SAVANNAH, Ga. — Like toy blocks hurled from the heavens, nearly 80,000 shipping containers are stacked in various configurations at the Port of Savannah — 50 percent more than usual.

The steel boxes are waiting for ships to carry them to their final destination, or for trucks to haul them to warehouses that are themselves stuffed to the rafters. Some 700 containers have been left at the port, on the banks of the Savannah River, by their owners for a month or more.

“They’re not coming to get their freight,” complained Griff Lynch, the executive director of the Georgia Ports Authority. “We’ve never had the yard as full as this.”

As he speaks, another vessel glides silently toward an open berth — the 1,207-foot-long Yang Ming Witness, its decks jammed with containers full of clothing, shoes, electronics and other stuff made in factories in Asia. Towering cranes soon pluck the thousands of boxes off the ship — more cargo that must be stashed somewhere.

“Certainly,” Mr. Lynch said, “the stress level has never been higher.”

It has come to this in the Great Supply Chain Disruption: They are running out of places to put things at one of the largest ports in the United States. As major ports contend with a staggering pileup of cargo, what once seemed like a temporary phenomenon — a traffic jam that would eventually dissipate — is increasingly viewed as a new reality that could require a substantial refashioning of the world’s shipping infrastructure.

As the Savannah port works through the backlog, Mr. Lynch has reluctantly forced ships to wait at sea for more than nine days. On a recent afternoon, more than 20 ships were stuck in the queue, anchored up to 17 miles off the coast in the Atlantic.

Such lines have become common around the globe, from the more than 50 ships marooned last week in the Pacific near Los Angeles to smaller numbers bobbing off terminals in the New York area, to hundreds waylaid off ports in China.

The turmoil in the shipping industry and the broader crisis in supply chains is showing no signs of relenting. It stands as a gnawing source of worry throughout the global economy, challenging once-hopeful assumptions of a vigorous return to growth as vaccines limit the spread of the pandemic.

The disruption helps explain why Germany’s industrial fortunesare sagging, why inflation has become a cause for concern among central bankers, and why American manufacturers are now waiting a record 92 days on average to assemble the parts and raw materials they need to make their goods, according to the Institute of Supply Management.

On the surface, the upheaval appears to be a series of intertwined product shortages. Because shipping containers are in short supply in China, factories that depend on Chinese-made parts and chemicals in the rest of the world have had to limit production.

But the situation at the port of Savannah attests to a more complicated and insidious series of overlapping problems. It is not merely that goods are scarce. It is that products are stuck in the wrong places, and separated from where they are supposed to be by stubborn and constantly shifting barriers.

The shortage of finished goods at retailers represents the flip side of the containers stacked on ships marooned at sea and massed on the riverbanks. The pileup in warehouses is itself a reflection of shortages of truck drivers needed to carry goods to their next destinations...

Read more:

https://www.nytimes.com/2021/10/10/business/supply-chain-crisis-savannah-port.html

LONDON — Responding to an escalating crisis, Prime Minister Boris Johnson of Britain reversed course this weekend and offered thousands of visas to foreign truckers to combat a driver shortage that has left some supermarket shelves empty and caused long lines at gas stations.

The decision, announced late Saturday, reflects the growing alarm within the government over a disruption to supplies that has prompted panic buying and, in some places, caused fuel to run out and gas stations to close.

So great is the concern that there has been speculation that the military could be called up to drive trucks. That has not yet happened, but Defense Ministry staff members will be asked to help speed up the process for truck licensing applications.

Late Sunday night, in a move underscoring the growing anxiety over the fuel shortage, the business secretary, Kwasi Kwarteng, said he was temporarily exempting fuel companies from the law regulating competition, so that they could share information and optimize supply at stations that need it most.

Since January, after Britain completed the final stage of Brexit, employers have been unable to freely recruit European workers, as was previously the case. The coronavirus pandemic has also exacerbated the crisis that stems from a long-term shortage of British truck drivers.

The British Department for Transport said in a statement that 5,000 fuel tanker and food truck drivers would be allowed to work in the country for three months in the prelude to Christmas to provide short-term relief for the commercial hauling industry. The department also noted that letters would be sent to truck drivers in Britain who hold licenses but are not currently working, appealing to them to return. The statement added that visas for 5,500 poultry workers would be made available for the same short period to reduce pressures on the food industry.

