Container Shipping Rates Surge
Spot container shipping rates on trans-Pacific routes are experiencing a notable upward trend, at least for the time being. Recent data indicates the rate increases container shipping companies have been pursuing during the summer are finally having an impact on Asia-to-U.S. trade, the Wall Street Journal reports. Xeneta estimates prices have surged by 61% in the past six weeks. Although U.S. importers have generally accommodated these price hikes without major issues, the rates are still considerably lower than the steep highs that disrupted the market in the previous two years. While shipping rates have faced declines this year, experts anticipate the recent gains made by carriers will likely be short-lived due to an influx of new capacity that is expected to flood the container markets. Currently, both carriers and shippers are feeling a sense of urgency as the peak shipping season progresses, with little indication consumer demand will significantly boost the flow of goods through ocean supply chains.
