Ocean carriers are canceling dozens of sailings on the world’s busiest routes. This is generally considered peak time for the cargo ships to transport goods. However, the decreasing demand in Europe and US due to rising prices have contributed significantly to these cancelling sailings.
Price of shipping a container last year around the same time was about $19000 which reduced to $14000 earlier this year. However due to rising inflation and demand destruction, currently the price is dramatically reduced to $3900.
UN has recently warned about the upcoming recession which would be a lot more impactful than the Covid crisis as well as the 2008 financial crisis.