Market update Week 51
[Ocean - TPEB]
- Rates: Shipping lines successfully implemented a General Rate Increase (GRI) as of December 15th, with only minor adjustments and rate corrections observed so far. The first Peak Season Surcharge (PSS) announcements indicate a planned increase for January 2025.
- Blank sailing: A moderate blank sailing program was in place for December 2024, with 92% available capacity. For January 2025, capacity is expected to be 97%. Additional blank sailings are likely to be announced soon for January and February to account for the Lunar New Year and network changes on the Transpacific trade lane.
- Equipment: No significant equipment (EQ) issues have been reported at origin.
[Ocean - FEWB]
- Demand: Market demand matches operating capacity, supporting stable rates.
- Supply: Market volume is stronger compared to November, but supply capacity is sufficient. Vessel return speed is a key factor influencing the supply side.
- Rates: 2H December FEWB FAK rates remain stable, with Shanghai Containerized Freight Index (SCFI) fluctuations within a narrow range.
- Equipment: There have been occasional equipment shortages at major Chinese ports, but they remain manageable. Timely Equipment Interchange Receipt (EIR) printing and earlier equipment pickups can reduce the risk of missed cargo loading for clients.
[Ocean - TAWB]
- Capacity: Demand remains high due to the possibility of a potential ILA strike on the 15th of January. Canadian ports still face congestion due to recent strikes.
- Space: Space is still limited, primarily in the WMED, where even extra loaders are running full for WMED and NEUR. EMED services are almost running full.
- Rates: 2H of December followed the same trend as 1H of December, along with November. For January, the majority of carriers are extending their rates.
[Air - Global] Mon 02 Dec - Sun 08 Dec 2024 (Week 49):
- Spot rate growth (Week 49, WoW & YoY): Global average spot rates rose by +4% WoW to $3.30/kg, reaching a 2024 high. Asia-Pacific origins saw an +8% WoW increase to $4.86/kg, up +19% YoY. Spot rates from Africa increased +12% WoW, while Europe origins rose +3% WoW to $2.93/kg, with a +4% WoW rise to North America ($3.97/kg).
- Regional spot rate trends (Asia to Europe): Taiwan to Europe rates surged +20% WoW to $4.76/kg, while China to Europe increased +12% WoW to $5.52/kg. Hong Kong to Europe rates dipped slightly (-1% WoW), but remained elevated at $6.22/kg. Significant YoY increases to Europe were noted from Indonesia (+94%), Thailand (+67%), Malaysia (+50%), Singapore (+42%), and Vietnam (+30%).
- Tonnage trends (Week 49, WoW): Global air cargo tonnages rose +1% WoW, driven by a +14% WoW rebound from North America origins (+15% from the U.S.). Notable WoW volume increases were seen on lanes from China to the U.S. (+10%) and Europe (+12%).
- Year-on-year (YoY) spot rate overview (Week 49): Average worldwide spot rates rose +21% YoY, led by Middle East & South Asia origins (+62%), the Asia-Pacific (+19%), and Europe (+19%).
Source: worldacd.com
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