Until this weekend, many lawmakers who had backed the withdrawal from the European Union had argued that one of the positive consequences of Brexit was the pressure that it would place on employers to train more British truck drivers and improve the wages for an arduous job.

On Sunday, Grant Shapps, the transportation secretary, defended the move to bring in foreign workers. He told the BBC that while he did not want to “undercut” British workers, he could not stand by while lines formed outside gas stations. Mr. Shapps also said that Britain had adequate fuel supplies, and he appealed to motorists not to buy more than they normally would.

Read more:

https://www.nytimes.com/2021/09/26/world/europe/trucker-shortage-britain-visas.html

assangez

This from February 2021, by Thierry Meyssan...

The Biden administration will not adopt a definitive strategy against its Chinese rival until June. An ad hoc committee of the Pentagon will then have to present proposals to the White House.

Under the authority of President Xi Jinping, China has begun its deployment outside its borders. It has already placed 3,000 soldiers in the UN forces and opened a base in Djibouti. Logically, it should, as it did at the time of the historic Silk Road, set up military posts along the roads it is building to secure its international trade. Last but not least, it is relocating to the islets it abandoned in the 19th century in the China Sea.

China first intends to reclaim its living space, which it has been robbed by Western colonists. It is sure of its right and considers that it has every right to take its revenge.

However, in accordance with the strategy outlined in 1999 by General Qiao Liang and Colonel Wang Xiangsui [1], China intends to avoid any direct military confrontation with the United States. It prefers to bypass its adversary and has engaged in undeclared wars on the commercial, economic, financial, psychological, media and other levels.

Chinese irredentism implies excluding the Westerners who have occupied the Far East for a century and a half. It must be distinguished from the Chinese development strategy which has succeeded in a few years in lifting hundreds of millions of its citizens out of poverty.

New China’s economic strategy began in 1978 under the leadership of Deng Xiaoping, but it only really bore fruit in 1994. By that time the Soviet Union had disappeared; the US army had been largely demobilised; President Bush Sr. had declared that the time to make money had come and his successor, President Clinton, had been asked by big companies to open up the Chinese labour market. Indeed, a Chinese worker, albeit untrained, cost about 20 times less than a US worker.

President Clinton would therefore decouple human rights negotiations (in the Anglo-Saxon sense) from trade issues. Then he would bring China into the World Trade Organisation (WTO). Within a few years, the big corporations would transfer their production plants to the Chinese coast for the benefit of consumers and to the detriment of US workers.

Two decades later, the US is consuming Chinese products massively, while its big corporations, which have become transnational, have seen their profits grow exponentially. But at the same time, US consumer goods factories have been relocated or closed while unemployment has spread. The distribution of wealth has been altered so that now there is hardly any middle class left, but mostly poor people and a few ultra-billionaires.

This phenomenon began to affect Europe when US voters chose Donald Trump as their president. He first tried to resolve the balance of payments issue with China (border adjustment tax), but was prevented from doing so by the Democrats and part of the Republicans. Unable to push through a relative border closure, it embarked on a tariff war in which Congress had no say.

In 2021, President Biden officially succeeded him. He was supported by the transnational corporations that derived their immense fortune from economic globalisation. Immediately, he declared his desire to normalise US-China relations. He called President Xi Jinping to talk to him about the situation of the Uyghurs [and] in Hong Kong, but he immediately admitted that Tibet and Taiwan were Chinese, which his predecessor had partially disputed. Above all, at a press conference, he said that each country had its "own standards" and that the political positions of China and the United States each had their own logic. Thus he was able to say, once in the White House, that he "understood" China’s repression of Uighur terrorism, whereas a few weeks earlier he had accused China of "genocide" of the Uighur people under the guise of repression of terrorism.

Over the next four years, the Biden administration should therefore continue the work of Presidents Clinton, Bush Jr. and Obama, to the benefit of the multi-billionaires and to the detriment of its people. It will rely on a ruling class deriving personal benefits from this system.

In order to understand this arrangement, we summarise the eight main personalities supporting the US-China trade alliance. First on the political level: one of the main Democratic icons and the head of the Republicans in the Senate; then on the economic level, the two most important distributors of consumer goods; finally on the governmental level, the decision-makers of the Biden administration.

