SPOT rates from the Shanghai Containerised Freight Index (SCFI) hit an all-time high on the Asia-US east coast route climbing to US$5,049 per FEU last week.
This was attributed to shippers seeking the peace of strife-free east coast US ports while the congested west coast boils in acrimony on the edge of a strike or lockout.
SCFI shows that rates on the Asia-US east coast trade rose by another $71, or 1.4 per cent, to $5,049 per FEU, up 50 per cent on the year-on-year rate of $3,363 per FEU
Meanwhile, Asia-US west coast freight rates increased one per cent to $2,265 per FEU. The west coast situation continued to deteriorate with carriers cancelling port calls with Korea's Hanjin Shipping pulling out of Portland, and Maersk and MSC dropping Oakland.
Freight Investor Services broker Richard Ward said some carriers had reduced bunker adjustment factors from $600 to below $300 per TEU over the past 12 months.
Asia-Europe headhaul rates could fall to as low as $300 per TEU on the back of falling bunker prices, he said, reported Lloyd's Loading List.
Meanwhile, rates to Mediterranean ports from Asia slipped 1.3 per cent to $1,355 per TEU, according to the latest SCFI.
Increasingly large vessels being cascaded down to the east coast of South America route has depressed rates. In response Maersk and MSC of the 2M Alliance are reducing capacity.
"Rates from Asia to Santos have also been badly affected in recent times, with worsening volatility on the route creating significant peaks and troughs," said Mr Ward.
"The trend is unsurprising," he said, pointing to the arrival of the 10,622-TEU CMA CGM Tigris at Santos. "This toxic mix of upscaling and cascading is continuing to depress rates," he said.
The latest SCFI shows that rates on the Asia-east coast South America trade fell for the fifth consecutive week by a further 2.9 per cent to $760 per TEU.
WORLD SHIPPING
18 February 2015 - 21:36
Record spot rates to US east coast as shippers seek peace of mind
SPOT rates from the Shanghai Containerised Freight Index (SCFI) hit an all-time high on the Asia-US east coast route climbing to US$5,049 per FEU last week.
WORLD SHIPPING
18 February 2015 - 21:36
Record spot rates to US east coast as shippers seek peace of mind
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