Container freight rates are "hot" again with global trade

China-US container freight rates surpass record $20,000 Asia-Europe freight rates soar on rising demand

Freight companies from Asia face costs of up to $10,000 for an emergency large shipping container next month — double current spot rates, according to prices circulating between carriers and importers.

Marseille, France-based CMA CGM SA, the world’s third-largest shipping company, has announced rates of $7,000 for a 40-foot container in the second half of June for cargo shipped from Asia to northern Europe. That’s up from current rates of around $5,000. In the first half of June, rates ranged from $6,000 to $6,500, with premium services offered at $7,500 to $10,000.

With capacity stretched by more than five months of attacks on ships in the Red Sea, the container shipping industry is struggling to meet rising demand in the U.S. and Europe. Another driver behind the price hike is that importers are placing more orders due to concerns about disruptions ranging from port congestion and strikes to higher tariffs on Chinese-made goods.

Giá cước vận tải container tăng tới 10.000 USD lại “nóng” với thương mại toàn cầu

Container shipping rates rise to $10,000, making global trade hot again. Bloomberg photo

Shipping companies are changing their inventory strategies and adapting to longer lead times, upending conventional shipping patterns. Some companies are even doubling or increasing their bookings to secure space on container ships.

In September 2021, spot rates for 40-foot containers to the U.S. West Coast from China spiked to more than $20,000 amid pandemic-driven demand, according to Freightos data compiled by Bloomberg. Four months later, rates for shipping from China to Europe peaked at nearly $15,000.

The CEO of Hamburg-based Hapag-Lloyd AG, the world’s fifth-largest container shipping line, attributed the latest spike to capacity issues in the Red Sea and “really strong demand” that supported an early peak season and replenished inventories. While it’s impossible to know how long the short-term increase in container rates will last, “it could still be a few more months if the situation in the Red Sea doesn’t improve,” he said.

Source: https://congthuong.vn/gia-cuoc-van-tai-container-lai-nong-voi-thuong-mai-toan-cau-323519.html