International shipping and logistics market update - Week 50/2024

International shipping and logistics market update - Week 50/2024

The Drewry Composite World Container Freight Index for week 50/2024 remained stable compared to the previous week at $3,529/FEU. This freight index is 148% higher than the pre-pandemic average of 2019 ($1,420).

Drewry’s World Container Index Week 50/2024 (Photo: Phaata | Source: Drewry)

1. Asia - Northern America route

Ocean freight rates from Asia to the West Coast of North America in week 50/2024 continued to decrease slightly by 1.98% compared to the previous week, to USD 4,000/FEU; this price is down 21.66% compared to the previous month, according to Xeneta data.

Carriers have added vessels to this route in late November, causing rates from Asia to the US West Coast to fall sharply in early December. Carriers are preparing for a General Rate Increase (GRI) on December 15, but this will depend on the anticipated volume increase ahead of Lunar New Year and before the new tariffs are implemented.

Rates from Asia to the US East and Gulf Coast remain stable as most services are fully utilized until mid-December.

Peak Season Surcharges (PSS) may be adjusted downward for the US West Coast routes effective December 1, while there are no changes for the East Coast or Gulf routes at this time.

ILA negotiations and potential tariff actions remain the main pressures on rates and capacity on this trade.

Asia-US West Coast Freight rate | Week 50/2024 (Image: Phaata.com)

2. Asia - Northern Europe route:

Shipping lines have applied December GRI at USD 5,300-5,500/FEU. This has caused freight rates on this route to increase sharply at the beginning of the month.

Freight rates from Asia to North Europe in week 50/2024 remained stable compared to the previous week, at USD 5,042/FEU; this price increased by 23.88% compared to the previous month, according to Xeneta data.

Demand increased slightly and is expected to stabilize in the second half of December due to the holiday season in Europe.

Specific equipment shortages are occurring at major ports in China but remain manageable. For shippers who need to secure space and an expected time of departure (ETD) can consider choosing the "premium" service of the shipping lines.

Asia-Northern Europe Freight rate | Week 50/2024 (Image: Phaata.com)

3. Northern America - Asia route:

Freight rates from North America (West Coast) to Asia in week 50/2024 remained stable compared to the previous week, at USD 677/FEU. This price decreased by 3.42% compared to the previous month, according to Xeneta data.

US West Coast - Asia Freight rate | Week 50/2024 (Image: Phaata.com)

4. Northern Europe-Asia route:

Freight rates from North Europe to Asia continued to decline slightly in the week of 50/2024 increased slightly to USD 344/FEU, up 2.69% compared to the previous week; this price decreased 2.82% compared to the previous month, according to Xeneta data.

Northern Europe - Asia Freight rate | Week 50/2024 (Image: Phaata.com)

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Read more:

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• Global Shipping Market Faces Growing Challenges
• ZIM Updates Trans-Pacific Network
• Structure and market share of shipping alliances change in 2025
• International shipping and logistics market update - Week 49/2024
• Asia-Europe Rates Rise with December GRIs
• COSCO schedules: Vietnam - North America in Dec 2024
• SITC updates Vietnam-Intra Asia sailing schedules in Dec 2024
• Pacific Lines updates domestic sailing schedules in Dec 2024

Source: Phaata.com 

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