FedEx, DHL suspend Chinese imports to India amid the rising border tensions

ST Staff
Wednesday, 1 July 2020

On Wednesday, the German logistics company DHL announced that it has suspended its Chinese imports to India, temporarily. There are clearance delays due to disputes between both countries.

Amid the border tensions between India and China, several logistics companies are facing the wrath of it. Consignments are getting delayed at the ports, courier companies are forced to suspend their services due to lack of customs clearance.

On Wednesday, the German logistics company DHL announced that it has suspended its Chinese imports to India, temporarily. There are clearance delays due to disputes between both countries.

DHL Express India Unit had to suspend pickups from Hong Kong, Macau and mainland China, the reason being the delay in customs clearance of cargo into India.

American multinational courier services FedEx Corporation has also suspended its shipments, as the company was facing several backlogs.

According to Reuters report, US-based companies like Apple, Dell and Cisco products are stuck between the border tensions, as India has held up goods imports from China.

Bloomberg reported on Tuesday, that among other products even pharmaceutical goods are awaiting Government's approval at the ports and added, that the pharma companies are not sure why their consignments are not receiving any clearance. India is heavily dependent on the Chinese pharma market for Active Pharmaceutical Ingredients (API).

FedEx Corporation, Amazon India and United Parcel Service did not comment on the shipment delays.

Last month, the border dispute between India and China resulted in a fatal war, where 20 Indian army personnel were martyred. Soon after the fight in Galwan Valley, India called for boycotting Chinese Goods and promoting 'vocal for local'.

The anti-China sentiment has also led to the banning of 59 Chinese apps in India, including TikTok and SHAREit.

Key sectors like pharmaceuticals, consumer durables, automobile sector, telecommunication industry, and logistics services are severely affected due to the border row.

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