Today is January 29, 2024, and there are 7 days left before the Chinese Spring Festival. Through the overtime work in the workshop during this period, our factory has entered the finalization stage of orders, and most of the goods will be shipped out at the end of January 31st. Then will enter vacation mode. Although foreign importers are more or less aware of China’s biggest holiday, they also understand that this holiday has a certain impact on the global supply chain, the most direct one being production or shipping delays.

15 days ago, I received an inquiry from a customer, he needed the stock of our women’s rain boots. But I told him we couldn’t send it out before Feb. 24th. The customer confused and asked: Why can’t new orders be shipped before the Chinese New Year, there are another 20 days left, and the goods have stocks.

I gave him a lot of explanations, from the cost increasing on the eve of the holiday to the shipping delays. But the customer didn’t seem to accept very much.

I specifically searched the Internet for this issue and found that there were many people asking the question.

The one that troubled the most customers was: How many days of holiday are there during the Chinese New Year 2024? How to avoid production and year shipping delays caused by the Chinese New Year?

So, here, I have summarized a few suggestions based on my 20 years of experience in foreign trade business to help you effectively avoid the holiday season’s entire supply chain unstable both the cost and time.

The actual cases in the article come from our rain boots factory. I hope these actual cases can provide you with useful information.

1. Why are all factories and logistics closed during the Chinese New Year 2024? How many days of holidays are there during the Chinese New Year 2024? 

2. How to plan your orders in advance before the holidays

3. Effective communication with the factory.

4. Do I need to send orders for the coming year to the factory in advance before the Chinese New Year?

5. If you are a small-volume importer, will the Lunar New Year holiday have a big impact on you?

What happens every year How to avoid Lunar New Year holiday shipping and production delays d

1. Why are all factories and logistics closed during the Chinese Lunar New Year? How many days of holidays are there during the Festival?

Basically, the official public holiday is from 9th, Feb.–16th, Feb. 2024. But factories usually will extended period.

The below photo would be clearer showing you about the different industries that have different vacation periods in 2024.

Please pay high attention, to the lunar new year time is different each year. It’s not like our national holiday, which has a stable holiday period. Here the holiday week I mentioned is only for this year.

1. Holiday for regular factories

It usually starts 10 days before the official public holiday and is further delayed another 7 days, until the Chinese Lantern Festival ends.  Factory shutdowns during the below period.

Spring Festival Factory

If you contacted the factory directly, the reply would be significant delays. Please do not be distrustful because of we did not reply to you in time during the holidays.

This is mainly because salespeople usually relax during the holidays and do not check emails or messages you send on time. 

2. The holiday of foreign trade companies

Usually 3-4 days earlier than an official’s, and the working hours remain as official public holiday.  

foreign trade company holiday

3. The holiday for shipping companies

Following to official public holiday.

shipping company holiday

4. Customs, commodity inspection and other government departments

Following official public holiday.

public holiday

 Chinese New Year, is the most important and grandest traditional festival for Chinese people. During the Festival, except for the service industries that ensure the operation of people’s daily lives, almost all supply chains and transportation services will be closed. Mainly due to the following reasons: 

1. The influence of cultural tradition.

The Festival, for the Chinese, is a time for family reunion and the most important holiday of the year. For the Spring Festival reunion, many people will travel long distances home no matter where they are. 

2022 Chinese New Year time family

2. The official.

The lunar calendar new year is an official public holiday in China. During this period, most government departments, agencies, and companies will be on holiday, except for essential service industries. Factories and logistics providers also follow this rule and give employees holidays.

3. Labor shortages.

As a large number of employees return to their hometowns during the holiday season, many factories and logistics companies face manpower shortages and therefore have no choice but to close or reduce operations during this period.

4. Logistics challenges.

During the Spring Festival, transportation demand across the country surges, resulting in huge pressure on the logistics system. The government also gave the logistics during this period a nice name: Chun Yun. Migration is as big as migratory birds.

In order to avoid logistics congestion and delays during peak season, some logistics providers may choose to suspend services during the holidays.

5. Economic cycle adjustment.

For some companies, the Spring Festival is also a good time to conduct annual reviews, repair equipment, and plan production for the next year. Therefore, the closure of factories and logistics services during the Spring Festival is not only a reflection of traditional culture, but also a necessary measure to deal with practical operational challenges.

For global merchants who rely on Chinese manufacturing and logistics, understanding this is critical to rationally arranging production and logistics plans.

2. How to plan your orders in advance before the holidays Advance planning?

Usually we recommend that you confirm your order with the factory at least 40-50 days in advance to ensure that the factory has enough time for production and delivery. Plan ahead is very important.

