Maritime rates back on the rise
Container import demand has been elevated but stable. Why are rates volatile? The post Maritime rates back on the rise appeared first on FreightWaves .
Shipping rates for forty-foot containers from China to North America's East and West Coasts have begun to rise again after falling through most of July, according to Freightos. The East Coast lane, influenced by the ongoing conflict with Iran, has increased by roughly $413 since the end of July, while rates to the West Coast have jumped by $1,328, as of August 13.
The supply side appears to be the primary driver of this rate volatility rather than demand fluctuations. Demand for twenty-foot equivalent units (TEUs) from China to the U.S. has actually decreased by 4% year-over-year through the first two weeks of August. Spot rates from China to the North American West Coast are nearly triple what they were at this point last year.
Higher fuel costs and a strong El Niño cycle disrupting port activity in southern China have also been cited as factors contributing to the increase in rates.
Written by urgent.news from FreightWaves's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
