China's disappearing ships: The latest headache for the global supply chain
Updated 0056 GMT (0856 HKT)
November 25, 2021
Hong
Kong (CNN Business)Ships in Chinese waters are
disappearing from industry tracking systems, creating yet another headache for the global
supply chain. China's growing
isolation from the rest of the world — along with a deepening mistrust of
foreign influence — may be to blame.
Analysts
say they started noticing the drop-off in shipping traffic toward the end of
October, as China prepared to enact legislation governing data privacy.
Usually,
shipping data companies are able to track ships worldwide because they are
fitted with an Automatic Identification System, or AIS, transceiver.
This
system allows ships to send information — such as position, speed, course and
name — to stations that are based along coastlines using high-frequency radio.
If a ship is out of range of those stations, the information can be exchanged
via satellite.
But that's
not happening in the world's second-largest economy, a critical player in
global trade. In the past three weeks, the number of vessels sending signals
from the country has plunged by nearly 90%, according to data from the global
shipping data provider VesselsValue.
"We
are currently seeing an industry wide reduction in terrestrial AIS signals in
China," said Charlotte Cook, head trade analyst at VesselsValue.
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