Read more:

https://www.voltairenet.org/article212286.html

Read from top. China has known the game being played by the West, for a long time...

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BY John Ransom — a political and financial writer and editor whose work has appeared at Townhall.com, Newsmax, the Daily Caller and IBT. He splits his time between the US and Asia.

Bankruptcy proceedings have been issued in Germany against Evergrande, a Chinese real estate company which is now $300 billion in debt. Should it go under, there are potential repercussions for all the key global markets.

What is Evergrande? 

Evergrande, which builds and manages apartments, is the second largest residential real estate company in China.

With 1,300 residential projects, some of which have come to a dead stop because of cash concerns, Evergrande poses the most serious single, controllable risk to the recovery of China’s economic health, in part because it has debt of $300 billion – the largest amount of any private company in the world – that it can’t repay.

Nearly two years of pandemic-related slowdowns in China have combined with organic and government-imposed obstacles to growth to create an unprecedented recession in the real estate market there, hurting companies like Evergrande.

What are the obstacles to growth? 

China’s economy relies too much on real estate.

“Taking into account construction and other property-related goods and services, annual housing activity accounts for about 29% of China’s GDP,” said the UK’s Guardian, “far above the 10%-20% typical of most developed nations.”

As we saw from the 2008 mortgage meltdown in the US, overreliance on real estate can really devastate an economy when it can’t hold its value, as is the case today in China.

“About a fifth of China’s housing units now lie vacant,” added the Guardian, “often because they are too expensive for the population, 40% of whom earn barely 1,000 yuan (£115) a month. For second and third homes, the vacancy rates are higher still.”

China’s Communist Party Secretary Xi Jinping has taken steps to bring down housing prices under the slogan “Housing is for living, not for speculation” after a 40-year boom in real estate.

Xi says he’s concerned that housing prices are too far out of the reach of ordinary workers.

This means that some companies that are overleveraged with debt, like Evergrande, will probably have to go under to meet the new government goal to make houses affordable.

So far, Xi seems content to let the real estate market in China crash, perhaps in the belief the Communist Party can control its descent.

Why is Evergrande in the news now?

Evergrande narrowly missed default on some foreign-owned debt this week as it teeters on the edge of insolvency from the domestic real estate slump, according to the New York Times.

It has been joined by other companies, but Evergrande is the largest real estate developer in trouble by far.

“At least six Chinese property developers have defaulted on foreign bonds in recent weeks,” said the Times, “rattling domestic financial markets and raising the cost of borrowing for all Chinese companies. Property prices are slowing and fewer people are buying apartments, worsening the outlook for real estate.”

Because of the sheer volume of debt involved in Evergrande, observers are worried about how a default would affect other countries.

German creditor DMSA is preparing bankruptcy proceedings.

How will an Evergrande default affect world markets?

While an Evergrande default would be bad, the risk thus far that a bankruptcy would directly affect world financial markets in developed countries seems slim.

It would depend on local conditions, on how much business China does with each country and how much each country depends on Chinese debt to finance its activities.

For example, in the US, the risk of a systemic infection of the financial system like in the real estate meltdown of 2008 would be low, says the Federal Reserve. But a general downturn in China and the resulting loss of confidence and orders would spill over to the US, resulting in less business with China. That would negatively impact US GDP growth but probably by only a little.

“Stresses could, in turn, propagate to the Chinese financial system through spillovers to financial firms, a sudden correction of real estate prices, or a reduction in investor risk appetite,” said a recent report by the Federal Reserve about US financial stability. “Given the size of China’s economy and financial system as well as its extensive trade linkages with the rest of the world, financial stresses in China could strain global financial markets through a deterioration of risk sentiment, pose risks to global economic growth, and affect the United States.”

Some are concerned that China would stop buying US Treasuries, but Chinese holdings in US government debt are a manageable $1.1 trillion versus total US debt of $28 trillion.

Countries that are part of China’s massive Belt and Road initiative, however, which rely on the Communist government to finance massive infrastructure projects, could really suffer as China faces a mounting cash crunch.

China has often used Belt and Road as political leverage, but will have a tougher time pulling those levers as cash becomes scarce and fewer projects are completed.

