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The rejection rate of cargo in the English Channel rose again to 168 percent last week. third trimester average. It peaked in 2020 at the end, when France closed its borders to UK carriers for 48 hours to control a new strain of coronavirus. During the festive period, the rate had dropped again.
December 31 The UK has left the European Union single market, which means that carriers must now fill out customs forms and carry out inspections when traveling between Britain and France.
Authorities are tightening up and companies are trying to evade contracts to negotiate better market rates, so prices rose again last week, said Stephan Sieber, a director at Transporeon, the company that monitors the data.
DB Schenker, a logistics company owned by German rail giant Deutsche Bahn AG, cut supply to the UK last week due to “major” issues with Brexit bureaucratic hurdles.
“The usual seasonality is remarkable, but its scale is greater than in previous years,” Sieber said. “Carriers work on low margins, so they raise prices as much as possible in an attempt to compensate for additional difficulties and uncertainties.”
French and UK interest rates on express shipments rose last week and continued to rise around 50%. exceeds the third quarter average. Freight groups have warned that higher shipping costs will be a long-term consequence of Brexit, as new administrative costs are added.
Many companies began avoiding the English Channel immediately after the UK pulled out of the single market and the EU customs union, concerned about the possible chaos of Brexit. It is true that as inventories decline, freight demand recovers and returns to normal levels. Last week, it was only 1 percent. lower than the third quarter average.
However, carriers are increasingly avoiding the UK, opting for direct routes from Ireland to Europe via the port of Rosslare in southeastern Ireland rather than the so-called land bridge from Dublin, government officials said Monday.
The number of cargo moving through Dublin Port since the beginning of the year compared to 2020 in January fell by around 50 percent.
“We expect volumes to increase, but we don’t yet know when or how much,” Irish tax official Tom Talbot told reporters in Dublin. According to him, drivers should get used to the increase in inspections: “This is the new normal.”
Ireland and the United Kingdom typically trade more than € 1 billion per week, as 20% of Ireland’s imports are supplied by its closest neighbor.
January 25 A direct route between Dublin and Amsterdam will be launched which, according to Irish Minister for European Affairs Thomas Byrne, “will allow our exporters and importers to bypass customs and other Brexit-induced controls and increase access to the markets of the EU in the north of the Netherlands, Germany and elsewhere. ” .
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