The global supply chain crisis could be worsened by the disappearance of ships in Chinese waters.
The Automatic Identification System, which relies on ships to send data to stations along the coastline or via satellites, has seen a plunge in the signals it receives in recent weeks.
The number of signals in Chinese waters plummeted 85% in a single month, from 100,000 a day on October 28 to just over 15,000 a day on November 17 according to data from market intelligence and valuations provider VesselsValue.
The graph shows a drop off in China's ship data.
The value of vessels.
The law came into effect on November 1. The new rules regulate how data is collected and exported.
There are no specific guidelines on shipping data due to the new regulations, but some domestic providers in China have stopped providing information to foreign companies due to the law.
Shipping companies use the data for a wide range of purposes, including the planning of shipping routes, logistical operations and congestion analysis.
Charlotte Cook, head trade analyst at VesselsValue, said in an email statement to Insider that the decline in these signals could have a significant impact on ocean supply chain visibility in China.
The shipping industry depends on the increased availability and volume ofAIS data to predict vessel movements ahead of time, track seasonal trends and improve port efficiency.
The ability to accurately monitor vessel activity will be reduced by the reduction in the number of vessels signaling in China.
"If this continues, there will be a big impact in terms of global visibility, especially as we come into the busy Christmas period with supply chains already facing huge problems all over the world," Anastassis Touros, the team leader at ship tracking and maritime intelligence MarineTraffic, told the
