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Register Free Trial Container freight rates continued their precipitous fall as the SCFI shed a further 5% last week with weaker rates across all main trades led once again by the Transpacific. Carriers’ reluctance to withdraw surplus transpacific capacity amidst the tariff chaos doomed their mid-July rate hike efforts. Rates to North Europe that have held up well in the last 2 months are also starting to crack with vessel utilization rates dropping noticeably last week, potentially signaling a
Register Free Trial The extension of the US import tariff pause to 1 August has not helped transpacific freight rates that retained their downward trajectorory with cargo demand still slipping from the June peak. Carriers are retaining most of their transpacific capacity through the end of August despite the collapse in freight rates. The rate weakness is spreading to the East Coast with the widening gap to the West Coast rapidly eroding. In contrast, European routes have been surprisingly res
Register Free Trial The strength of the US container cargo demand remains very much in evidence, with preliminary import volume data for May and June showing imports from Asia declining by only 5.6% in the last 2 months despite the severe disruption from the Trump tariffs. Although imports from China dropped by 24% yoy, volumes from all other Asian origins recorded positive gains, led by Vietnam and Indonesia which grew by 34% and 33% respectively. The 20% tariff on Vietnamese imports announce
Register Free Trial The rapid decline in Transpacific freight rates have forced some carriers to roll back their capacity plans but with tonnage already committed in some cases, carriers are still pushing ahead with new Transpacific service upgrades. Emirates is the latest newcomer to the US market, making a return to transpacific after a 17 year absence, even though another newcomer CU Lines have given up plans to revive its US service after just a single sailing. Niche carriers Hede and SeaLe
Register Free Trial The SCFI rolled back all of the gains of the past 3 weeks as Transpacific rates collapsed under the weight of excess capacity. Freight rates to the US West Coast have recorded their largest weekly losses in the last 2 weeks as their failure to retain any of their 1 June rate hikes have also put the peak season surcharge for contract customers at risk. The early end to the transpacific peak season have not yet dragged down rates on the secondary routes that remain supported b
Register Free Trial Container vessel traffic in the Middle East remains unaffected by the escalation in the Israel-Iran conflict since 13 June with carriers maintaining their scheduled calls at Middle East Gulf and Israeli ports, while Suez transits have also been retained. Zim affirmed the continuation of its services to the Israeli ports of Ashdod and Haifa while CMA CGM is still proceeding to reroute 3 of their Europe-Indian subcontinent/Far East ships through the Suez this month despite the
Register Free Trial Asia to US freight rates have peaked after carriers rolled back the increases from the last 2 weeks as the new Transpacific capacity injections have exceeded market demand, especially to the Los Angeles/Long Beach PSW gateway where carriers are struggling to fill the ships. Although PNW and US East Coast capacity remains tight, it will not be enough to push through a fresh round of rate increases in mid-June as the carriers focus on holding their recent gains. Carriers’ init
Register Free Trial Transpacific freight rates recorded their largest ever one week jump as the impact of TACO (Trump Always Chickens Out) from the roll back of US tariffs has provided a windfall for the container market. The market surge has also spilled over into the charter market where vessel availability is very low and carriers are still seeking tonnage to take advantage of the large rate hikes. The legal challenge in the US to Trump’s tariffs has added further uncertainty to the transpa
Register Free Trial Total capacity on the Transpacific is set to rebound sharply in the coming 4 weeks, with an average of over 560,000 teu departing from Asia to the US weekly compared to the Week 19 low of 377,000 teu. Additional capacity are still being added as carriers capitalize on rising demand and soaring transpacific freight rates. CUL is the latest carrier to join the bandwagon, adding a new standalone Transpacific service from June while incumbent carriers have also added extra loade
Register Free Trial The Sino-US trade deal has created a perfect storm for the container market, that will further lift carriers’ earnings in the next 2 quarters. The sharp rebound in transpacific cargo bookings have pushed up freight rates over the past week with further rate hikes planned from 1 June. Carriers are scrambling to redeploy their ships to the US to take advantage of the rate bonus with KMTC becoming the latest new entrant on the transpacific. Charter rates are also enjoying a st