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    Chinese New Year (January 24-30, 2020)

    In connection with the Chinese New Year (CNY), which is from the 24th – 30th January 2020, we bring some useful information for our customers to help you prepare for it.

    Most factories close one week before and up to 1-3 weeks after the Chinese New Year, as it is common for  Chinese people to travel home to be with their families. This is thus regarded as the world's largest annual movement of people, as approximately 2.5 billion people are traveling in a very short time.

    If you are importing from China, please note the following:

    • The delivery time of the factories. Check this to make sure that most orders are shipped well in advance of the Chinese New Year.
    • Make a freight plan with your freight forwarder as the period affects the schedules, as well as the capacity of vessels, aircraft, railways, and trucks.
    • Examine the factories’ opening hours during the period to avoid surprises. As mentioned above, many factories are closed from 1 to 3 weeks after the official holiday period. For this reason, you should check, when your factory can deliver again after the holiday period has ended.

    Impact on freight rates

    Because of this big celebration, you should also be prepared for a significant price increase during this period. From November/December, shipping prices are usually higher due to the rising demand. This will continue until the holiday itself, but after the holiday season, prices usually decrease again in response to falling demand. After the holiday season, shipping companies often reduce the capacity to maintain the prices.

    Shipping tips for the Chinese New Year

    1. Make a delivery plan in advance with suppliers and freight forwarders.
    2. Try to avoid orders at short notice.
    3. Book your transports well in advance - preferably 2-3 weeks before departure for sea freight.
    4. Check the sailing plans if you have LCL movements. Terminals and warehouses are congested in the weeks before the Chinese New Year.
    5. Airfreight and rail transport are an alternative for urgent deliveries. However, flights must also be scheduled a few weeks in advance as they will be filled up.
    6. Check everything again and get the schedule confirmed with everyone involved in the pre-holiday period.

    If you have any questions about this, please feel free to contact your local FREJAN.