Supply chain problems that relate to Greater Vancouver

Vancouver’s leader in trucking and warehousing looks at how the supply chain crisis is affecting Vancouver and how you can better prepare for a prosperous 2022.

We’re all off to a fresh start this January and everyone is geared up for a great 2022. Making informed decisions is key when it comes to reaching your business goals and there’s one phrase that we must stay on top of. It’s “Supply Chain.” But more importantly, we must understand how a supply chain crisis affects Vancouver? Let’s look into how this global phenomenon affects Vancouver, the province of BC, and Canada’s largest port.

Location, Location, Location

The Port of Vancouver is Canada’s largest port and plays a crucial role in connecting Canadian businesses and consumers and with the global market. Its intricate connection with ports in Tokyo, Busan, Yokohama, Shanghai, Shenzhen, Hong Kong, Ho Chi Minh City, Singapore, Guayaquil, Valparaiso, and Sydney allows for goods to flow from manufacturing heavy markets in Asia to Canada, if not North America. Hence, if there’s a blockage at our port in Vancouver, businesses and consumers will definitely feel the impact. 

Current Traffic Flow at the Port

Cargo ships awaiting berths into the Port of Vancouver also include many that are anchored on the other side of the Strait of Georgia and along the Vancouver Island coast. With 28 deep-sea anchorages, our port sure works hard to keep up. Especially when importers are increasingly opting to come through Vancouver instead of Seattle and Los Angeles. In addition to an increase in traffic, we’ve also seen an increase in the size of vessels, with some carrying as many as 10,000 TEU’s.

An insufficient industrial land base to support shipping and storage has become increasingly problematic for Vancouver and we’re at risk of becoming our Los Angeles counterpart, which is notorious for delays. According to ​​Vancouver Fraser Port Authority President and CEO Robin Silvester, ships that wish to dock at the L.A. port wait on average 12 days and then a dozen more to offload their cargo. Whereas B.C.’s holdup is sitting at four and four as of November 2021.

The Challenge of Empty Containers

The Port of Vancouver has been experiencing problems with storing empty returned containers. There was simply not enough land and without land close by, empty containers are either advised to remain with trucking companies or rushed back to Asia unfilled, further affecting Canada’s exporters. 

The problems that come along with the stagnation of the empty containers include delays and costs. On top of losing sales, businesses often find themselves having to dispute fees for unreturned shipping containers and trucking companies have their trailers tied up.

To increase container storage capacity, a 40-acre site within the Fraser Richmond Industrial Lands is being prepared to temporarily handle and hold empty containers. 

The Effects of Extreme Weather Conditions

We’ve seen our fair share of extreme weather conditions in BC, especially in the last few months of 2021. From floods to record-breaking cold, Vancouverites have been forced to find solutions fast.

November’s flood in the Fraser Valley and the interior BC wreaked havoc on an already strained supply chain. With severed rail and roads between Metro Vancouver and B.C.’s Interior, movement of supplies came to a trickle as both rail and trucks could not get through directly. 

Canada’s rail system plays an enormous role in our economy as Canadian National and Canadian Pacific carries about two-thirds of the cargo that’s transported by land to the Port of Vancouver and our port typically sees $700 million worth of cargo go through each day.

Our leaders are now faced with growing urgency to find adaptations when it comes to climate resiliency and supply chains. 

Challenges are often the perfect opportunity for growth. As a leader in trucking and warehousing in BC for over three decades, our priority is to stay on top of the changes that affect our economy and our clients and provide proactive services. 

We are ready to serve you with our full fleet of 250 trailers, extensive range of trucks, LTL/FTL services, sufferance warehouse, and authorized access to all major ports and rails in Metro Vancouver. Connect with us today at (604)-276-9044 or info@sandhartrucking.com.