“As the China-US tariff war ratcheted up, many US importers stocked up in advance of the high-turnover Thanksgiving and Christmas seasons. That meant several months of successful GRIs. In effect, peak season came early.
But, in the pre-Golden Week bottleneck – traditionally a favorable time for GRIs to stick – the September 15 and the October 1 GRIs were both canceled. It looks like peak season is ending early too.
– Zvi Schreiber, CEO Freightos
This week’s report
|Week 39||Week 38||Last year*|
|China – US West Coast||$2,280||-1%||56%|
|China – US East Coast||$3,530||1%||67%|
|China – North Europe||$1,776||5%||14%|
|North Europe – US East Coast||$1,635||0%||27%|
|* Compared to the corresponding week in 2017|
Many US importers have stocked up in advance to beat new trade tariffs and get stock out before China’s Golden Week shutdown. With carriers unsure how much demand will pick up after Golden Week, the past two GRIs have been cancelled. China-West Coast prices stayed flat (China-West Coast dropping $18 and China-East Coast rising $26).
As uncertain as transpacific rates may be, they are still 56% and 67% up on this time last year for China-West Coast and China-East Coast, respectively. The imposition of blank sailings and FAK rate decreases by CMA CGM and Maersk have seen China-Europe prices drop from September 9’s $2,200 peak to $1,685 last week, and have stabilized somewhat at $1,776.
The Freightos Baltic Indices reflect weekly spot rates for 40-foot containers based on 12 to 18 million price points collected every week on 12 main shipping trade lanes. The data includes a headline index – the FBX Global Container Index (FBX) – a weighted average of the 12 underlying route indexes. This data is published every Sunday. See www.balticexchange.com/market-information/containers/