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Transpacific rates have rebounded with the major box lines succeeding in implementing rate hikes.
Friday’s Shanghai Containerised Freight Index showed both the Shanghai-US West Coast and Shanghai-US East Coast rates were up just over 12% from 24 July, to $6,229 and $9,054 per 40ft, respectively, bucking the trend seen on Asia-Europe routes where freight rates remain under downward pressure.
Typhoons in China – Bavi and Noul in late July – caused persistent congestion in ports around the Yangtze and Pearl river deltas, which resulted in a shortage of containers and shipping slots.
Linerlytica said: “Cargo demand remains strong out of Asia, and persistent port congestion in China has created space and equipment shortages that have kept freight rates at elevated levels, giving carriers sufficient confidence to upgrade their earnings forecasts for the third quarter.”
It noted that the SCFI did not reflect the real-time situation, as Asia-USEC and Asia-USEC rates had gone up to $7,000 and $9,500 per 40ft, respectively.
The consultancy added: “The rate rally comes as somewhat of a surprise, given the SCFI and SCFIS’s (container futures) recent correction, but transpacific cargo volumes remain firm into August, while capacity out of China remains constrained due to port congestion at both Central and South China ports.”
Drewry suggested that following softening demand and the slowdown in front-loading activity, carriers were actively managing transpacific capacity through blanked sailings – this week, eight voyages will be blanked, following seven last week.
For example, yesterday, ONE announced the scheduled call at Singapore on its Vietnam Shuttle Express service, which offers a shortened connection between Vietnam and the USWC on 11 August, would be blanked.