Better Ready Than Sorry: What You Need to Know About Chinese New Year 2025

This year, Chinese New Year 2025 (or Lunar New Year) is almost two weeks earlier than last year, meaning that mid-December is your last chance to take action to maintain a stable flow of goods in the next two to three months. Here is what you need to know.

When is Chinese New Year 2025? 

One of the most important holidays in Chinese culture, the Chinese New Year, falls on Wednesday, January 29, 2025. It has influenced similar celebrations in other cultures, commonly called the Lunar New Year. It is celebrated in many Southern East Asian countries, such as Singapore, Cambodia, Indonesia, Brunei, Malaysia, Vietnam, Myanmar, North Korea, South Korea, and the Philippines. 

Chinese people believe the beginning of a new year affects one's luck in the coming year. As a result, the Chinese will have eight public holidays (January 28 to February 4), while the whole festival should last until February 12, culminating with the Lantern Festival. As Chinese New Year's Eve falls on a Tuesday, some people will likely begin the most crucial holiday season on a Saturday the previous week – January 25. 

Why Is It Important? 

Preparation for the Lunar New Year typically begins around three weeks prior, with various businesses (especially in manufacturing) slowing down or completely shutting down operations and allowing staff to prepare for travelling back to their families before the festival. If your business deals with clients or suppliers in the countries celebrating the Lunar New Year, you should prepare for this period in advance.  

• January: Week 1-2 

  Factories begin slowing down, some shut. 

• January: Week 3 

  Factories continue to shut down; workers leave. 

• January 28-February 4 

  Chinese New Year celebration  

• February: Week 1-2 

  Factories reopen. Full return to work after February 12. 

How Does It Affect You & What to Do Now? 

Possible Shipping Delays 

Staff leaving to prepare for celebrations means fewer employees can handle the workload. It applies to all areas, including manufacturing, production, and shipping. Therefore, careful planning is required to maintain a stable supply of goods while working with the countries celebrating the Lunar New Year. 

Reduced Communication 

Fewer workers in the building also means less or insufficient communication. As you may not be able to contact your suppliers during this time, consider any concerns arising during and after the Lunar New Year and try to get the answers beforehand. 

Post-Christmas Challenges 

Lunar New Year 2025 will be celebrated 13 days earlier than in 2024, meaning businesses will have less time to recover after the Christmas season. If you still need to, place your orders as soon as possible and confirm production timelines with the suppliers. 

Attention to Quality Control 

Fewer workers handling an increased workload can result in lower-quality products and services. Increase your quality control procedures and monitor possible quality issues; otherwise, they could result in customer dissatisfaction. 

(Un)Realistic Expectations 

Although most factories and manufacturers reopen straight after the Lunar New Year, others return to work only after the Lantern Festival (February 12). Therefore, changes in production speed might only stabilise in the second part of February. Ensure you know your supplier's back-to-work schedule and set realistic expectations so you won't be caught off guard. The same rule applies to your shipping services.  

Post-New Year Challenges 

Did you know that Chinese people often consider Chinese New Year celebrations a good time to switch jobs? As a result, some workers never return to their current workplace after this period, resulting in staff shortages. Always have a contingency plan in case of delayed manufacturing or shipping. 

How Can We Assist You? 

Recent and upcoming events bring considerable challenges to the logistics industry. The record-breaking holiday season, recent port strikes in the US and Canada, and the two-week earlier Lunar New Year than last year all create a challenging environment.  

Additionally, a week before the Chinese New Year, Donald Trump will be sworn in as the official president of the US. As we noted last month, Trump plans to increase shipping tariffs on Chinese goods, which might result in an even more complex situation than it is today. 

If you are worried about the Lunar New Year or any other factors affecting your orders and need a personalised consultation about the best possible plan of action. In that case, the KATA Global Logistics team is here to help with any concerns you might have. 

At KATA, we pride ourselves on offering tailored solutions that adapt to shifting market needs. Our focus on efficiency, cost-effectiveness, and customer satisfaction allows us to support clients in managing the complexities of the constantly changing environment. 

Contact KATA today for expert support and logistics solutions that keep your business moving forward despite the challenges.