The second straight weekly decline in spot rates in the eastbound Pacific seems to show that the peak shipping season was uneventful -- and that the 25 percent tariffs on $300 billion of imports from China due to go into effect Dec. 15 is having no significant impact on freight volumes.
According to a JOC survey, many U.S. importers from Asia that have been expecting to pay significantly more for fuel and in annual service contract rates. Beneficial cargo owners (BCOs) say that ocean reliability is their biggest concern.
04 Jan 2019
Spot rates in the eastbound Pacific increased for the second straight week.
04 Jan 2019
When imports increased strongly last summer, due in part to front-loading of shipments to get ahead of the Trump administration’s tariffs on China, spot rates soared by more than $1,000 to each coast.
14 Dec 2018
Eastbound trans-Pacific spot rates fell for the fourth straight week.
04 Dec 2018
Ocean carriers will have even more reason to show trans-Pacific capacity discipline, if Sea-Intelligence’s demand forecast proves to be accurate; however, a current container shipping trend may make that doubly hard.
03 Dec 2018
There are still more unknowns than knowns about the US-China tariff ‘truce,’ but this is clear: the extra time until March 1 helps shippers by giving them a longer time cushion before higher tariffs could potentially start.
30 Nov 2018
Following a meeting with Chinese President Xi Jinping in Buenos Aires on Saturday at the G20 summit, President Trump agreed to a 90-day truce in which the US wouldn’t impose higher tariffs on Jan 1. as threatened.
16 Nov 2018
The US imports surge from Asia since mid-summer is due largely to savvy capacity management by carriers individually and through vessel-sharing alliances. However, retailers’ front-loading of imports to stay ahead of tariffs on mainland China led to an earlier-than-expected peak-shipping season this summer and now to fast-forwarding of spring merchandise.
14 Nov 2018
Rising operating costs that are siphoning off profitability will see carriers having a much greater hold on capacity going into what is looking like a volatile 2019.
13 Nov 2018
“There is no will or reason to merge the two companies. SM Line will continue to build its own business models and we will do our part to survive in the market independently,” said SM Line CEO Kim during a meeting at the company’s headquarters in Seoul.
09 Nov 2018
Some are predicting a continuation of peak season-like conditions — marked by record high spot rates and space restrictions — not just through the end of the year but continuing until the Chinese New Year holiday beginning in early February.
08 Nov 2018
Some are predicting a continuation of peak season-like conditions not just through the end of the year but continuing until the Chinese New Year holiday beginning in early February. Beyond that, two sector variables will determine the extent of anticipated first-quarter weakness in spot rates.
02 Nov 2018
The Trump administration's initial 10 percent tariff on China prompted front-loading of holiday goods earlier this year. Now, the prospect of an additional 25 percent tariff on China on Jan. 1 is affecting spring shipments. Each is among the chief reasons trans-Pacific spot rates have maintained their strength.
26 Oct 2018
Shippers were still paying high spot rates, and scheduled deployment of extra-loader vessels indicates carriers believe imports will remain strong into November.
19 Oct 2018
The chaos of the trans-Pacific peak season has set the stage for tough annual service contract negotiations in the spring between container lines and US importers from Asia.
17 Oct 2018
It has now been 12 consecutive weeks that spot rates on imports from Asia have been higher than $2,000 to the West Coast and $3,000 to the East Coast, according to the Shanghai Containerized Freight Index. This is the longest sustained period of elevated spot rates since 2013.
12 Oct 2018
Spot rates in the eastbound Pacific show no sign of softening, and shippers may end up paying high spot rates through the end of the year, if imports remain strong. New US tariffs beginning Jan. 1 definitely have something to do with the above.
05 Oct 2018
As uncertain as trans-Pacific rates have been, they are up 56 percent to the West Coast and 67 percent to the East Coast, compared with early Oct. 2017. However, more price volatility is anticipated as the peak season ends, importers prepare for the Chinese New Year, and proposed 25 percent Trump administration tariffs take effect on Jan. 1.
28 Sep 2018
Further, two key decision-makers, one each from the Port of Los Angeles and the Port of Long Beach, agreed that the early building of peak-season inventory this summer will be followed by slower growth in the fourth quarter of the year.
26 Sep 2018
Further, trans-Pacific shippers will welcome the additional capacity, especially this peak season, for several reasons.
21 Sep 2018
However, analysts and stakeholders say shippers should not focus on the rate drop, but rather, they should prepare for unprecedented turmoil in the eastbound Pacific that is affecting cargo loading at Asian ports and delivery and storage in the United States.
20 Sep 2018
Already chaotic and upended, the Trump administration’s proposed Jan. 1, 2019, 25 percent tariff on imports from China is causing importers to scramble for ocean, truck, and rail capacity — with the next ramification being the warehouse variable: will there be any space after the front-loading of imports?
18 Sep 2018
The focus now turns to how dramatic the post-peak season decline will be, and if it will take place earlier than normal after shippers front-loaded their supply chains to avoid US tariffs.
14 Sep 2018
Extra-loaders have made their presence felt, but is that extra capacity capable of ending the escalation in trans-Pacific spot rates long term?
07 Sep 2018
Ocean carriers plan October blank sailings even as they introduce extra-loader vessels to handle an import surge in September.
05 Sep 2018
The move represents modest good news for US importers scrambling for slots, amid a peak season surge in volume.
05 Sep 2018
The 20-mile, three-lane dual carriageway bridge is the only road link to the Yangshan terminals, part of the huge Shanghai port that handled 20.5 million TEU in the first half of 2018.
31 Aug 2018
Ocean carriers continue to have the negotiations advantage in the trans-Pacific, and there was little in the latest weekly data to suggest a change in the peak-season uptrend.
30 Aug 2018
Air cargo freight rates between China and the United States have been rising since July, according to US-based logistics provider C.H. Robinson, and shipper concern about lack of space on the trans-Pacific trade is a factor in that rise.
29 Aug 2018
The reduction in capacity, less than anticipated, provides a slight amount of relief to shippers scrambling to find capacity this peak season.
24 Aug 2018
Uncertainty regarding the Trump administration's tariffs and when surging imports will slacken is keeping ocean carriers firmly in control of pricing in the eastbound trans-Pacific trade.
22 Aug 2018
If other carriers also offer one-off extra loaders in the coming month, the tight situation in the largest US trade lane could be relieved somewhat.
17 Aug 2018
Ocean carriers are enjoying rare pricing power, which is being propelled by three factors. But the impact of their decisions on customer relationships with beneficial cargo owners and truckers remains to be seen.
10 Aug 2018
Space is so tight today in the eastbound Pacific that some beneficial cargo owners are paying higher than spot rates to get their shipments on vessels leaving Asia. However, there is a qualifier to that trend shippers should know about.
06 Aug 2018
OOCL is sounding alarms about the impact of a trade war on international shipping volumes after a strong first half.
03 Aug 2018
Strong US import volume is at the heart of the rise, and there are other signs of strength, but what’s the evaluation of the early move by industry professionals?