But won’t the Chinese government just bail out Evergrande?

The correct answer is “maybe.” So far, the Communist government has been content to do nothing to bolster Evergrande. Instead, they are watching property prices fall domestically because lower prices meet the official government line of “Housing is for living, not for speculation.”

The government seems willing to allow, even nudge, banks and other property developers to buy out assets of Evergrande as a kind of reverse bailout by private companies, but it seems reluctant to get involved itself.

In China, it’s important to pay attention to the whole story, including the underlying message the government is trying to relay by its actions or inactions.

There has been a reprioritization, a Red Reset, going on in China from a market based-socialism – from growth at any cost – to a more traditional socialist, command-and-control economy.

Increasingly, the Communist Party is calling the shots on the economy, if often only from the shadows.

Under Xi Jinping, China has stepped up an anti-corporate campaign that has sought to bring some of the largest and most successful companies like Didi, Alibaba, Ant Group and Tencent firmly back under government control over the past two years.

It seems unlikely under these circumstances that it would bail out such a troubled company as Evergrande.

So far they like the optics of homebuyers protesting against domestic capitalists and speculators, while Xi – and the Party – rail against high home prices.

Read more:

https://www.rt.com/op-ed/539985-evergrande-crisis-germany-china-debt/

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Note: Should Evergrande "collapse", it will hurt Western investors FAR MORE than the Chinese... Pay attention when I write something... READ FROM TOP. And see also: 

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Robert McCredie May, Baron May of Oxford, OM, AC, FRS, FAA, FTSE, FRSN, HonFAIB (8 January 1936 – 28 April 2020) was an Australian scientist who was Chief Scientific Adviser to the UK Government, President of the Royal Society,[8] and a professor at the University of Sydney and Princeton University. He held joint professorships at the University of Oxford and Imperial College London. He was also a crossbench member of the House of Lords from 2001 until his retirement in 2017.

May was a Fellow of Merton College, Oxford, and an appointed member of the council of the British Science Association. He was also a member of the advisory council for the Campaign for Science and Engineering.[9]

Read more:

https://en.wikipedia.org/wiki/Robert_May,_Baron_May_of_Oxford

Why I mention Bob (sorry, SIR Bob) is that he was employed at some stage by the Bank of England to discover "what happened to the financial markets in 2008" (read from top). This does not seem to be mentioned in his Wikipedia biography...

FREE JULIAN ASSANGE NOW....

 See also: 

...

It was not clear if non-allied nations would pick the US side in the confrontation, he said. “I asked the president of an African country why he gets 5G technology from China and not from the West. He told me, we are a small country, so someone will spy on us anyway. Then, I might as well take the Chinese technology, it’s cheaper,” the economist revealed to Der Spiegel. 

The professor is concerned that the political systems in the US and Europe may not be able to deal with the problems, leading to a rise of right-wing governments.

Nouriel Roubini came to prominence for predicting the financial crisis of 2008-09 and was dubbed ‘Doctor Doom’ by Wall Street.

READ MORE:

https://www.rt.com/news/565734-doctor-doom-world-war/

NOW IF YOU READ FROM TOP, YOU WOULD DISCOVER THE TRUE ORIGIN OF THE 2008-09 CRASH.... WHICH IS STILL HAUNTING THE "MARKET".... HOPEFULLY, YE GOOD PROFESSOR IS WRONG ON HIS PREDICTION THAT WE'RE ALREADY HAVING WW3...

THE RISE OF RIGHT-WING MOVEMENTS??? THE WEST HAS BEEN RIGHT-WING SINCE 59BC (Julius Caesar — Former Roman dictator, we are told). DEMOCRATICALLY, THE RIGHTWING-MOVEMENTS HAVE BEEN THE BREAD AND BUTTER OF THE US EMPIRE SINCE ITS INCEPTION IN 1776. IT'S MOST LIKELY THAT THE PRESENT STUPID DECEIT OF THE US GOVERNMENT ENGENDERS A LEFT-WING REVOLUTION, WITH SHARING, PEACE AND COMMUNITY SPIRIT TO THE FORE... 

I AM NOT HOLDING MY BREATH.

