Resilience360 monitors and produces a weekly summary of supply chain impacts due to the ongoing COVID-19 pandemic. The update is provided free-of-charge to the industry.
Major COVID-19 developments over the past week:
- In Italy, authorities in the northern region of Alto Adige imposed a strict lockdown from February 8 to February 28 after the first case of a new COVID-19 strain was detected. The development comes as other regions in Italy were downgraded to less restrictive risk zones.
- Meanwhile, Israel has started to ease restrictions after nearly six weeks following its third nationwide lockdown. Some businesses began to reopen over the weekend, and residents are now allowed to move within one kilometer of their homes, but flights remain restricted.
- South Korea eased COVID-19 curfew restrictions on businesses outside of its capital city Seoul, which will now be allowed to stay open until 22:00 local time. An earlier curfew remains in place in the metropolitan area of Seoul.
- Authorities in Canada’s Ontario province extended a stay-at-home order for most of the province. The order will remain in effect in Toronto, Peel Region, and York Region until at least February 22, while most other regions will be under the order until February 16.
- Although still elevated, air cargo spot rates declined in January 2021 by up to 23 percent on some major trade routes ahead of the Chinese New Year holiday in mid-February compared to their end-of-the-year peak in December 2020.
- In the ocean freight market, spot rates continued to decline on the Asia-North Europe route in the first week of February, a trend that started in early January 2021, indicating easing demand. This is in stark contrast to the trans-Pacific route, where two general rate increases by carriers in the coming weeks underline strong demand amid tight capacity.