Shipping Delays and Port Congestion: Canada’s Ongoing Supply Chain Challenge

Introduction

As global trade rebounds from the impact of the COVID-19 pandemic, shipping delays and port congestion continue to challenge logistics networks worldwide. Despite expectations of recovery in 2022, the backlog at major ports has persisted, affecting shippers, carriers, and consumers alike.

In Canada, changing consumer habits, high import volumes, and infrastructure limitations have combined to create a perfect storm of logistical challenges — especially at Vancouver and Prince Rupert ports.


The Surge in Imports and Container Backlogs

During the pandemic, Canadian consumers shifted their spending habits. With travel and dining restricted, people began buying more home goods, electronics, and apparel. This surge in demand for imported goods from Asia drastically increased container traffic into Canada’s ports.

As a result:

Reports indicate that yard density at Prince Rupert port reached over 110%, forcing carriers to wait more than a month for berthing space.


Impact on Trucking and Rail Transport

The ripple effect of port congestion has spread throughout Canada’s logistics industry. Trucking capacity has dropped sharply due to driver shortages and limited equipment availability.

At the same time:

This slowdown has significantly affected delivery timelines and increased costs for both businesses and consumers.


Moisture Damage and Cargo Risks

Extended container dwell times at ports have introduced new risks to stored cargo. Containers sitting idle for weeks face exposure to moisture and temperature fluctuations, which can lead to cargo damage.

Experts suggest that shippers adopt moisture protection measures and cargo insurance to safeguard products during long waiting periods. Preventive steps like desiccants and ventilated containers can reduce losses caused by condensation and prolonged storage.


Efforts to Alleviate Congestion

While analysts expect the shipping delays to continue through 2022, several initiatives are underway to ease the pressure.

Authorities are coordinating with shipping lines to reduce vessel queue times and slow down sea transits to manage port flow. However, these measures are only short-term relief.

Long-term solutions involve expanding port capacity and inland terminal operations. A key development is the Ashcroft Terminal, located 343 kilometers northeast of Vancouver, which provides inland transloading and container storage facilities.

This expansion aims to improve the Asia-Canada trade corridor and reduce congestion at coastal ports by diverting cargo further inland.


Conclusion

The ongoing port congestion in Canada highlights the vulnerabilities in global and domestic supply chains. With import volumes continuing to surge, and infrastructure struggling to keep pace, shipping delays are expected to remain a challenge.

However, investments in inland terminals, rail networks, and digital logistics management offer a path forward. By improving infrastructure and coordination across all modes of transport, Canada can build a more resilient logistics system capable of weathering future disruptions.

Until then, businesses and consumers alike will continue to feel the effects of shipping delays, rising costs, and longer delivery times.

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