The European route is up sharply, the American West line is blown
Container freight index ended eight consecutive weeks of decline, Shanghai export freight index rose by 6%, the four major routes rebounded, shipping companies plan to raise prices in November, the market chaos but freight rates stabilized, European and American line freight rates rebounded.
The container freight index ended an eight-week losing streak. The latest release of the Shanghai Container Export Freight Index (SCFI) shows that the index rose sharply by 123.18 points to 2185.33 points, a weekly increase of 6%. In the rise, the four main routes showed a rebound trend, of which the Far East to Europe and the Far East to the Mediterranean freight rate rebound rate of more than 10%; The freight rate from the Far East to the East of the United States has also re-stood the $5,000 mark, and the industry is expected to smoothly increase the GRI (comprehensive rate increase surcharge) in November.
Specifically, the rise of Shanghai export freight index SCFI was mainly due to the synchronous rebound of major routes in Europe and the United States. Among them, the European line and the Mediterranean line rose 14.15% and 10.51%, respectively, becoming the main driving force for the overall index to rise; The West and East lines were up 1.21% and 2.61%, respectively.
The successful rise in the off-season shows the firm determination of the shipping company to push up. Since the beginning of July, freight rates have continued to fall, and shipping companies have tried to stimulate shipments and stabilize freight rates through technical adjustments to shipping space (such as empty flights, slow sailing) and the strategy of rising to stop falling. These measures are gradually reflected in the decline of the SCFI index, which was almost flat last week and reversed to positive this week.
In the past week or two, the news of tight shipping space on the European and Mediterranean lines has come out. Shipping companies are targeting ships departing from Asia in early November, which are expected to catch up with Christmas and New Year demand in Europe. Therefore, European shipping companies take the lead in charging cabin fees, charging about 300 to 500 US dollars per 40 feet container, and have issued GRI price increase notices. Maersk, CMA CGM and other shipping companies announced price increases on the 25th and 27th respectively, and some shipping companies plan to raise prices on November 1, which is said to range from 1400 to 1600 US dollars per 40 feet container, which may be reflected in the rise of SCFI this week.
However, for the European line and the Mediterranean line can maintain how long and how much rise, a number of freight forwarders said it still needs to be observed. Ships from the second half of November to the first half of December have no year-end festival cargo to transport, and whether the reduction in cargo volume can support freight rates has become the key. Next, it may have to wait until the second half of December, that is, before the Chinese Lunar Year holiday, when Europe and the United States stock demand, there may be a wave of small peak season. As long as the cargo is sufficient, the shipping line may still consider another round of price increases.
In terms of the United States line, the freight rate of the United States West remained basically stable, and the news of many ships bursting on the southwest route of the United States. The eastern route of the United States was affected by the strike, and some ships could not return on time. Coupled with shipping company adjustment of shipping space and other factors, the United States East route successfully pulled up 100 dollars. However, whether this increase can be maintained depends on the quantity of goods next week.
Freight forwarding industry sources revealed that shipping companies have notified the United States line will be in November 1 price increases. MSC (Mediterranean Shipping) plans to raise prices by $500 to $800, and CMA CGM, COSCO Shipping and other shipping companies plan to raise prices by about $1,500. This shows the differences in how shipping companies see the future market.
Logistics analysts believe that although the strike in the United States seems to have been solved, the subsequent impact is just beginning to emerge. Recently, the situation of the consolidation market is chaotic, and the strike in the East of the United States has caused some goods to be diverted to the West of the United States, causing the West of the United States line to burst. But the situation eased slightly this week. With the shipping company actively stabilizing freight rates, according to the current market situation analysis, the possibility of adding GRI 500 to 1,000 US dollars to the freight rate of the North American line from November cannot be ruled out.
Industry insiders point out that the current market conditions remain elusive. Although the strike only lasted for three days, it still caused some flight delays and cargo diversion to the United States and West. That led to an explosion on the West Coast, which eased slightly this week. Shipping companies have also begun to offer, such as MSC this week quoted US $4,950 west line, US $5,350 East line, up about 500 to 800 US dollars; Evergreen Europe is quoted at about $4,650. However, in terms of the current volume of goods, the probability of price increases in the West is higher; The Eastern and European lines require constant observation.
In addition, the problem of insufficient global container ship scheduling has also exacerbated market volatility. After the release of demand for goods, the sluggish European line has fully counterattacked. The freight rate from the Far East to Europe reached $2226 per TEU, up $276 from the previous period, a weekly increase of 14.2%, returning to the $2000 mark; The Far East to Mediterranean freight rate reached $2,555 per TEU, up $243 or 10.5% from the previous period.
