DACHSER at transport logistic 2019

Statement by Dachser CEO Burkhard Eling on the military conflict in Ukraine

Peace and the free movement of goods are fundamental prerequisites for the positive, free development of all societies. In this spirit, Dachser has grown as an international logistics provider over the past decades. We therefore deeply regret the escalation of the military conflict in Ukraine. Among other things, the conflict will also have a substantial impact on supply chains in Eastern Europe. 

Our first priority is the safety of all drivers transporting consignments on behalf of Dachser. We have therefore today imposed an immediate takeover and loading stop for all shipments to Ukraine. This applies to all European transports of our Cargoplus service segment, which specializes in FTL and LTL transports to the CIS countries, among others, as well as to all transports from the European Logistics network that are handled in Ukraine by our partner ACE. Regular traffic from our platform Strykow (Poland) to Kiev will be discontinued. All trucks that are currently still on their way to Ukraine have to be returned in coordination with the customers. We are in close contact with our Ukrainian partner, who has also closed his warehouses.

In air freight, the airspace over Ukraine has been closed in a wide radius. Take-offs and landings are not possible here, so that congestion at the alternative airports is to be feared. 

Our European Logistics and Air & Sea Logistics teams are closely monitoring developments in the situation and are in close contact with our customers. This also applies in particular to restrictions on the movement of goods that may arise in the coming days as a result of the sanctions announced against Russia. 

• Background - Dachser's activities in Ukraine and Russia. 

Dachser does not have its own locations in Ukraine, but works there with its partner ACE Logistics. The Estonian company is also Dachser's partner for the Baltic states and joint venture partner in Finland. The Cargoplus service segment handles additional full truckload services.

In Russia, Dachser has been represented by its own national company since 2008 and provides services in the Road Logistics and Air & Sea Logistics business segments. Around 160 staff are employed at seven locations. In 2020, Dachser Russia handled around 17,000 consignments and generated revenue of EUR 21.6 million.

From Poland to Haifa – Steel colossus for the Mediterranean

The new container bridges for the Port of Haifa made their way from Poland through Hamburg and on to the Mediterranean Sea. DACHSER Air & Sea Logistics took on the job of transporting these disassembled ship-to-shore container bridges, consolidating various parts from suppliers all over Europe—a project of epic proportions.

Chinese New Year: Impact on logistics

In 2021, Chinese New Year falls on February 12, it is the biggest festival in China where people celebrate the beginning of a new year with their families. The week-long national public holiday has consequences on global supply chains.

The following information provides an overview of some key facts of the festival and its possible impacts on logistics.

Dates and key facts

• February 12, 2021 marks the start of the Chinese New Year (the year of Ox).
• Chinese national holiday begins on February 11 and ends on February 17, meaning that most of the businesses, including DACHSER branches in China, will be closed and resumes on February 18.
• Factories and manufacturing sites used to be closed for a longer period of time. Production might pause already one week before Chinese New Year, some factories will only resume one month after.
• The long holiday allows workers in the city to travel back to their hometown for a family reunion, though it might not be the case this year due to the pandemic.

Impact on supply chain

• Extensive holidays in China can lead to delays to your shipments for up to one month.
• Due to the abovementioned closing period of manufacturing industries, there will be no productions from China for at least a week. Even though factories will be restarting gradually, operations will not resume to full swing immediately.
• Productions from other countries in Asia will also be impacted as some parts might come from China or the assembling processes are done there.
• Most shippers will stock up inventories that are sufficient to cover the Chinese New Year period, this leads to a pre-holiday cargo rush; it will also take some time after the festival to normalize the market conditions.

Get prepared

To avoid unnecessary price hikes and delays, it is strongly recommended to place bookings well in advance. At DACHSER, our logistics experts can help you to plan together. Feel free to discuss with us about your needs and we can work out the best to maintain your supply chain uninterrupted throughout the Chinese New Year.