The Diplomatic Crisis Of Qatar Would Have An Effect On China?

According to the news, Saudi Arabia, the United Arab Emirates, Bahrain, Egypt, Yemen, Libya and Maldives seven countries have announced severance with Qatar in June 5^th. They declared that Qatar support terrorism.

 

This event will have an effect on trading of China to Middle Eastern countries?

1. First of all, the transportation will definitely be affected. In order to isolate the Qatar, the around state subsequently closed the sea and air lines leading to Qatar, according to the news. Meanwhile, the shipping companies stopped to release the shipping space to Qatar one and another. If the trading company insists to deliver the cargo at this tension moment, they must take all responsible for the cargo and the letter of guarantee must be signed before loading the cargo. On the other hand, the freight is rise in the high level.

 

2. The goods cannot be guaranteed have space when transport Hamad port, it might caused the cargo to changed of destination port or be returned.

 

3. Due to the force majeure factors, some shipping companies may change the existing route directly line to Hamad port, which will be depends on the adjustment of policy.  

 

4. The trailer needs instability will be happen, heavy box backlog, dismantling process of cargo will be slow down.

 

5. The international oil prices rises led to an increase costs of export zinc sulfate and ferrous sulfate.