CONFUSION, ANARCHY AND VIOLENCE (LOCAL AND INTERNATIONAL) ARE MORE ON THE CARD WITH A SENILE GUY LEADING THE US PACK OF MONSTERS.

WE CAN DO BETTER, BUT WILL WE?

THE UKRAINE HAS TO GIVE UP FORMER RUSSIAN TERRITORIES TO ACHIEVE PEACE. END OF THIS STORY. 

THE US EMPIRE HAS TO SIGN A DEAL WITH RUSSIA RESPECTING ITS SOVEREIGNTY. END OF THIS STORY.

NATO HAS TO BE DISCARDED LIKE A SMELLY PAIR OF UNDERPANTS. END OF THIS STORY. 

TAIWAN HAS TO BECOME AN AUTONOMOUS CHINESE TERRITORY. END OF THIS STORY.

FOSSIL FUEL INDUSTRIES NEED TO PACK UP AND RETOOL URGENTLY. END OF THIS STORY.

ECONOMISTS AND POLITICIANS HAVE TO BE REPLACED BY HUMANS. END OF THIS STORY.

AND ALL LIVED HAPPYLY EVERAFTER.....

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From the minute after the US Central Command (CENTCOM) and the UK Maritime Trade Organisation (UKMT) learned that the oil tanker MV Chem Pluto had been hit by an exploding drone in the Indian Ocean 1,600 kilometres east of the Red Sea and Yemen coast (lead image, left), they also knew why. Through a joint venture between a Japanese and a Singapore holding company operating through a Dutch management cutout, the vessel is owned by Idan Ofer, an Israeli shipping magnate (lead image, right).

The Chem Pluto strike is the second by a drone against one of Ofer’s vessels in the Indian Ocean. The first strike was on November 24, when the container carrier CMA CGM Symi was targeted in the northeastern sector of the Indian Ocean. The Symi is owned by Ofer’s Eastern Pacific Shipping in Singapore.

On December 18, drone strikes were reported by CENTCOM against the Swan Atlantic oil tanker and the bulker MV Clara. The first vessel is owned by a Norwegian company but management, with hidden equity, belongs to the Israeli Zodiac group, owned by Idan Ofer’s brother, Eyal Ofer. The second vessel, the Clara, is owned and managed by a German company, Johann MK Blumenthal; no Israeli trace has been found to date, but the Houthis have yet to make a mistake in spotting and hitting Israeli ships.

On November 19 they did more than that. On that day an Israeli-owned car carrier, Galaxy Leader, was captured by Houthi commandos in the Red Sea. Follow their operation as they filmed it; here is the vessel now receiving tourists at anchor off Al-Salif port, Yemen. Ownership by the Israeli Abraham Ungar was concealed behind by a Japanese ship management entity and a company registered under the Isle of Man-headquartered Ray Car Carriers, which in turn is owned by a Tel Aviv company called Ray Shipping.

Houthi political and military spokesmen have repeatedly made clear they are attacking Israeli shipping, as well as vessels of any nationality trading in and out of Israel’s ports. “Israeli ships are legitimate targets for us anywhere… and we will not hesitate to take action,” Major General Ali Al-Moshki, a Houthi military official, said on the group’s television station on November 20, following the capture of the Galaxy Leader. 

“If Gaza does not receive the food and medicine it needs, all ships in the Red Sea bound for Israeli ports, regardless of their nationality, will become a target for our armed forces,” a Houthi press statement declared on December 9.

CENTCOM and Pentagon releases to the press have also claimed to have intercepted Houthi drone and missile attacks on US warships in the Red Sea attempting to protect the Israeli-owned or Israel-bound shipping.

Less successful in hitting Israel’s Red Sea port of Eilat, the Houthi campaign has been effective in cutting off the port by striking at vessels in the Red Sea, and then extending the range of strikes to the eastern Indian Ocean. Eilat accounts for 45% of car imports to Israel and 5% of all the goods imported to Israel by sea. The Houthi campaign has cut Eilat’s port revenue by 80% since October 7.

The impact has expanded to all shipping in the Red Sea, Gulf of Aden, and Indian Ocean if their management and ownership are based in the US and the European states allied with Israel in the Gaza war, and also with the US in the war against Russia in the Ukraine.

