Cheap Packaging on a Slow Boat from China
For decades, Chinese factories have produced everything from cardboard boxes to electronics, clothing to automotive components, all at cheap prices. It cost less to order from China and ship goods to the UK than to buy from domestic manufacturers.
In recent decades, improvements to working conditions and pay for Chinese employees have resulted in prices edging up. In addition, the cost of shipping a container to Europe has spiralled. In addition, more brands are considering the carbon emissions and environmental impact of sending goods around the world.
Where UK packaging manufacturers once struggled to compete with cheap imports, the tide has turned. Prices are on par and coupled with green credentials and shorter lead times, the demand for local packaging suppliers is strong.
Disruption to Packaging Imports
For those still buying from China, the risk of supply chain issues is looming. As Europe takes tentative steps towards living with Covid, China is committed to a Zero Covid strategy. This approach could save tens of thousands of lives, however, it is currently causing economic disruption, which is being felt across the globe.
Both Shanghai and Beijing face strict lockdowns, meaning factories and ports are not open for business. According to a BBC report* 1 in 5 Chinese container ships are currently stuck outside the ports. After just a few weeks of lockdown, this is already affecting international supply chains.
Covid cases in China are dropping, yet the impact could be felt for many months; some are predicting delays until the end of 2022.
UK Packaging Suppliers
If your business has been shipping packaging from China, now is a good time to rethink this strategy, or at least form a backup plan. Your local packaging supplier can produce retail packaging, gift boxes and shipping cartons without the risk of major supply chain issues. Why not get in touch to get a quote and lead times to fulfil your packaging needs?
