【Logistic 101】8 popular reasons for shipping delays analysis and prevention | FreightAmigo

Author Name: Tiffany Lee – Marketing Analyst at FreightAmigo

The leading causes of shipping delays can be frustrating and costly, as they can disrupt your supply chain and lead to dissatisfied customers, penalties, and increased operational expenses. While some delays may be inevitable and beyond your control, there are certain factors that you can manage to increase the likelihood of timely delivery. By reading on, you can learn about the most common reasons for delivery delays and discover ways to mitigate them whenever possible.

Shipping delays reason #1: Inaccurate documentation

One of the primary reasons for shipping delays is incomplete or incorrect paperwork, which can slow down the entire shipping process, from leaving the port of origin to clearing customs and arriving at the destination.

To prevent this, it is important to avoid common mistakes such as missing documents, inaccurate descriptions of goods, illegible handwriting, improper labeling, and the absence of an export license. These errors can lead to extended customs inspections, misplaced cargo, and even the denial of entry into a country.

To ensure smooth and timely delivery, it is essential to pay close attention to detail when preparing and organizing shipping documents. This includes checking that all necessary paperwork is up-to-date, legible, and complete, creating a checklist of required documents, and working with reliable partners to avoid errors.

Shipping delays reason #2 peak season

Refers to the time of year when there is a higher-than-usual volume of freight being shipped. Peak season for ocean freight usually starts in August, with back-to-school shopping, and lasts until November, as businesses prepare for the US holiday season. After a lull in December and early January, Lunar New Year in late January to early February causes production and exports to pause in some East Asian countries.

During peak season, there is high demand and low supply, which creates pressure on the supply chain and logistics network. As a result, freight may be delayed due to the high shipment volumes, and there may be higher freight costs or a peak season surcharge. To avoid these delays, some importers and exporters choose to break their goods into smaller shipments and ship in advance.

Shipping delays reason #3 Failure to plan for extra equipment and services

According to the Wall Street Journal, unloading a vessel with 20,000 containers requires 3000 people working tirelessly with equipment for three days. This resource-intensive process is a significant cause of shipping delays and high operational costs.

To avoid unexpected delays, it is essential to plan ahead with your freight forwarder and make arrangements for any extra equipment required to handle your cargo. It is also advisable to select reliable trucking services and obtain all necessary permits ahead of time to ensure that your cargo can start moving immediately after unloading.

However, some shipping delays are beyond your control. Here are some of the things that can go wrong in shipping, which are usually not preventable. Although it is not possible to prevent them, you can minimize their impact by allowing for extra planning time wherever possible.

Shipping delay reason #4 Global events that can impact the industry

Some recent examples of these events include:

  1. COVID-19 pandemic: The pandemic has caused disruptions in supply chains, with border closures, travel restrictions, and quarantine measures leading to delays in transportation and delivery of goods.
  2. Suez Canal blockage: The blockage of the Suez Canal by the Ever Given container ship in March 2021 caused a backlog of vessels waiting to pass through, leading to delays in shipments and increased costs.
  3. Brexit: The United Kingdom’s exit from the European Union in January 2021 has led to changes in trade regulations and customs procedures, resulting in delays and increased costs for shipments between the UK and EU countries.
  4. Natural disasters: Natural disasters such as hurricanes, earthquakes, and floods can disrupt transportation and logistics networks, leading to delays and increased costs.
  5. Trade wars and sanctions: Trade wars and sanctions between countries can lead to changes in trade regulations and tariffs, causing delays and increased costs for shipments.
  6. These unexpected events have had catastrophic effects on the supply chain network and the shipping industry as a whole.

Shipping delay reason #5 for delays in shipping is sudden changes in consumer habits

For example, over the past two years, there has been a shift in global consumer preferences towards online shopping and eCommerce. This has led to a higher demand for cross-border products. However, the production of vessels and development of infrastructure have not been able to keep up with this sudden increase in demand.

This has been a major reason for delays in the delivery of goods and vessel delays across the global supply chain. In fact, according to reports, 42% of online shoppers have abandoned their carts due to long delivery times.

Shippin delay reason #6 port congestion and traffic

Poor congestion and traffic can be caused by a shortage of manpower, storage, and handling equipment at ports in the US.

In Q1 2022, the Oakland port had an average dwell time of 7 days, making it one of the most congested ports in the world. Other major ports in the US, such as Long Beach, Charleston, and LA, also face congestion traffic and vessel delays. Even when shipments arrive on time, vessels may have to wait longer than usual before unloading the cargo.

To work around this uncertainty, it is advisable to include buffer time in your shipment plan and send your shipment to less-crowded ports.

Reason #7  Trucking issues

Tacking issues can be referred to the delays in truck loading or capacity. This can be a significant concern for shippers and forwarders. Furthermore, the low supply of chassis, which are load-bearing equipment used by trucks, can further exacerbate trucking delays.

Shipping delay reason #8  Unfavorable weather conditions

The unfavorable weather conditions can disrupt the movement of freight across all modes of transportation. Ships and airlines frequently encounter scheduling difficulties due to decreased visibility caused by bad weather conditions at coasts and airports. Unpredictable weather conditions are responsible for almost 23% of all delays in road transportation.

Want To Compare The Best Express, Air Freight, Sea Freight, Rail Freight & Trucking Rates So As To Have Better Control On Cost?

Traditional Ocean Freight Forwarder VS FreightAmigo

Shipping delays preventions

If you want to prevent and manage shipping delays, there are several steps you can take. Firstly, it’s essential to choose reliable and trusted providers for your shipping needs. You should also ensure that all your providers are aligned and have the correct reference numbers for your goods to guarantee smooth communication and timely delivery.

It’s also crucial to ensure that all paperwork is in order, and your goods are classified with the correct HS code. You can work with your providers to file paperwork on time and arrange a smooth warehouse drop-off. Additionally, you should plan ahead for peak seasons and avoid shipping goods during peak times if possible.

To prepare for unexpected delays, you should prioritize shipments of fast-selling goods, keep buffer inventory, and store inventory across several warehouses to optimize transit time and costs. Finally, it’s important to remember that some delays are not avoidable, but by planning ahead and building in buffer time, you can minimize their impact.

There Are Different Options For Cargo Transportation. If You Want To Choose The Most Convenient And Suitable Solution, It Is Best To Have The Full Support Of Logistics Experts! If You Are Planning To Ship Goods Overseas, Please Go To The FreightAmigo Page For Inquiries.

reeve