APR 19. Global logistic issues with the Chinese Lockdown…

Chun09
5 min readApr 20, 2022
Shanghai Tesla Plant back to work…but still city lockdown continues.

Today, IMF announced their updated global growth rate as 3.6% in the year 2022 and 2023. Last January numbers were 4.4% for 2022 and 3.8% for 2023. Same reasons as the World Bank yesterday. Russia’s invasion of Ukraine and the slowdown of the Chinese economy.

IMF data for 2022 and 2023

Chinses government mentioned some easy lockdowns but practically, no one sees any big differences.

Tesla’s plant in Shanghai is back to work today but the workers couldn’t go back to their homes. They have to sleep on the floor, otherwise, the workers have to be isolated for a week after the test. Why are they doing this?

Because of China’s uncertainties, Hong Kong’s Hang Seng Index fell 2.1% last night and CSI 300 Index fell 0.5% last night.

The Chinese government is still busy preparing all possible economic stimulus terms. Please, someone, tell them that dropping their ZERO-COVID-Strategy is the strongest economic stimulus way they have at the moment.

Rich people are still moving out of the big cities or even trying to find some way out of the country. It’s not a good sign at all. People are trying to hoard food and other materials whatever they can from the market every day. It’s not a good sign either. It’s possible to believe that kinds of things are actually happening in a city like Shanghai.

Real problems are in the world of logistics. Because of Chinese lockdowns, 25% of the world’s commercial vessels are waiting around the Chinese main ports. Shanghai is one of the main ports.

Dry bulk, Containers, and Tankers are all waiting near the Chinese ports.

Crude oil prices were collapsing huge today.

Libya’s situation has been settled now and the crude oil market is worrying more about the Chinese lockdown today.

Brent oil futures fell more than 5%, ending at $107.47 per barrel today.

There is no new contract or renewal of the contracts after this coming May for the Russian-origin

Chun09

Trying every day, engraving what we’ve been through