S. Korean shipping giant Hanjin’s bankruptcy is causing a crisis at ports in Los Angeles, Long Beach and around the world!
Increases in intermodal shipping cost tend to get passed on to the customer in the form of higher prices for products. The word that I am getting is that uncertainty in the shipping industry is will result in higher costs to ship products from China to the US.
Prices may increase on new wire containers and decking that comes into stock because the world’s largest shipping company, Hanjin Shipping, is filing for international bankruptcy. Hanjin handles approximately 7% of the worlds shipping market. They have shipping containers on the water now that ports are refusing to offload because they are concerned they may not get paid.
The good news for you is that none of our products ship with Hanjin but the bad news is that the bankruptcy is still having a ripple affect across the market. Other key players in the shipping business are raising their rates due to this volatility. Overseas shipping cost is increasing and the increase will likely get added to new products shipping from China.
Eventually we will have to review our costs and increase prices if these rates are to hold. In the short term products will cost more money due to increased shipping cost but hopefully things will level off soon and rates will get back to normal. All of this being said, I would suggest you BUY NOW from stock before prices increase on new material that arrives in coming weeks.