Will The Freight Rate Skyrocket in The Ukraine-Russian War?

"Russia accounts for 25% of global oil and gas exports, while 40% of the EU's natural gas and 33% of its oil come from Russia. Although the international market has not imposed sanctions on Russia's energy trade for the time being, many European and American energy companies have begun to stop importing from Russia. energy.

First, actively stop buying Russian crude oil. The absence of major suppliers has caused tension in energy trade.

Second, freight rates are soaring because there are no ships intended to go to the Black Sea, and crude buyers are struggling to find carriers willing to ship to Russian ports.

If the regional situation deteriorates and Western countries impose sanctions on Russia, European refineries will turn to the Middle East to import crude oil, and Russia will also look for alternative customers. At that time, the transportation distance of crude oil will be extended, and the overall crude oil transportation price will increase significantly.

In addition, regional conflicts have led to concerns about the stability of the supply chain between importers and exporters, and the freight rates of related routes may increase significantly in the short term.

Therefore, merchants who import products from China should pay attention, and it is recommended that you stock up. We are a manufacturer of lighting fixtures, including panel lights, ceiling lights, etc.