How to Prepare Your Supply Chain for Chinese New Year 2026

Each year, Chinese New Year (Lunar New Year) brings one of the biggest slowdowns in global manufacturing and logistics. Beyond its cultural significance, it presents operational challenges that require early preparation. With Chinese New Year 2026 approaching on 17 February, now is the perfect time to prepare. To support your planning, we’ve created a practical guide to help you keep your supply chain running smoothly.

What Is Chinese New Year?

Chinese New Year, one of the most significant festivals in Chinese culture, marks the beginning of a new lunar year – a time for family reunions, travel, and cultural festivities. The occasion has inspired similar celebrations in many other cultures and is widely observed across numerous East and Southeast Asian countries, including Singapore, Vietnam, Malaysia, Cambodia, Indonesia, Brunei, Myanmar, the Philippines, and both North and South Korea.

In 2026, Chinese New Year’s Day falls on 17 February, with the official public holiday in China running from 15 to 22 February. Yet, in practice, many factories and offices begin closing one to two weeks earlier. By early February, production capacity across Asia will already have decreased as workers start travelling home, and many will not return until the end of February or even the Lantern Festival, which falls on 3 March.

How Chinese New Year Disrupts Logistics

Few events impact global supply chains as profoundly as the Chinese New Year. The annual holiday triggers widespread factory closures, transport congestion, and labour shortages that ripple through international markets. Here’s what to expect:

• Factory Shutdowns: Millions of workers travel back to their hometowns, and many factories close completely for two or more weeks.

• Production Slowdowns: In the weeks leading up to the holiday, production begins to taper off as employees prepare to leave.

• Port and Freight Congestion: As companies rush to ship goods before closures, freight demand surges, causing congestion and rising rates.

• Labour Shortages: After the holiday, some workers do not return, leading to delays in resuming full production.

• Extended Disruption: It can take until early March for manufacturing and logistics operations to return to normal levels.

Preparing for the Chinese New Year

Successful preparation calls for foresight, clear communication, and robust contingency planning. Below are some key actions logistics and procurement teams should take well ahead of time.

1. Confirm Orders Early

Aim to have all purchase orders finalised by mid-December 2025. This allows production to be completed before factories start scaling down operations. Delaying until January could result in your goods being held until after the holiday.

2. Book Freight Ahead of Time

As demand for both sea and air freight surges before the holiday, secure your shipping space as early as possible – ideally by the start of January. Doing so helps you avoid inflated rates, limited capacity, and potential delays.

3. Increase Buffer Stock

Build up an additional inventory of essential or fast-moving items to maintain supply during the shutdown and recovery period. A healthy safety stock can help offset any unforeseen disruptions.

4. Stay in Touch with Suppliers

Request clear timelines from your suppliers regarding their closure and reopening dates. Many factories will not resume operations immediately after 23 February, so align your production and delivery schedules accordingly.

5. Strengthen Quality Checks

The pre-holiday production rush can strain manufacturing quality. Reinforce quality control procedures and arrange pre-shipment inspections to ensure standards remain consistent.

6. Plan for Delays After the Holiday

Expect continued congestion at factories, ports, and customs once operations restart. Allow extra lead time in your logistics schedule through early March to accommodate possible backlogs.

Chinese New Year 2026: The Time to Prepare Is Now

The upcoming Lunar New Year arrives amid continued pressures across global logistics networks. Nevertheless, businesses that plan ahead, maintain strong supplier relationships, and diversify their logistics strategies will be best positioned to manage these seasonal challenges.

Chinese New Year occurs every year, yet it still catches many companies off guard – don’t be one of them. By confirming orders early, booking freight in advance, and keeping open lines of communication with suppliers, you can turn what is often viewed as a disruption into a well-managed seasonal event. In logistics, timing is everything, and for the Chinese New Year, the time to prepare is now.

If you are concerned about the upcoming Lunar New Year or any other factors affecting your orders, the KATA Global Logistics team is here to help. We specialise in tailored, efficient, and cost-effective logistics solutions that adapt to shifting market conditions.

Get in touch today for expert support that keeps your business moving forward, whatever the challenge!