Port Crisis Unpacked: Breaking Down Global Congestion

July 23, 2025

Explore the global port crisis, what’s causing severe congestion, and how it’s disrupting supply chains around the world.

The Supply Chain Is Still a Mess

Let’s stop pretending the worst is over. Global ports are still backed up, and it’s not just a post-pandemic hangover. According to Kuehne Nagel, over 2.4 million TEUs of cargo were stuck waiting outside ports in early 2024. That’s not normal. And it’s not just frustrating, it’s expensive. Every extra day at port can add thousands in detention fees.

One Delay Creates Ten More

This isn’t just about ports. It’s about ripple effects that break entire supply chains. When a vessel is delayed in Shanghai, factories in Ohio wait on parts. When Los Angeles slows down, trucks sit empty in Nevada. Drewry reports that global container schedule reliability hovered at just 64 percent in 2023. That means one in three shipments missed its estimated delivery window.

The Costs Keep Climbing

Ocean freight rates may have dropped since their 2021 peak, but don’t get comfortable. New congestion from climate events, labor strikes, and capacity shifts has kept costs volatile. According to Xeneta, average spot rates jumped 30 percent in just one month during the Red Sea crisis. Predictability is gone.

It’s Not Just a Port Problem

Chokepoints extend beyond the docks. Warehouses are full. Rail delays stack containers inland. Labor shortages cripple drayage. Every link in the chain feels pressure. Even with automation gains, resilience is lacking. One break causes widespread fallout.

The Bottom Line

Supply chains are global, but the problems are painfully local. Port congestion is not an isolated issue. It exposes every weak spot across logistics. Until infrastructure, labor, and planning improve together, these bottlenecks will keep coming back, louder, longer, and more expensive.