Logistics providers recommend booking airfreight capacity in advance as factories wind down and carriers cut schedules during holiday
Freight forwarders have advised shippers to secure air cargo capacity in advance of Luna New Year celebrations to avoid delays resulting from production closures and limited capacity in Asia.
Scan Global Logistics (SGL) said shippers should book airfreight capacity at least 4-7 days before planned shipping dates.
Luna New Year falls on 17 February and is widely observed across the Asia Pacific region, including China, Indonesia, South Korea, Malaysia, Vietnam, and other countries.
The holiday is followed by the Lantern Festival on 3 March, typicaly celebrated in China, Thailand and Vietnam.
"During this festive season, many factories and logistics providers pause operations or operate at reduced capacity. This can significantly affect production, warehousing, and freight availability, especially in China, Hong Kong, and Taiwan," said SGL.
Holiday dates in China are 15-23 February, 17-19 February in Hong Kong and 14-22 February in Taiwan.
Dachser also recommended booking air cargo capacity one to two weeks before the Lunar New Year holiday. The forwarder pointed to early production slowdown, reduced transport capacity and extended market impact, all of which can cause airfreight supply chain delays.
"Suppliers in China typically wind down operations 1 - 2 weeks before the official holiday. While the public holiday lasts about a week, many factories remain closed for up to a month or longer," said Dascher.
The forwarder added: "With minimal production from mainland China, carriers deploy less capacity to and from China, impacting schedules."
Dascher further stated: "The holiday effect spans around two months. Companies dependent on Chinese or Asian suppliers often stock up inventory, causing a pre-holiday cargo rush and a slower post-holiday recovery."
Shippers booking seafreight are also advised to book capacity four to six weeks before the holiday.
