The Port Of Merseyside May Trigger An Economic Crisis, Surpassing Lehman Brothers

The global supply chain is falling into a bottleneck, and it may take a long time before it is expected to improve. The two major US ports, the Port of Los Angeles and the Port of Long Beach, had a record 79 container ships waiting to be unloaded last Thursday. An American logistics company warned that if the local port congestion problem is not alleviated, an economic crisis that is more serious than the Lehman Brothers incident may erupt.

Foreign media reported that Flexport, an American freight forwarder and customs broker, visited the Port of Los Angeles and the Port of Long Beach. Its CEO Peterson pointed out that the two terminals are now full of containers. He also noticed that there are hundreds of cranes in the port, but only 7 It's working, and it's running very slowly.

Peterson suggested that the supply chain related businesses cooperate to add temporary container yards and allow containers to be stacked up to 6 stories high. He compared the bankruptcy of Lehman Brothers, which led the global economy into the Great Recession in 2008. He pointed out that the US government only needed to print a large amount of money to solve the problem. The current supply chain crisis needs more realistic solutions.

Hong Kong's exports rose more than 16% last month

In Hong Kong, the Census and Statistics Department announced that the total value of Hong Kong’s exports in September was 441.8 billion yuan, a year-on-year increase of 16.5%. A government spokesman said that exports to the Mainland, the United States, the European Union and other major Asian markets recorded double-digit growth; cumulatively for the first nine months, it was 13.2% higher than the high of the same period in 2018, while imports also recorded an increase. Hong Kong as a whole in September The value of imports of goods was 484.2 billion yuan, up 23.5% year-on-year. A visible trade deficit of 42.4 billion yuan was recorded, equivalent to 8.8% of the value of imports of goods; the value of imports in the first nine months increased by 26.5% year-on-year.

In addition, UPS's revenue for the third fiscal quarter ended at the end of September rose 23.39% year-on-year to US$2.97 billion; net profit rose 18.85% to US$2.71 per share. Benefiting from the increase in online consumer demand, the company can increase transportation prices and hedge transportation costs such as truck drivers.