Asia-US container rates soar past $11,000, near pandemic records
Xeneta: Asia-US spot rates are nearing pandemic records after surging more than 320% since late February. The post Asia-US container rates soar past $11,000, near pandemic records appeared first on FreightWaves .
Oceans shipping companies are profiting from a sharp increase in container freight prices from Asia to the United States. As of September 17, the cost to ship a 40-foot shipping container from the Far East to the U.S. West Coast had reached $7,960, and the East Coast rate climbed to $11,259. Both rates have nearly quadrupled since late February, when prices were disrupted by the Hormuz crisis.
The Far East-U.S. East Coast trade is more likely to set a new record, as the current spot rate is only 11.2% below the record $12,683 per FEU set on January 1, 2022. The Far East-U.S. West Coast rate remains 17.9% below its $9,699 per FEU peak reached on February 1, 2022. Analysts say rising fuel costs could push rates higher, with a new record potentially breaking on the trade into U.S. East Coast.
Carriers are adding capacity to take advantage of the current pricing environment before market conditions change within the next two to three weeks. A further rate increase is expected before the Golden Week holiday in October, as shippers rush cargo out of Asia before factory shutdowns.
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