However, this advance time still needs to be subject to specific consultation with the actual production situation and order status of the factory.

For example, for rain boots orders received by our factory after December 10th, if the packaging accessories involve sewing and the thermal lining, the delivery time will be extended until after returning from the New Year.

But if your order is for simple machine-injection-molded rain boots, and the packaging is the factory’s regular packaging accessories.

We will make arrangements based on the production on the machine to see if the rain boot last shape is the same as the one we ordered before the holiday.

And checing the warehouse has sufficient accessories, then confirm back customer the exactly  delivery time.

3. Effective communication with factory.

Communicate with the factory about the delivery date and pay attention to the latest delivery time

Confirming the correct shipping time, avoid delays during the peak seasons.

Be clear on delivery deadlines.

Basically, customers hope to have their orders shipped before the Chinese New Year.

High demand of order shipping before the holiday, makes most suppliers very busy, at the same time, the workers are in a hurry to go home. During this period, it is very difficult to buy tickets, many people will “grab” tickets through their mobile phones. As long as they have tickets, regardless of whether the factory holiday schedule, they will leave with the tickets without any notice. This also creates instability for factory. So factory will a clear informations to tell you if your requirements would be workable or not.

In addition, please check the order requirements carefully before placing an order, and do not delay delivery because of a small detail.

Let me give you an example.

This is an order of rain boots that we just shipped out on 28th Jan. 2024. The customer ordered 500 pairs of women’s rain boots because the customer requested that the insoles be made of suede cover with a LOGO printed.

The thickness of the insoles has always been based on the sample, it’s 3MM. When we purchased the accessories for the order, the customer informed us that the thickness of the insoles must be 5mm.

This was contingency plans for us.

Our regular insoles are 3MM, and the factory does not stock 5MM.

Fortunately, we have an insole factory that we cooperate with all year round, and we quickly communicated with the insole factory to confirm that there were ready-made 5MM insoles, and placed a new order to have the insoles printed with the LOGO, so there was no delay in order delivery.

Summary:

The factory happens to have the insoles requested by customers in stock, which is lucky.

But if not, there is nothing we can do.

The factory is on holiday and there are no workers to produce.

4. Do I need to send orders for the coming year to the factory in advance before the Lunar New Year?

If all the order information has been confirmed, it can be sent to the factory in advance. Why is this?

The reasons are as follows:

1. Scheduling

Generally speaking, the factory will have lower congestion after the holidays, so the factory will arrange the production of your order immediately.

2. Cost changes Before the holidays.

Due to the large shortage of workers, all costs will rise for the new year’s eve.

For example, raw materials and transportation costs are 20% higher than usual. Especially the transportation fee and workers.

On 28th, Jan., our women’s rain boots order shipping fee for a 20” container is higher by 25% than our previous. And, the quantity of the container is limited.

After the Spring Festival, everything will be back to normal prices. The week before the Chinese New Year holiday is the busiest period of the year for freight forwarders.

Because all importers are eager to get their goods out before the Chinese Lunar New Year. 

Therefore shipping costs are higher than usual and port congestion. But after the Spring Festival holiday, there will be the upcoming export off-season, which will last until April. And the shipping costs during this period are also the lowest.

 

3. Product price changes after the year

The price changes of products should be determined based on the circumstances of each product.

Some products may have been in short supply before, but after the Spring Festival comes back, the factory will increase prices.

However, if you place an order in advance, the price will remain unchanged.

Generally speaking, product prices after the holidays will basically remain unchanged.

At least our rain boots would increase after the Festival.

However, placing an order before the holiday means that you need to pay a deposit before the Chinese New Year. If you have sufficient funds, there is no problem.

 

5. If you are a small–volume importer, will the Lunar New Year holiday have a big impact on your orders?

For small-volume importation companies, you need to consider whether it is production or just taking the stocks.

For example, for our rain boots, an order of 500 pairs is a small order for the factory and can be delivered within about 20 days.

Then we will confirm back to you the delivery time. But prices would be higher than the normal working time.

Why?

Because prices will rise before the Lunar New Year holiday, especially the increased shipping costs, this year, we paid about 25% extra than the regular time.

If you are taking products from the factory’s existing warehouse and placing orders 30 days before the Spring Festival, the fee will not increase. We can usually prepare and ship goods in stock within 7 days, and ship out before the peak season.

 

Well, that’s all for the details explanation.

I hope you found useful information from my post and learned how to avoid production and shipping delays due to the Chinese New Year. If you find the article helpful, please share it with your friends. If you have any questions about sourcing from China, please leave a comment below. We are here to help you.

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