seemed to forecast long-term difficulties.

Thankfully, there are ways you can reduce stress during your shipment transportation. For instance, Diversified Transportation Services offers international freight forwarding services. We focus on the solutions to logistical issues so that you don’t have to try to solve every problem yourself, working with freight forwarders to move shipments domestically and internationally.

Rethink & Strategize

The ways COVID-19 has changed international shipping doesn’t solely come down to the problems it created. This experience required the industry to rethink and strategize the way it does things. Forward-thinking is a powerful thing in any industry, and now, the pandemic’s side effects present the opportunity for international shippers to engage in that.

For example, as Nissan’s Chief Operating Officer, Ashwani Gupta, recently stated, Nissan previously focused on a quarterly business plan; however, due to the pandemic, the company now uses a strategy that more closely resembles a daily business plan. Suffice it to say, that’s a substantial change; however, exploring and embracing a strategy such as this will help the industry thrive moving forward.

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