Spot rates for container shipping on the Asia-Europe trade lanes have seen notable increases despite weak cargo demand, driven by carrier capacity management and ongoing port congestion. This recent uptick in rates follows a series of general rate increases (GRIs) on November 1, with additional freight of all kinds (FAK) rate hikes scheduled for November 15. Carriers are confident, seeing unexpected demand post-China’s Golden Week.
Rate Increases and Market Trends
According to Drewry’s World Container Index (WCI) and Xeneta’s short-term XSI:
- Shanghai to Rotterdam: Spot rates rose 16% this week to $3,954 per 40ft container.
- Shanghai to Genoa: Rates surged by 21% to $4,399 per 40ft.
- Xeneta’s XSI for Far East-Europe also jumped by 25% to $4,105 per 40ft.
Drewry expects the upward trend in Asia-Europe spot rates to continue as demand remains steady.
Port Congestion and Operational Issues
Congestion at North European ports is exacerbating rate pressures:
- Hamburg: Ongoing modernization work at HHLA’s Altenwerder and Burchardkai terminals has led to export controls and high yard utilization.
- Rotterdam and Antwerp: Heavy fog and late vessel arrivals are causing further delays. Antwerp’s terminal density remains high due to maintenance work, which is expected to last until late December.
Maersk and MSC have responded by postponing their week 48 AE55/Griffin Asia-North Europe sailing by a week.
Impact on Transpacific Trade Lanes
In contrast, Asia-US trade lanes remained flat this week as the market anticipated the outcome of the US presidential election. With a second Trump presidency potentially on the horizon, renewed activity and rate fluctuations on transpacific routes may emerge in the coming months.
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Source: THE LOADSTAR
