April 19, 2024


Delighting finance buffs

FedEx joins DHL, temporarily suspends Chinese import shipments to India

After DHL, now FedEx has said it is temporarily suspending importing shipments from China to India. “We will resume our normal operations as the circumstances allow,” FedEx said.

(Reuters photo for representation)

Amid simmering tensions between India and China, prominent freight transporter FedEx Corp has said it will temporarily suspend the shipping of goods from China.

FedEx Corp said the decision was taken as it was facing backlogs beyond its control, leading to congestion at facilities. “We will continue to monitor the situation and will resume our normal operations as the circumstances allow,” a FedEx spokeswoman was quoted as saying by Reuters.

FedEx’s decision to temporarily suspend Chinese import shipments to India came after German logistics company DHL on Wednesday took a similar step.

DHL temporarily suspended picking up import shipments from China to India, after border tensions between the countries led to clearance delays.

Customs officials at the key port of Chennai, which handles various cargo including automobiles, fertilisers and petroleum products, have held shipments originating from China for extra checks.

A DHL representative confirmed to Reuters that the recent delay in customs clearance of cargo into India caused the shipment company’s DHL Express India unit to temporarily suspend pick ups from mainland China, Hong Kong and Macau. DHL did not elaborate on the nature of consignments that were delayed.

Reuters reported last week that goods, including products from US companies Apple, Cisco and Dell were caught up in the border tensions, as Indian ports held up imports from China.

Pharmaceutical consignments are also stuck at Chennai and other ports and at an airport, and drug companies have been told their shipments will be released after rigorous scrutiny of each container, down to every drum, a senior industry executive told Reuters last month.

There have been growing calls for a boycott of Chinese products, after a border clash between India and China last month.

Also Read | DHL temporarily suspends import shipments from China, Hong Kong, Macao
Also Read | Boycotting China needs time. Here’s what India can do

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