International shipping and logistics market update - Week 9/2023

Phaata International shipping and logistics market update - Week 9/2023 (Photo: Phaata)

1. Asia - Northern America route

The capacity of the Asia-Northern America route is still available after the Lunar New Year (LNY).

The market demand seems to have recovered normal after the Lunar New Year, but the capacity supply is still higher than the previous years. It is forecasted that many sailings on the Asia-Northern America route will be canceled to stabilize the rates.

- Freight rates: The freight rates from Asia to the West Coast of North America in the week 9/2023 plummeted to 1,260 USD/FEU, equivalent to a decrease of 5.19% compared to the previous week and a decrease of 9.48% compared to the previous month, according to Xeneta data.

- Space: Available. Capacity is forecast to increase over the next few weeks and more blanked sailings are likely in the near term.

- Equipment: Available

Recommendation: Bookings should be booked at least 2 weeks in advance of the scheduled departure date (ETD). Shippers note flexibility in shipping plans when there are frequent blanked sailings recently.

Asia- US West Coast Freight rate | Week 9/2023 (Image: Phaata.com)

2. Asia - Northern Europe route:

Demand for shipping has been improved, but bookings for the next few weeks remain low.

The capacity is still available in the second half of February. The price is still under pressure decreasing due to imbalance supply and demand.

The average forecast of about 15% of the sailings is canceled in the weeks 8/9/10 to adjust due to reduced demand. It is expected that carriers will cancel more sailings in early March.

- Freight rates: Rates from Asia to Northern Europe week 9/2023 continue to drop sharply to 1.505 USD/FeU, equivalent to a decrease of 4.02% compared to the previous week and decreased by 8.84% compared to the previous month, according to xeneta data.

- Space: Generally available, despite the impact of blanked sailings and vessel delays.

- Container equipment: Most are available.

Recommendation: Shippers should be flexible in planning their shipping when congestion and delays occur. In addition, shippers should also note that many blank sailings today.

Asia-Northern Europe Freight rate | Week 9/2023 (Image: Phaata.com)

3. Northern America - Asia route:

Spaces are available on all of these route services. Supply capacity has outstripped demand and shipping lines are trying to find cargo to transport.

All services to the Asia Pacific (APAC) region have very low capacity utilization, with no space restrictions. Congestion has been cleared across most North American container yards thanks to improved operations due to less demand.

Capacity on the North America-Asia route in Q1 is forecast to remain the same. With the agricultural season in North America starting in Q1, demand is likely to pick up in the near future, but even with that peak demand, supply outstrips demand.

Forecast most of the existing load will be kept until the end of the first quarter and the beginning of the second quarter.

- Freight rate: Freight rates from North America (West Coast) to Asia in the week 9/2023 decreased by 0.77% compared to the previous week, to 1,027 USD/FEU. This price increased by 1.18% compared to the previous month.

- Space: Stable for West Coast ports, and has improved in US East Coast ports.

- Empty container equipment: Container equipment is mostly available.

Recommendation: Shippers should make reservations 1-2 weeks before the estimated time departure (ETD) for direct services at major ports. Make reservations 2-3 weeks in advance for inland services in the US or transshipment services on this route. US West Coast - Asia Freight rate | Week 9/2023 (Image: Phaata.com)

4. Northern Europe-Asia route:

- Freight rates: Freight rates from Northern Europe to Asia in the week 9/2023 increased sharply by 9.93% compared to the previous week, to 620 USD/FEU. This price increased by 8.77% compared to the previous month.

- Container equipment: Most are available.

Recommendation: Shippers should take note of flexibility in their shipping planning when upcoming congestion and delays are expected.

Northern Europe - Asia Freight rate | Week 9/2023 (Image: Phaata.com)

Find Freight rates here.
 
Find Logistics Companies here.

Read more:

• Sea shipping costs dip amid sliding demand
• Hapag-Lloyd announces financial results for 2022 and forecast for 2023
• Exported container freight rates from Shanghai reduced on all routes
• Thailand promotes investment in logistics infrastructure billions of dollars to promote economy

Source: Phaata.com 

Phaata.com - Vietnam's First Global Logistics Marketplace

► Find better Freight rates & Logistics services!