Global container shipping companies are increasing rates along some trade lanes, adding stops to existing services to the Americas, and improving transit times between India and the US East Coast via gradual returns to the Suez Canal.
PRICE HIKES
Global container shipper CMA CGM will raise rates for shipments between Oceania and the Americas by $300/TEU (20-foot equivalent unit) effective 2 November.
The increase is for cargo moving in both directions, including from Oceania to both North and South America, as well as shipments from the east coasts of the US and Canada and the US Gulf to Oceania.
The adjustments cover dry containers, refrigerated cargo, out-of-gauge (OOG) shipments and paying empty containers.
CMA CGM is also increasing rates from Asia to South America by $1,000/container effective 15 October.
This covers cargoes originating in all Asian ports, including Japan, Southeast Asia and Bangladesh.
The increase applies to dry, reefer and out-of-gauge cargo, as well as paying empty containers.
Maersk is introducing a peak season surcharge (PSS) on dry container shipments from the East Coast of South America to the US and Canada effective 5 November.
The PSS will be $1,000/container for both 20-foot and 40-foot containers.
Maersk is also increasing its import/export fuel surcharge for US inland cargo beginning 1 November to $215/container from $140/container because of rising US fuel prices.
The charge will apply to cargoes carried under a Maersk ocean bill of lading where the carrier arranges trucking to or from the customer’s door within the US.
NEW STOP IN SUAPE
Global container shippers Mediterranean Shipping Co (MSC) and Maersk are adding Suape, Brazil, to their shared service between the US Gulf and Mexico to the East Coast of South America.
The MSC Yamuna VI will make the first Suape call on 26 October.
Reasons for the adjustment include seasonal export demand, peak Asia-EC South America volumes and broader resiliency in strategies to deal with volatile global supply chains.
RETURN TO SUEZ CUTS INDIA-SAVANNAH TRANSIT TIME
Shipments from India are now reaching the US East Coast port of Savannah 10 to 14 days faster as carriers slowly begin returning to the Suez Canal route.
The Georgia Port Authority (GPA) said the shift back through the Suez Canal of Maersk’s MECL service, the INDAMEX service from CMA CGM and announcements from MSC to restore some services will shorten the time to move goods between India and the US East Coast.
Georgia Ports welcomes the transit time improvements as several major carriers return to Suez routings linking Georgia to world markets,” Kevin Price, President of Georgia Ports, said.
It has been almost three years since commercial shipping lines began avoiding the Red Sea/Suez Canal trade lane, a much shorter route for trade between Europe and Asia, because of attacks on vessels in the Red Sea from Iran-backed Houthis.
The longer route around the Cape of Good Hope initially strained capacity and sent container freight rates soaring.
Container ships and costs for shipping containers are relevant to the chemical industry because while most chemicals are liquids and are shipped in tankers, container ships transport polymers, such as polyethylene (PE) and polypropylene (PP), which are shipped in pellets. Titanium dioxide (TiO2) is also shipped in containers.
They also transport liquid chemicals in isotanks.
Source: ICIS by Adam Yanelli,
