Freight Market Update | Week 40

OCEAN FREIGHT

Asia to North America (Transpacific Eastbound)

Uncertainty surrounding TPEB floating rates due to the recent reductions in demand as a result of Chinese Golden Week.
Congestion will persist and is causing carriers to call smaller US ports not generally leveraged on the TPEB trade.
Rate levels remain elevated, and the premium market continues to be strong.
Capacity is critical, severe undercapacity.
Book at least 4 weeks in advance.

North America to Asia

Space continues to be tight for USWC POLs.
Capacity more readily available from the USEC to Asia.
Multiple GRI’s announced for dry and reefer cargoes for Oct 15 and Nov 01 expected to be implemented.
Deteriorated schedule integrity in addition to void sailings and delays.
Book 4 to 6 weeks in advance.

North America to Europe

US West Coast service to Europe is very tight.
Available capacity on the TAEB trade with carriers looking for cargo from the US East and Gulf Coasts.
Rates remain steady for October.
Deficits are still plaguing IPI origins.
Book at least 3 to 4 weeks in advance for East Coast/Gulf and 4 to 6 weeks for Pacific Coast.

Europe to North America (TAWB)

Terminal congestion at the USEC is impacting vessel schedules with some lines cancelling Savannah calls and replacing them with Charleston or Jacksonville.
Congestion at LAX/LGB port remains critical even though the number of vessels now waiting for berth is below 60.
GRI October 1 implemented
Capacity remains tight for both North Europe and Mediterranean services.
Book 5 or more weeks prior to CRD.Request premium service for higher reliability and no-roll guarantees.

Asia to Europe

Space and equipment crunch continues, consistently exceeding supply.
After the Golden Week holiday, further review of the impact of power shortages on production is being done.
Rates remain at a record high level and a marginal increase in October.
Capacity is extremely critical.
Severe equipment shortage across all Asia origins.
Book at least 4 -5 weeks in advance, consider premium options.

India to North America

Multiple upcoming sailings from ISC region to USEC are omitting port of loading: Pakistan and port of discharging: Savannah.
Carriers are looking to re-align vessel schedules in an effort to increase schedule reliability.
Equipment of all types are in deficit.
Rates increased for 2nd half of October.
Use premiums on urgent shipments and shipments with CRD approaching.

North America to South America

Steamship lines started to announced GRI for the last quarter of the year. CMA -CGM and HSUD have already implemented it.
Persistent congestion at USWC ports has caused some shippers to seek the sanctuary of the East Coast to speed cargo.
Port of Los Angeles: 51 container ships at anchor or drifting awaiting berths (Ships are waiting an average of 9-12 days to catch a berth).
Port Everglades and Miami are presenting shortage of equipment and long waiting time for empty containers pick-ups.
Book at least 3 to 4 weeks in advance.

Asia

In North China the market is relatively slack compared to the end of September.
In South China the market is slow as factories return from the Golden Week holiday and wade through the power supply situation.
FEWB space is tight, and direct service rates to the EU have increased by around 15-25%.

Europe

Expect to see more PAX capacity on the Trans-Atlantic being phased into airline schedules in the coming weeks.
Far East Eastbound back to full operational capacity after Golden Week.
Place bookings at least 7 days ahead of CRD for most optimal rates and routing solutions.

Americas

US Export demand remains steady and stable.
Larger shipments from major outbound gateways can take 2 to 4 days from booking to uplift into the EU, LATAM, or Asia.
Rates haven’t experienced any significant changes compared to the previous week.