Mainline operators are looking for a price hike in Asia-U.S. West Coast rates in mid-August to undo the recent correction.
Hikes of $1,000 per 40ft have been announced for August 15, by carriers hoping to halt the declines of the past three weeks.
On Friday, the Shanghai Containerized Freight Index showed Shanghai-U.S. West Coast rates lost about 7% from the previous week, averaging $6,663 per 40ft, although this remained above the $1,943 of a year ago.
Linerlytica’s report on Tuesday notes: “The carriers’ resolve will be keenly tested, as recent capacity additions on the Asia-to-USWC and Mexico routes have tilted the supply-demand balance on the previously tight market, with capacity utilization falling despite strong peak season cargo demand.”
Read more in an article from The Loadstar.