Sea freight rates have risen sharply Jun 11,2024.
According to data agency Freightos, since the end of April, container rates from Asia have risen by about $1,000 /FEU (a 40-foot container), to $4,000 /FEU for the U.S. West Coast and Northern Europe, and to $5,000 /FEU for the Mediterranean.  

The background of the recent continuous rise in freight rates is that many trunk lines in the shipping industry are already at full capacity.  For the reasons for the rise in freight rates, the industry and institutions generally believe that it is affected by a variety of factors, one of which is the rise in the cost of some routes.  For the follow-up freight rate trend, some insiders believe that there are still many uncertain factors, and it is impossible to make accurate and qualitative prediction. 

The Red Sea crisis has led to tight shipping capacity, the suspension of shipping lines to increase freight rates, a shortage of containers, and the recovery of demand on all continents, which have contributed to the increase in the current round of container prices.  

From the data of the Shanghai Shipping Exchange, on May 17, the Shanghai export container freight Index composite freight index rose 9.3% from the previous period (May 10) to 2,520.76 points.  

Among the routes exported from the port of Shanghai to various continents, the South American route rose the most sharply, and the freight rate for exports to the basic port market in South America rose by 22.4% compared with the previous period, reaching 6,686 US dollars /TEU.  It is worth noting that on May 10, the above Europe, the Mediterranean, North America, South America and other routes have recorded an increase of about 20%.  The freight rate of Shanghai's exports to South America's basic port market has doubled from the beginning of the year (January 5), an increase of 130.47%.

 

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