Shipping Rate, Surcharge Update for Week of July 30 - Aug. 3

 Singapore-based container carrier APL plans to impose “operational cost recovery surcharges” on all shipments moving through ports in Saudi Arabia. The carrier will charge $80 per 20-foot, $125 per 40-foot and $165 per 45-foot dry container, and $130 per 20-foot and $170 per 40-foot refrigerated box as well as $190 per unit for special equipment, including open-top and flat-rack containers. The surcharges, which apply to cargo shipped to and from Jeddah, Damman and Riyadh, are slated to take effect Aug. 1 on non-U.S. trades and Aug. 17 on the U.S. services.

“This cost recovery is necessary in order for carriers to maintain a sustainable shipping service to and from Saudi Arabian ports amid increasing cost, to serve and meet the rising needs of the Saudi Arabian economy,” APL said. The move comes after Hapag-Lloyd issued a $75 per TEU congestion surcharge notice on all cargo moving to and from Dammam Port, which took effect July 23 on all non-U.S. routes and takes effect Aug. 10 on the U.S.-related trades.

 Mediterranean Shipping Company plans to impose a general rate increase on westbound trade from India to Europe and the Mediterranean. The planned increase, starting Sept. 3, will be $200 per 20-foot container and $400 per 40-foot container. The increase will apply to all cargo destined for ports in North Europe, the U.K., the Mediterranean and Black Sea region.

“In order to maintain the high level of reliability and efficiency of our services, and to meet the needs of our customers, MSC has decided to implement the rate restoration,” MSC India said. The move follows a similar rate increase announcement by Maersk Line on India-Europe trade lane, which is slated to take effect Sept. 1.

 Mediterranean Shipping Co. plans a general rate increase on the container trade from the Far East to Canada. It notified its customers on Tuesday that it will increase freight rates on that trade on Aug. 15 by $400 per 20-foot container, $500 per 40-foot container and $565 per 40-foot high-cube container.

 Hapag-Lloyd has revised a rate restoration program announced July 2 on westbound trade from Asia to Europe. The German carrier had called for a peak-season surcharge of $350 per 20-foot container unit that was scheduled to run from Aug. 1 through Sept. 30 and a rate hike of $250 per TEU that was slated to take effect Aug. 15. Hapag-Lloyd on Friday said it would now impose a surcharge of $150 per TEU, starting Aug. 1 and lasting Sept. 30, and also postpone the implementation date of its $250 per TEU rate hike from Aug. 15 to Sept. 1.

The rate restoration covers all cargo shipped from East Asia (excluding Japan) to North Europe. Separately, the carrier said it plans to seek a general rate increase on shipments from East Asia (excluding Japan) to the Arabian Gulf. Effective Aug. 20, the proposed increase will be $500 per 20-foot container unit.