The flow of goods is gradually smoothing out for U.S. retailers as the drought in the Panama Canal begins to improve and supply chains adapt to the ongoing Red Sea crisis.
At the same time, the back-to-school season and the holiday shopping season are approaching, and industry insiders predict that cargo imports at major U.S. container ports are expected to get back on track in the first half of 2024, achieving year-on-year growth.
The eastern region of the United States is the main destination for China's exports to the United States, accounting for about 70% of China's exports to the United States. As demand increases, U.S. lines have experienced sharp increases in freight rates and space explosions!
With U.S. freight rates soaring and shipping space tight, cargo owners and freight forwarders have also begun to "extremely push". The price obtained by the cargo owner during the inquiry may not be the final transaction price, and may change at every moment before booking. Senghor Logistics as a freight forwarding company also feels the same: freight prices change every day, and we really don’t know how to quote, and there is still a shortage of space everywhere.
Recently, the shipping time to Canada has been extremely delayed. Due to the strike of railway workers, logistics interruption and congestion, the container in Vancouver, Prince Rupert, estimates that it will take 2-3 weeks to get on the train.
The same applies to shipping rates in Europe, South America and Africa. Shipping companies have also begun to increase prices during peak seasons. As the demand for restocking increases, factors such as ship detours caused by geopolitical risks, and even strikes have led to capacity gaps. For sea freight shipping to South America, even if you have money, there is no space.
It is worth noting that sea freight prices continue to rise, and air freight and rail freight prices have also skyrocketed. The main reason for the sharp rise in international freight rates this time is that there are temporary market fluctuations, which gives shipowners an opportunity to readjust routes and freight rates.
Senghor Logistics is also deeply involved in the chaos of the freight market. Before the Red Sea Crisis, according to the trend of freight rates in previous years, we predicted that the freight rates would go down. However, due to the Red Sea Crisis and other reasons, the prices have become high again. In previous years, we were able to predict price trends and prepare logistics cost budgets for customers, but now we cannot predict them at all, and it is so chaotic that there is no order. With many ships suspended and demand for goods increasing, shipping companies have begun to increase prices. Now we have to quote prices three times a week for one inquiry. This greatly increases the pressure on cargo owners and freight forwarders.
In the face of frequently fluctuating international transportation prices, Senghor Logistics’ quotations are always up-to-date and authentic, and we are actively looking for shipping space for our customers. For customers who are in a hurry to ship goods, they are very happy that we have obtained shipping space for them.
Post time: May-16-2024