In addition, the problem of insufficient global container ship scheduling has also exacerbated market volatility. After the release of demand for goods, the sluggish European line has fully counterattacked. The freight rate from the Far East to Europe reached $2226 per TEU, up $276 from the previous period, a weekly increase of 14.2%, returning to the $2000 mark; The Far East to Mediterranean freight rate reached $2,555 per TEU, up $243 or 10.5% from the previous period.
According to the latest freight data, the North American line has also stopped falling. Far East to West America per FEU (40 feet container) reached 4,783 US dollars, up 57 US dollars, or 1.2% from the previous period; The Far East to the East of the United States per FEU reached $5099, up $130 from the previous period, an increase of 2.6%, back to more than $5,000.
According to Delulie statistics show that the world's major shipping companies in response to the first two months of sluggish market demand and ship scheduling by the Red Sea and the United States East strike and other factors, the market capacity adjustment. Between Week 40 (September 30 to October 6) and Week 44 (October 28 to November 3), 100 cancellations have been announced, with a high cancellation rate of 14%. 63% of the blank flights were on trans-Pacific eastbound routes (usually from Asia to North America); Another 23% occurred on the Asia-Northern Europe and Mediterranean routes; 14% occurred on the westbound transatlantic route.
SCFI index
Shanghai to Europe line freight rate of 2226 US dollars /TEU, up 276 US dollars, an increase of 14.15%;
Shanghai to the Mediterranean freight rate of 2,555 USD /TEU, up 243 USD, an increase of 10.51%;
Shanghai to the United States West freight 4783 US dollars /FEU, up 57 US dollars, an increase of 1.21%;
Shanghai to the United States East freight 5099 US dollars /FEU, up 130 US dollars a week, an increase of 2.61%;
Persian Gulf route freight 1,427 US dollars, up 234 US dollars, an increase of 19.61%;
South American route (Santos) freight of $6285, up $50 a week, or 0.80%;
Australia and New Zealand route freight of $2026, up $60 a week, an increase of 3.05%;
Southeast Asia line (Singapore) freight 464 US dollars, up 44 US dollars, an increase of 10.48%.
The Far East to Kansai, Japan increased by $2 per TEU from the previous phase, the Far East to Kanto, Japan increased by $1 per TEU from the previous phase, and the Far East to South Korea increased by $2 per TEU from the previous phase.
The container freight index ended an eight-week losing streak. The latest release of the Shanghai Container Export Freight Index (SCFI) shows that the index rose sharply by 123.18 points to 2185.33 points, a weekly increase of 6%. In the rise, the four main routes showed a rebound trend, of which the Far East to Europe and the Far East to the Mediterranean freight rate rebound rate of more than 10%; The freight rate from the Far East to the East of the United States has also re-stood the $5,000 mark, and the industry is expected to smoothly increase the GRI (comprehensive rate increase surcharge) in November.
Specifically, the rise of Shanghai export freight index SCFI was mainly due to the synchronous rebound of major routes in Europe and the United States. Among them, the European line and the Mediterranean line rose 14.15% and 10.51%, respectively, becoming the main driving force for the overall index to rise; The West and East lines were up 1.21% and 2.61%, respectively.
The successful rise in the off-season shows the firm determination of the shipping company to push up. Since the beginning of July, freight rates have continued to fall, and shipping companies have tried to stimulate shipments and stabilize freight rates through technical adjustments to shipping space (such as empty flights, slow sailing) and the strategy of rising to stop falling. These measures are gradually reflected in the decline of the SCFI index, which was almost flat last week and reversed to positive this week.
In the past week or two, the news of tight shipping space on the European and Mediterranean lines has come out. Shipping companies are targeting ships departing from Asia in early November, which are expected to catch up with Christmas and New Year demand in Europe. Therefore, European shipping companies take the lead in charging cabin fees, charging about 300 to 500 US dollars per 40 feet container, and have issued GRI price increase notices. Maersk, CMA CGM and other shipping companies announced price increases on the 25th and 27th respectively, and some shipping companies plan to raise prices on November 1, which is said to range from 1400 to 1600 US dollars per 40 feet container, which may be reflected in the rise of SCFI this week.
However, for the European line and the Mediterranean line can maintain how long and how much rise, a number of freight forwarders said it still needs to be observed. Ships from the second half of November to the first half of December have no year-end festival cargo to transport, and whether the reduction in cargo volume can support freight rates has become the key. Next, it may have to wait until the second half of December, that is, before the Chinese Lunar Year holiday, when Europe and the United States stock demand, there may be a wave of small peak season. As long as the cargo is sufficient, the shipping line may still consider another round of price increases.
