Soaring oil prices drive up logistics and transportation costs, with express delivery companies raising prices across the board

The ongoing conflict between Israel and Iran continues to impact the global transportation system. As tensions rise in the Strait of Hormuz, which accounts for 20% of global oil trade, international oil prices have surged past $100 per barrel. This has led to the sixth domestic fuel price adjustment of the year at 24:00 on March 23, bringing prices back to the “9 yuan era.” Market expectations suggest that oil prices will continue to rise further. The sharp increase in oil prices has driven up logistics and transportation costs. Coupled with the ongoing efforts to curb excessive competition in the express delivery industry, delivery prices have been adjusted multiple times this year, making price hikes almost a necessity for all courier companies. On March 23, the same day as the sixth domestic oil price adjustment, five major courier companies—ZTO Express, YTO Express, STO Express, Yunda Express, and Jitu—jointly announced a price adjustment notice. Guizhou became the first province to complete a price adjustment after the oil price change. (Securities Times)