China trade tariffs drove an early start to the ocean transpacific peak season, but with the latest tranche of China trade tariffs increasing to 25% on January 1, demand remains high. Sailings are heavily booked until late November. Carriers are cashing in with November 1’s GRIs in the $100+ range.
This week’s report
|Week 43||Week 42||Last year*|
|China – US West Coast||$2,530||2%||93%|
|China – US East Coast||$3,288||-2%||91%|
|China – North Europe||$1,441||0%||6%|
|North Europe – US East Coast||$1,826||0%||31%|
|* Compared to the corresponding week in 2017|
Transpacific rates this week stayed steady, but a $100-$200 Nov 1 GRI is expected to carry through this week.
Last week, another influence on the transpacific ocean and air freight prices crystallized when President Trump instructed the US Postal Service to levy higher fees on overseas packages. Many of the same importers to get hit by the January 1 trade tariff increase, will soon find it much easier to compete with direct selling from offshore e-commerce marketplaces.
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/