In terms of the United States line, the freight rate of the United States West remained basically stable, and the news of many ships bursting on the southwest route of the United States. The eastern route of the United States was affected by the strike, and some ships could not return on time. Coupled with shipping company adjustment of shipping space and other factors, the United States East route successfully pulled up 100 dollars. However, whether this increase can be maintained depends on the quantity of goods next week.
Freight forwarding industry sources revealed that shipping companies have notified the United States line will be in November 1 price increases. MSC (Mediterranean Shipping) plans to raise prices by $500 to $800, and CMA CGM, COSCO Shipping and other shipping companies plan to raise prices by about $1,500. This shows the differences in how shipping companies see the future market.
Logistics analysts believe that although the strike in the United States seems to have been solved, the subsequent impact is just beginning to emerge. Recently, the situation of the consolidation market is chaotic, and the strike in the East of the United States has caused some goods to be diverted to the West of the United States, causing the West of the United States line to burst. But the situation eased slightly this week. With the shipping company actively stabilizing freight rates, according to the current market situation analysis, the possibility of adding GRI 500 to 1,000 US dollars to the freight rate of the North American line from November cannot be ruled out.
Industry insiders point out that the current market conditions remain elusive. Although the strike only lasted for three days, it still caused some flight delays and cargo diversion to the United States and West. That led to an explosion on the West Coast, which eased slightly this week. Shipping companies have also begun to offer, such as MSC this week quoted US $4,950 west line, US $5,350 East line, up about 500 to 800 US dollars; Evergreen Europe is quoted at about $4,650. However, in terms of the current volume of goods, the probability of price increases in the West is higher; The Eastern and European lines require constant observation.
In addition, the problem of insufficient global container ship scheduling has also exacerbated market volatility. After the release of demand for goods, the sluggish European line has fully counterattacked. The freight rate from the Far East to Europe reached $2226 per TEU, up $276 from the previous period, a weekly increase of 14.2%, returning to the $2000 mark; The Far East to Mediterranean freight rate reached $2,555 per TEU, up $243 or 10.5% from the previous period.
In addition, the problem of insufficient global container ship scheduling has also exacerbated market volatility. After the release of demand for goods, the sluggish European line has fully counterattacked. The freight rate from the Far East to Europe reached $2226 per TEU, up $276 from the previous period, a weekly increase of 14.2%, returning to the $2000 mark; The Far East to Mediterranean freight rate reached $2,555 per TEU, up $243 or 10.5% from the previous period.
According to the latest freight data, the North American line has also stopped falling. Far East to West America per FEU (40 feet container) reached 4,783 US dollars, up 57 US dollars, or 1.2% from the previous period; The Far East to the East of the United States per FEU reached $5099, up $130 from the previous period, an increase of 2.6%, back to more than $5,000.
According to Delulie statistics show that the world's major shipping companies in response to the first two months of sluggish market demand and ship scheduling by the Red Sea and the United States East strike and other factors, the market capacity adjustment. Between Week 40 (September 30 to October 6) and Week 44 (October 28 to November 3), 100 cancellations have been announced, with a high cancellation rate of 14%. 63% of the blank flights were on trans-Pacific eastbound routes (usually from Asia to North America); Another 23% occurred on the Asia-Northern Europe and Mediterranean routes; 14% occurred on the westbound transatlantic route.
SCFI index
Shanghai to Europe line freight rate of 2226 US dollars /TEU, up 276 US dollars, an increase of 14.15%;
Shanghai to the Mediterranean freight rate of 2,555 USD /TEU, up 243 USD, an increase of 10.51%;
Shanghai to the United States West freight 4783 US dollars /FEU, up 57 US dollars, an increase of 1.21%;
Shanghai to the United States East freight 5099 US dollars /FEU, up 130 US dollars a week, an increase of 2.61%;
Persian Gulf route freight 1,427 US dollars, up 234 US dollars, an increase of 19.61%;
South American route (Santos) freight of $6285, up $50 a week, or 0.80%;
Australia and New Zealand route freight of $2026, up $60 a week, an increase of 3.05%;
Southeast Asia line (Singapore) freight 464 US dollars, up 44 US dollars, an increase of 10.48%.
The Far East to Kansai, Japan increased by $2 per TEU from the previous phase, the Far East to Kanto, Japan increased by $1 per TEU from the previous phase, and the Far East to South Korea increased by $2 per TEU from the previous phase.
