Global Port Congestion Q2 Review: Chronic in Europe, Mixed in Asia, Stable in North America

Today, we’ll be diving into the topic of “Global Port Congestion: Q2 Review.”

Port conditions vary significantly by region.

Overall Trends

To summarize: Europe is seeing chronic congestion, Asia varies by port, and North America is managing increased demand.

According to S&P Global, European ports are experiencing increased turnaround times and notable drops in efficiency.

North America, on the other hand, has maintained average call sizes while reducing processing time upon arrival.

In Asia, ports like Singapore and Port Klang improved, while Laem Chabang and Cai Mep deteriorated—a clear divergence in performance.

Europe: Why Congestion Persists

This is the most critical issue.

Europe’s delays stem from multiple intertwined causes, not just slow operations.


Red Sea Diversion: Vessels are rerouting around the Cape of Good Hope, disrupting schedules.

This leads to simultaneous vessel arrivals and terminal congestion.

Labor Constraints: Strikes and contract renewals are causing temporary labor shortages.

Inland Bottlenecks: Rail work and low river levels prevent cargo from leaving ports, leading to yard congestion and limiting new ship acceptance.

Infrastructure Limits: Megaships are becoming standard, increasing cargo volumes per call.

Port quay length and crane numbers are reaching physical limitations.

Asian Port Conditions

Asia presents a mixed picture.

Singapore, Tanjung Pelepas, Manila, and Port Klang have seen operational improvements.

In contrast, Laem Chabang, Cai Mep, and Chattogram have experienced worsening congestion.

This disparity results from transshipment ratios and port infrastructure investments.

North American Port Conditions

North America remains relatively stable.

At the Port of Long Beach, fewer containers per call are offset by more vessel calls overall.

Additionally, a $365 million upgrade is underway through 2029.

Once complete, the port will accommodate two 18,000 TEU ships simultaneously, thanks to ongoing hard infrastructure investments.

Summary

Q2 port congestion trends by region:

・Europe faces chronic delays due to Red Sea detours and inland issues
・Asia shows varied results by port
・North America remains steady with continued investment