NORTHERN range ports, including Rotterdam, Hamburg, and Bremen, are witnessing notable week-on-week increases in container prices, reports the American Journal of Transportation.
Some of the main ports are posting significant week-to-week price increases because of the rising war risk in the red Sea, said Container xChange CEO Christian Roeloffs.
'The market anticipates that especially in Europe which is on the receiving end of import containers from the Middle East, India, southeast Asia and China, that container scarcity will lead to an increase in container prices and the market.'
'Ports at the receiving end of those import containers, like the port of Rotterdam and Hamburg, are recording a significant increase in container prices over the last two weeks since the situation in the Red Sea started to escalate,' said Mr Roeloffs.
'A consistent pricing trend is observed in the surge of freight rates. Xeneta's reports indicate a spot rate increase of 20 to 30 per cent on major East-West corridors.'
'The key question for the industry is the duration of the current situation. Is it a temporary disturbance, a bump in the road, or are carriers capitalising on the situation as container vessels are diverted around the southern tip of Africa, adding strain due to the Suez Canal's inaccessibility,' he said.
'The lingering question is the duration of this circumstance and when naval forces, particularly from Egypt, Great Britain, France, and the US, will take control of security in the Red Sea.'
'Industry sources suggest that this task might not be straightforward. Forming convoys could impede traffic, and addressing drone boat attacks poses challenges, especially considering the difficulty of detecting these boats in high-traffic areas like the Red Sea,' said Mr Roeloffs.
SeaNews Turkey
Some of the main ports are posting significant week-to-week price increases because of the rising war risk in the red Sea, said Container xChange CEO Christian Roeloffs.
'The market anticipates that especially in Europe which is on the receiving end of import containers from the Middle East, India, southeast Asia and China, that container scarcity will lead to an increase in container prices and the market.'
'Ports at the receiving end of those import containers, like the port of Rotterdam and Hamburg, are recording a significant increase in container prices over the last two weeks since the situation in the Red Sea started to escalate,' said Mr Roeloffs.
'A consistent pricing trend is observed in the surge of freight rates. Xeneta's reports indicate a spot rate increase of 20 to 30 per cent on major East-West corridors.'
'The key question for the industry is the duration of the current situation. Is it a temporary disturbance, a bump in the road, or are carriers capitalising on the situation as container vessels are diverted around the southern tip of Africa, adding strain due to the Suez Canal's inaccessibility,' he said.
'The lingering question is the duration of this circumstance and when naval forces, particularly from Egypt, Great Britain, France, and the US, will take control of security in the Red Sea.'
'Industry sources suggest that this task might not be straightforward. Forming convoys could impede traffic, and addressing drone boat attacks poses challenges, especially considering the difficulty of detecting these boats in high-traffic areas like the Red Sea,' said Mr Roeloffs.
SeaNews Turkey