It is this coalition of states which US Secretary of Defense General Lloyd Austin attempted to rally for naval convoy and counter-threat operations on December 18, calling the plan  OPERATION PROSPERITY GUARDIAN. 

This operation is now coming apart in recriminations because commercial vessel owners in France, Spain, and Italy have accepted that if they negotiate Israel-boycott deals directly with the Houthis, they can continue to operate through the Red Sea. They resent the commercial competition from Russia and China which are operating oil tankers and dry-cargo carriers without hindrance or threat.

The obviousness of the targeting by the Houthis, and of Houthi deal-making by the Russians and Chinese, are being concealed, however, in the US and UK maritime industry media and the mainstream press. They are advocating maximum use of force by the Israel and US-led operation in the region to attack both Houthi and Iranian targets.

In the most recent strike, the Israeli oil tanker Chem Pluto was hit on Saturday, December 23, by a drone about 1,600 kilometres east of the Yemen coast; about 200 kilometres west of the Indian coast. Initial media reporting claimed the vessel was “affiliated” to Israel but emphasized that it was owned by a Japanese entity and managed by a Dutch one. The Indian media claimed the drone strike had come from the Iranian intelligence vessel MV Safiz reportedly 87 kilometres away from the Chem Pluto.

Late on Saturday evening, the Russian military blogger Boris Rozhin reported: “The Chem Pluto tanker hit by the drone belonged to Israeli oligarch Idan Ofer and was flying the flag of Liberia. The drone arrived 200 miles from the Indian port of Verawal. There was a fire on board, but the crew managed to put it out. This strike shows that attacks on Israeli vessels can be carried out not only in the Red Sea or the Bab el-Mandeb Strait, but also in the Indian Ocean. At the same time, the flags that the Houthis go after are ignored – ownership structure is the priority. If the owner is associated with Israel, the ship immediately becomes a potential target.” This Russian publication was datelined December 23 at 22:37 Moscow time.

TradeWinds, an Oslo-based maritime publication which used to be pro-Russian so long as it was receiving advertising and sponsorship money from Sovcomflot, the Russian state shipping company, picked up on the story a day later. According to TradeWinds, “the Chem Pluto is operated by Amsterdam-based Ace Quantum, according to data from Equasis. The company is a joint venture of Ace Tankers and Eastern Pacific Shipping, which is owned by Israeli billionaire Idan Ofer. The ship is listed as owned by Sansho Kaiun of Japan, with technical management by Fleet Management.” This disclosure was published on December 24 at 1804 Greenwich Mean Time (GMT).

Equasis, the data source for tracing the Chem Pluto to Ofer, is the creation of the European Commission and the French Maritime Administration, which set up the website and database in 2000 to “promote the exchange of unbiased information and transparency in maritime transport and thus allow persons involved in maritime transport to be better informed about the performance of ships and maritime organisations with which they are dealing.” With the exception of Brazil, Equasis is a US-allied operation.

https://www.unz.com/article/russian-identification-of-houthi-tanker-target-in-indian-ocean/

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NOTE: THIS ITEM IS IN THIS LINE OF HISTORICAL POSSIBILITIES BECAUSE "everyone is hiding something"...

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Yemen’s Houthis said on Tuesday that they fired missiles at a cargo ship in the waters of the Red Sea, after it ignored repeated warning messages. The Houthis have been shooting at “Israeli-linked” vessels for weeks.

MSC Mediterranean Shipping Company confirmed that one of their vessels came under fire and identified it as MSC United VIII, en route to Karachi, Pakistan from King Abdullah Port in Saudi Arabia. According to MSC, the incident happened at approximately 3:25 am local time.

“The vessel informed a nearby coalition task force warship of the attack and as instructed engaged in evasive maneuvers,” the company said in a statement. “Currently, all crew are safe with no reported injuries and a thorough assessment of the vessel is being conducted.”

Houthi spokesman Yahya Saree said that the Yemeni Armed Forces “carried out a targeting operation” against the commercial vessel after its crew did not respond to “repeated fiery warning messages.”

The Shia group that controls the Yemeni capital announced in late October that it would fire missiles at Israel and target ships in any way connected to the Jewish state to support the Palestinians of Gaza.

https://www.rt.com/news/589728-houthis-red-sea-ship-attack/

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