With liner companies raising peak season surcharges, spot freight rates are expected to return to double-digit growth in July
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As the peak season approaches, ocean freight prices rise: As the traditional peak seasons of the container shipping market (July to October and December to January) approach, ocean freight prices are rising again. The highest freight rate from Asia to Europe is close to $10,000.
Shipping companies increase rates: Several shipping companies raised rates in July. For example, the Peak Season Surcharge (PSS) from Asia to the U.S. is $2,160 per 20ft container and $2,400 per 40ft container.
Freight index rose: China's export container shipping market performed well this week, and the freight rate of most ocean routes continued to rise, and the Shanghai export container comprehensive freight index was 3714.32 points, up 6.9% from the previous period. With liner companies raising peak season surcharges, spot freight rates are expected to return to double-digit growth in July.
Shipping giants add routes: In order to cope with peak season demand, the three major shipping alliances have added routes on the European route and increased capacity.
Challenges in the global shipping market: Events such as oil spills and port strikes have brought uncertainty to the global shipping market. For example, the strike initiated by the Verdi trade union in Germany led to a near standstill in the handling of goods and containers.
Foreign trade enterprises and freight forwarding companies are under pressure: Small and medium-sized foreign trade enterprises and freight forwarding industries are under pressure amid the continuous rise in shipping prices. Some companies are facing losses due to rising freight rates, and some foreign customers are asking to postpone shipments due to reduced profits.
Industry suggestions: Zheng Jingwen, deputy director of the International Shipping Research Institute of Shanghai International Shipping Research Center, suggested that foreign trade enterprises should strengthen communication with all parties, and make contingency measures and whole-process logistics arrangements to deal with the risk of supply chain delays.
Industry status: In 2023, the number of cancellation and revocation of freight forwarding-related enterprises will reach 44,600, an increase of 10.4% over 2022, indicating that the industry is facing great challenges.
Summary table of freight rate data of seven routes in the past six months in the weekly report of Shanghai Aviation Exchange
$中远海控(SH601919)$ $招商轮船(SH601872)$ $东方海外国际(00316)$