Supply chain impacts around Taiwan Straits and South China Sea

Happening Now

China announced military drills and called for all boats and airplanes to avoid the areas it identified around Taiwan, China for 72 hours. This has prompted a number of airlines to reroute or cancel flights. The accompanying chart details what we know now, but the situation is changeable.

Key Points:

• Taiwan air export capacity to China is tight and rates are going up since most airlines from China are canceled.
• China Airlines and Eva Air are now operating as normal, other than a slight re-routing. Since these are two of Dimerco’s top carriers in this lane, our capacity remains strong.
• The China military exercises have had little impact on ocean cargo since ships can easily maneuver around restricted zones.

Flight Status Ex Mainland China to TPE

Flight Status Ex TPE to Mainland China

Alternative Solutions

Dimerco is working with customers to switch cargo to other airlines/flights to avoid supply chain disruptions. For cancellations impacting TPE-bound cargo from China, we can look at shipping out of Hong Kong International Airport using our cross-border truck and sea freight options for first-mile service. To discuss options, talk to your Dimerco representative or contact us.