Summary:
- During the week of October 28th, major storms swept through Eastern Spain, with annual rainfall levels being accumulated in mere hours.
- These storms have caused major floods and disruptions throughout Spain, including in the ports of Valencia, Barcelona, and Algeciras, which have all faced operational interruptions and schedule changes.
- Container dwell remains volatile as ports resume operations, potentially impacting peak season inventory for the upcoming holiday season.
Overview
The week of October 28th, the DANA (Depresión Aislada en Niveles Altos) storm system swept across eastern Spain, bringing extreme rainfall and high winds to regions including Catalonia, Valencia, and Andalusia. Known as “cold drop” phenomena, DANA storms occur when cold air at high altitudes interacts with warm, humid Mediterranean air, triggering intense downpours and flash flooding. This DANA event has resulted in over 50 centimeters (approx. 20 inches) of rainfall, causing rivers to overflow and widespread flooding across urban and low-lying areas, with severe impacts on transportation and infrastructure.
The DANA storms have significantly disrupted Spain’s supply chain, particularly in the primary ports of Barcelona, Valencia, and Algeciras, which are key nodes for European and global trade. Ports have temporarily halted operations to assess damage and ensure safety, delaying container processing for imports, exports, and transshipments. In addition, road closures and flooded routes are obstructing truckload and inland transportation, affecting cargo movement to and from these ports. The timing of these disruptions, coinciding with the peak shipping season, poses added challenges for manufacturers and retailers reliant on timely goods movement across Europe.
Ports impacted
Spain’s eastern coast, particularly key shipping points, has been significantly affected:
Barcelona: While not directly hit by the heaviest rains, high winds and flooding in surrounding areas have delayed both import and export operations.
Valencia: With severe flooding and high winds, Valencia’s port temporarily halted operations to assess and clear access routes for safe cargo processing.
Algeciras: Although less directly impacted, the port has reported delays in scheduled arrivals and departures due to rough seas and rerouted traffic from other regions.
Early data shows container dwell times for imports, exports, and transshipments have been impacted throughout these ports.
The chart above shows the median dwell time for transshipment containers. Barcelona, in particular, experienced a major spike in dwell time on November 2, reaching up to 20 days—a two-week increase. These numbers will likely stay volatile as vessel schedules adjust and ports ramp up to full operations.
Export dwell times have increased across all three ports, reflecting delays in containers leaving Spain. While this may include some freight from the tail end of the peak ocean shipping season, it is likely that much of this is not inventory retailers need for the upcoming holiday season.
Import dwell appears to be the most affected by the storms, with multiple days showing no processing of import containers. Barcelona has seen the highest spike in import dwell time so far, but these numbers may continue to rise as port operations remain limited. This set of containers is likely to include inventory intended for the holiday season, making it essential for retailers and ports to prioritize urgent containers to ensure they reach shelves in time.
Truckload and inland transportation impacts
Flooding and infrastructure damage have affected overland transport:
Barcelona and Valencia: Major inland routes are closed or delayed due to localized flooding, with projected additional delays as cleanup and repairs proceed.
Algeciras: Inland access remains mostly open, though backlogs may occur due to a surge in rerouted shipments.
Summary
The DANA storms have created significant disruptions to Spanish supply chains. Key impacts include halted vessel traffic near Barcelona, Valencia, and Algeciras ports, increased container dwell times, and delays in inland transportation due to flooded routes. These challenges arise during a peak shipping period, putting added pressure on retailers and manufacturers dependent on container flows. The full impact of DANA on logistics will unfold as recovery efforts progress.
Concern for safety
While project44 has made it a priority to provide updates on the storms in Spain and its impact to the supply chain, the safety of all people impacted by the storm remains top of mind. They and their families are in our thoughts, and we urge people to follow local guidelines for safety in these times.