3/31/2014 9:17:37 AM
Multiple carriers have planned rate increases in various trade lanes in April and May, although any gains achieved could be fleeting as overcapacity and lackluster global demand continues.
However, according to investment firm Jefferies, the container shipping industry’s supply and demand gap is narrowing this year, which will help carriers improve profitability. Furthermore, as carriers head into the rate-negotiation season after a difficult fall of 2013, they may be able to negotiate modest contract rate increases on the trans-Pacific, according to Esben Christensen, director of global maritime practice at AlixPartners.
Maersk Line plans to implement a general rate increase of $650 per 20-foot container and $1,300 per 40-foot and 45-foot container on its trade from the Far East, excluding Japan, to the Mediterranean, excluding Syria, effective April 1. For shipments to Syria, the hike will be $500 per 20-foot container and $1,000 per 40-foot and 45-foot container.
CMA CGM aims to increase rates on its trade from India, Pakistan and Sri Lanka to North Europe, Scandinavia, the Mediterranean, Baltic, Black Sea, North Africa, Central America, the Caribbean and South America by $200 per 20-foot container and $300 per 40-foot container, starting April 15.
CMA CGM has proposed a rate hike of $250 per TEU on shipments from Asia, including Japan, Southeast Asia and Bangladesh, to West Africa, beginning May 1.
On the same date, Mediterranean Shipping Co. will try to implement a rate hike of $250 per 20-foot container and $500 per 40-foot container on cargo from the Far East to West Africa and Angola.