International freight rates set to rise
After recent reports revealing container freight rates on the westbound Asia-Europe corridor had gone up 28%, CMA CGM, the French container transportation and shipping company, has announced a 1 May ‘emergency rate restoration’ on the trade.
The French international sea freight company has announced a hike of US $385 per TEU on routes from Asia to Europe and the Mediterranean.
The scheduled increase in container freight rates will apply to containers, breakbulk and reefers from all Asian ports to all North European, Russia, Mediterranean, Adriatic, Black Sea and North Sea ports.
Other recent reports revealed that Emirates Shipping Line had raised its rates on the Far East and South-East Asia to East Africa trade lane by US $250 per TEU. In addition, its Far East and South-East Asia to the Indian sub-continent trade lane will go up by $300 per TEU.
A few days before the Emirates Shipping Line made its announcement, Maersk Line Shipping announced it would increase its rates on cargo from Far East Asia to the US on 1 May.
In addition, west coast shipments will rise by $400 per TEU, $500 per FEU, $565 per 40ft high-cube and 4630 per 45ft high-cube container.
On the east coast, the increases will be $560 per TEU, $700 per FEU, $790 per 40ft high-cube and $885 per 45ft high-cube.
Other increases include rates on dry shipments in the other direction going up by $160 per TEU, $200 per 40-ft high-cube and $250 per 45ft high-cube.
Also, Far East Asia to Canada will see rises of $400 per TEU, $500 per FEU, $565 per 40ft high-cube and $635 per 45ft high-cube and from Far East Asia (not including Japan) to Europe, rates will go up by $400 per TEU. In the other direction, prices will rise 4160 per TEU and $200 per 40ft high-cubes from 10 May.
Cargo from the Middle East and Indian Subcontinent to North Europe and the Mediterranean will rise by $200 per TEU and $400 per FEU and routes from Latin America to India will go up $1000 per TEU from 5th May.
The World Container Index’s, Shanghai-Rotterdam container freight rate sub-index, increased by $754. This increase was from US $2654 per 40ft container on 29 March to $3408 on 5th April.
Other carriers in the important Asia-Europe head haul trade imposed GRIs of about $400 per TEU from 1 April. The index suggests that the shipping lines have been able to enforce the majority of price increases announced so far this year.
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