Maersk says no to Chinese meat and fish exports

By Ann Koh (Bloomberg) – AP Moller-Maersk A/S, one of the world’s largest shipping companies, has halted bookings to ship refrigerated containers to Shanghai as a strict Covid lockdown blocks trucking of meat and seafood from the port to the city.

Containers are piling up at the Port of Shanghai due to supply chain disruptions caused by the lockdown, Ocean Network Express said in a notice to customers on Thursday. The port lacks electrical outlets to keep refrigerated containers cool, while trucking remains limited and terminals are congested, Asia’s second-largest container shipping company said.

That prompted Maersk to halt all new deliveries of refrigerated goods and some hazardous cargo to Shanghai until further notice, the company said Thursday. The company is waiving the fee for customers changing the destination of their frozen goods that are already shipping to Shanghai.

Also Read: Hong Kong Morgues Use Refrigerated Containers as Covid Deaths Rise

Shanghai’s sweeping restrictions aimed at limiting the spread of the omicron virus variant are now entering week three, crippling supply chains and forcing ships to divert elsewhere. Meanwhile, tensions between Shanghai residents and authorities are rising at traffic brakes. Citizens resorted to bartering items in exchange for fresh vegetables and milk.

Also read: Covid testing in southern China could lead to more export restrictions

China’s strict Covid Zero policy is even disrupting food supply chains as far south as Shenzhen. The e-commerce capital’s Shekou Terminal has banned imports of frozen meat and seafood, Hapag-Lloyd AG said on its website April 8. congestion at southern ports, said Josh Brazil, director of supply chain data at project44.

Also Read: Maersk Warns Shanghai Covid Lockdown Will Further Raise Shipping Costs

“Hong Kong and Yantian have been battling their Covid restrictions for months, which has also disrupted manufacturing and trade,” Brazil said. “Shanghai Lockdown Impacts Southern China Shipping Schedules.”

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