The container rates surging as shippers rush ahead of deadlines, reports AJOT.
Ocean Freight Rates
- Transpacific routes saw a moderate increase, now about 15% above early December levels, as shippers frontload ahead of expected tariff hikes – fueled by full vessels and successful mid‑month GRIs.
- Asia → US West Coast climbed ~4% to $4,452/FEU, while Asia → US East Coast rose ~2% to $5,932/FEU.
- Transatlantic lanes may experience further rise in mid‑January thanks to disruption surcharges tied to a potential strike; a major carrier has already introduced a $2,000/FEU surcharge
- Asia → Europe/Mediterranean rates dipped slightly (1–2%), despite regional congestion due to bad weather.
- Red Sea diversions remain a major factor, keeping rates at least twice last year’s levels, with no immediate resolution in sight.
Air Cargo Trends
- Transpacific and transatlantic air freight rates are easing from earlier peaks, though China–Europe rates still hover around $5.00/kg.
- Continued frontloading ahead of tariff deadlines could sustain elevated air cargo rates into 2025, especially if intra‑Asia shipments surge.
Analysis & Outlook
- Shippers are pushing volumes earlier to avoid looming tariffs, leading to fuller vessels and upward pressure on ocean rates.
- Carriers are targeting $1,000–3,000/FEU GRIs in early January, banking on sustained pre–Lunar New Year demand.
- Transatlantic rate hikes are being set ahead of a potential port worker strike and alliance reshuffling – with surcharges already in place.
- Despite slight dips in Asia‑Europe rates, the ongoing Red Sea rerouting is still keeping overall port-to-port rates significantly elevated.
- Air cargo demand remains firm, but volatility hinges on tariff policy and seasonal trends.
Global logistics remain in flux as shippers preload inventories to dodge tariffs and sidestep disruptions. Ocean rates are soaring—especially across the Pacific and Atlantic—while airfreight edges up too. Until tariff timelines, port labor stability, and Red Sea security are resolved, carriers appear poised for further rate increases well into the early months of 2025.
Did you subscribe to our daily Newsletter?
It’s Free Click here to Subscribe!
Source: AJOT
