Newly established carrier Sea Legend has launched its own China to Red Sea and East Med connections via the Suez Canal that advertises Chinese Naval escorts and commercial armed guards on board their ships. The new service takes advantage of soaring freight rates to Red Sea and Med destinations due to the diversion of over 70% of the containership capacity to the Cape route since December 2023. The Sea Legend service connects Qingdao, Shanghai, Ningbo, Nansha, Djibouti, Jeddah, Sokhna, Aqaba, P
ONE will revise the port rotation of its Adriatic Israel Butterfly (AIB) service to call at Valencia, Alexandria, Koper, Venice, Ancona, Damietta, Valencia on an extended rotation that will turn in 4 weeks compared to the current 3 weeks rotation calling at Damietta, Koper, Trieste, Venice, Ancona, Piraeus, Alexandria, Damietta. The hub port will be changed from Damietta to Valencia as the Asia-Med services operated by ONE within THE Alliance has been diverted from the Suez to the Cape of Good
Transpacific freight rates continued to trend upwards, with the rally in the last 4 weeks raising rates to the US West Coast by over 133%, its largest ever monthly gain on record, surpassing even the COVID period rate surge. Although some carriers have announced further rate hikes in February, it appears to be nearing its peak with carriers preparing for the post-Chinese New Year slack by offering lower rates from the 2nd week of February. Rates to North Europe saw a minor correction after 8 c
The CoFIF market went into steeper backwardation as the spot SCFIS went up 12% WoW while the CoFIF contracts were down about 4-6% WoW across the board. Liquidation of the Open Interest continued but on a slower pace than previous weeks. There are indications that rates are peaking as the market looks beyond the current tight market to the expected rate correction post-Chinese New year, with the SCFI registering its first drop last week after 8 consecutive weekly hikes. Spot freight rates compi
Maersk and Hapag-Lloyd announced on 17 January 2024 the formation of a new long-term global alliance named Gemini Cooperation that will start from February 2025. The move comes one year after the announcement of the break up of the 2M partnership between Maersk and MSC on 25 January 2023 with a 2 year notice period that will take effect from January 2025. Hapag-Lloyd has also given a one year notice to its partners in THE Alliance for an early termination of its participation in the partnership
Register Free Trial [https://www.linerlytica.com/register/?utm_source=W202404] The freight rate escalation has peaked as carriers look beyond the current Red Sea driven capacity shortage to the post-Chinese New Year slack. After 8 consecutive weekly hikes since the end of November that raised the SCFI by 126%, the weekly gains have slowed down. Despite a widely expected correction, freight rates are still expected to retain most of its recent gains after the Chinese holidays as the shortage of
Zim has launched a new South China Thailand Express (SXT) service connecting Nansha, Dachan Bay, Sihanoukville, Laem Chabang, Bangkok, Cai Mep, Nansha from 7 January 2024. The service turns in 2 weeks and deploys the 1,645 teu SEA OF LUCK and 1,930 teu KANWAY FORTUNE.
Econship has introduced a direct service between Indonesia and Russia with the first sailing made by the 1,620 teu BOSON on 9 January 2024. The service will call at Jakarta, Nhava Sheva, Mundra, Jebel Ali, Novorossiysk and will use the Red Sea/Suez route despite the threat of attacks by Houthis on the Red Sea.
Maersk and Hapag-Lloyd announced on 17 January 2024 the formation of a new long-term global alliance named Gemini Cooperation that will start from February 2025. The move comes one year after the announcement of the break up of the 2M partnership between Maersk and MSC on 25 January 2023 with a 2 year notice period that will take effect from January 2025. Hapag-Lloyd has also given a one year notice to its partners in THE Alliance for an early termination of its participation in the partners
Be aware if you have been expecting interest rate cut this year: Ocean freight that may have contributed to a chunk of inflation during 2021-2022 have staged a come back. Looking back the past few years, the correlation between freight-to-cargo ratio and US inflation averaged 74%. The take-off in May 2020 and peak in July 2022 of the two lines coincide with each other while the flooring of the freight-to-cargo ratio led the US inflation by few months. The swing from May 2020 to July 2022 for t