Transpacific

Why ocean container spot rates are spiking now

Ocean container spot rates have surged in recent weeks, marking a dramatic shift from the volatile pricing environment that characterized much of 2024. After a year of fluctuating rates and uncertainty, shippers are now grappling with rapidly rising costs, particularly on the crucial eastbound trans-Pacific trade lane.

The Drewry World Container Index posted on Thursday showed a 3% week-over-week increase to $3,905 per forty-foot equivalent unit, driven primarily by rate hikes on trans-Pacific...

https://www.freightwaves.com/news/why-ocean-container-spot-rates-are-spiking-now

Port of Los Angeles adds Calhoun to leadership team

The Port of Los Angeles has appointed Erica M. Calhoun as deputy executive director overseeing the city of Los Angeles Harbor Department’s Administrative Bureau.

In this newly created position, Calhoun will be responsible for the planning, direction and management of several key divisions at North America’s busiest container port. Calhoun has served as interim deputy executive director of Harbor Administration since May.

“Erica is an incredibly talented professional and valuable member of our...

https://www.freightwaves.com/news/port-of-los-angeles-adds-calhoun-to-leadership-team

Cancelled Sailings Tracker – A Snapshot Of Blank Sailings

A recently published Drewry news report talks about the snapshot of blank sailings announced by each Alliance.

Cancelled Sailings Tracker 

Our weekly Cancelled Sailings Tracker provides a snapshot of blank sailings announced by each Alliance versus the total number of scheduled sailings.

Further to the snapshot below, you may be interested in an annual subscription to our Container Capacity Weekly Insight which provides detailed assessments and analysis by main trade and alliance. Weekly reports...

https://mfame.guru/cancelled-sailings-tracker-a-snapshot-of-blank-sailings/

Subseasonal trucking market still soft and loose

The U.S. truckload market is still soft, with accepted contract shipments running approximately 5.5% lower than the year-ago period, and loose, as only 5.5% of contract truckload tenders are being rejected by carriers.

When market conditions are favorable to carriers, they reject more contracted freight and deploy their assets in the spot market, striving to maximize yield or revenue per loaded mile. When market conditions are unfavorable, carriers tend to reject fewer shipments and take what...

https://www.freightwaves.com/news/subseasonal-trucking-market-still-soft-and-loose

Collapse Of Spot Rates And Falling Demand

Container spot rates from China to Middle East and intra-Asia routes are reported to have “collapsed” this week, with prices to Europe and the US coming under intense pressure. Nevertheless, two ocean carriers remain bullish on maintaining profitability, as the liner industry adjusts to ‘normalisation’, reports The Loadstar.

NCFI

The Ningbo Containerized Freight Index (NCFI) reported a 30% slump in its Thailand and Vietnam component and a 22% decline in its Middle East index.

“Carriers cut prices...

https://mfame.guru/collapse-of-spot-rates-and-falling-demand/

US import demand is dropping off a cliff

The latest ocean container bookings data reveals that despite the strong levels of inbound cargo during the first five months of 2022, import demand is not just softening — it’s dropping off a cliff. Because capacity on the trans-Pacific has remained relatively stable, Drewry’s container spot rates from China to the West Coast have plunged 41% month-over-month to $9,630.

Freight forwarders will enjoy expanding margins on ocean freight, while U.S. trucking carriers and intermodal volume providers...

https://www.freightwaves.com/news/us-import-demand-drops-off-a-cliff

58.3% Increase In The Average Revenue Of All OOCL Trades

OOCL released its first quarter operational update showing an overall increase of 58.3% in its average revenue among all trades, says an article published in The Loadstar.

Revenue growth in different trade headquarters of Hong-Kong

The Hong Kong-headquartered line had seen spectacular increases on its transpacific, Asia-Europe and intra-Asia trades.

The intra-Asia, including Asia-Oceania services, saw liftings grow 28.4%, to 855,901 teu, and revenue grew 91.6%, to $968.7m. The first-quarter...

https://mfame.guru/58-3-increase-in-the-average-revenue-of-all-oocl-trades/

Dachser launches expedited China-US LCL service to cut through congestion

Dachser has launched an expedited China-US less-than-containerload (LCL) service to help shippers cope with the chronic congestion at west coast ports.
Demand for LCL has been on the rise since the start of the Covid crisis, with shippers and forwarders hoping to avoid premium airfreight rates, or simply find space in a market increasingly devoid of containers.
Dachser has combined LCL cargo with priority unloading, to reduce average container dwell times at …

The post Dachser launches expedited...

https://theloadstar.com/dachser-launches-expedited-china-us-lcl-service-to-cut-through-congestion/

Box Carriers Seek Better Visibility Through Enforceable Contracts

The pandemic has shown up the weakness of current container freight contracts that offer no compensation for rollovers or no shows. Carriers are now seeking more certainty over volumes, reports Lloyd’s List.

Stability and commitment 

As the annual transpacific contracting season gets under way, container lines are looking for more stability and commitment from customers in an effort to get better insight into demand and avoid the instability in the market witnessed over the past several months.

“...

https://mfame.guru/liner-shipping-leaders-look-to-mutual-commitments-in-contracts/

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