Drewry WCI rises for third week as carriers lift spot rates

Spot rates from Shanghai to Los Angeles rose 6 per cent to $2,438 per 40-foot container, while those to New York increased 4 per cent to $3,568. Rates from Shanghai to Rotterdam climbed 3 per cent to $1,795 per 40-foot container, and from Shanghai to Genoa advanced 5 per cent to $1,955.

Freight rates from Rotterdam to Shanghai gained 1 per cent to $463 per FEU. However, rates from New York to Rotterdam eased 1 per cent to $846 per FEU, while those from Rotterdam to New York fell 2 per cent to $1,678 per FEU. Rates from Los Angeles to Shanghai remained steady at $706 per FEU.

Drewry expects a slight rate increase next week, driven by the implementation of General Rate Increases (GRIs) on November 1. However, this momentum is likely to be short-lived, with rates expected to decline soon after.

Carriers on the Asia–Europe trade route are attempting to lift spot rates by introducing higher Freight All Kinds (FAK) rates effective November 1, aiming to strengthen prices before the start of the new annual contract negotiation season.

Drewry’s Container Forecaster anticipates the supply-demand balance will weaken in the coming quarters, leading to further contraction in spot rates.

ALCHEMPro News Desk (KUL)