The weekly Freitos index, which analyzes the daily and weekly freight rates on the most prominent trade routes in the world, reports that freight rates between Asia and the US West Coast fell an additional 16% this week to the lowest level since June 2020, and are only 5% higher than in October 2018. When the prices climbed in preparation for the opening of the tariffs in 2019. The drop in rates could start to threaten the profitability of shipping companies on this route, especially for smaller shipping companies.
The air cargo prices of Freightos Air Index Down 32% since last month and half their level a year ago, China-Europe rates are 43% lower than last year. The peak season for air cargo usually starts around the end of October, but some in the industry doubt there will be a big increase this year.
Sea freight rates between Asia and the US West Coast (FBX01 Daily) decreased by 16% to $2,516/FEU. This rate is 85% lower than the corresponding period last year. Sea freight rates between Asia and the US East Coast (FBX03 Daily) decreased by 5% to $6,634/FEUand they are 66% lower than the prices last week last year.
Freitos analyst Yehuda Levin writes that: Hurricane Ian passed Florida and closed airports, disrupted train movements and temporarily closed container ports in Jacksonville and Charleston, although other ports that were already struggling with delays such as Savannah, remained active. The easing of port congestion – both in major ports in China and in Los Angeles/Long Beach actually increases the available capacity – according to reports, ships leaving Asia for the West Coast are only about 70-80% full – and it is combined with the ongoing decline that leads to a rapid drop in spot prices , especially on this path.
Freight rates between Asia and the US West Coast fell another 16% this week to the lowest level since June 2020, and are only 5% higher than in October 2018. According to reports, ships leaving Asia for the West Coast are only about 70-80 full % of the capacity
The weekly Freitos index, which analyzes the daily and weekly freight rates on the most prominent trade routes in the world, reports that freight rates between Asia and the US West Coast fell an additional 16% this week to the lowest level since June 2020, and are only 5% higher than in October 2018. When the prices climbed in preparation for the opening of the tariffs in 2019. The drop in rates could start to threaten the profitability of shipping companies on this route, especially for smaller shipping companies.
The air cargo prices of Freightos Air Index Down 32% since last month and half their level a year ago, China-Europe rates are 43% lower than last year. The peak season for air cargo usually starts around the end of October, but some in the industry doubt there will be a big increase this year.
Sea freight rates between Asia and the US West Coast (FBX01 Daily) decreased by 16% to $2,516/FEU. This rate is 85% lower than the corresponding period last year. Sea freight rates between Asia and the US East Coast (FBX03 Daily) decreased by 5% to $6,634/FEUand they are 66% lower than the prices last week last year.
Freitos analyst Yehuda Levin writes that: Hurricane Ian passed Florida and closed airports, disrupted train movements and temporarily closed container ports in Jacksonville and Charleston, although other ports that were already struggling with delays such as Savannah, remained active. The easing of port congestion – both in major ports in China and in Los Angeles/Long Beach actually increases the available capacity – according to reports, ships leaving Asia for the West Coast are only about 70-80% full – and it is combined with the ongoing decline that leads to a rapid drop in spot prices , especially on this path.’