Spotlight

Asia-US East Coast container spot rates plunge more than usual

Container spot rate movements from North Asia to US Coasts USD per FEU

$ 13,376

$ 12,000

$ 10,000

USD per FEU

$ 8,000 $ 10,000 $ 6,000

$ 4,000

$ 2,000

$ 0 L 2021 2022 Nov , 2022 2023 2024

North Asia to US East Coast North Asia to US West Coast

Source : Platts , S & P Global

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upholding the earlier decision , the FMC also increased the size of the damages awarded to OJC from $ 10 million to $ 17.5 million based on a recalculation of the profits it lost from not having a 2021 contract in place . In its appeal , Hamburg Sud argued that OJC ’ s allegations were more fitting for a breach of contract claim than violations of the US Shipping Act .

Asia- East Coast container spot rates crumbling

A front-loading of shipments ahead of a threatened port strike threat , coupled with intensified rate pressures , is sending Asia container spot rates to the East

Coast plunging faster than usual on the trade lane . Container spot rates from Asia to the US East and Gulf coasts fell $ 2,300 per FEU in the first week of September much faster than in past years , as peak-season shipments on all-water services drop off and retailers , fearing a dockworker strike on the East and Gulf coasts on Oct . 1 , shift discretionary cargo to the West Coast . Furthermore , carriers this year are utilizing special or “ bullet ” rates to compete for cargo in what has become a slowing market from Asia to the East Coast . “ Now the carriers are willing to wheel and deal ,” Jon Monroe , who serves as an advisor to non-vessel-operating common carriers ( NVOs ), told Journal of Commerce . Monroe said some carriers , concerned about excess capacity emerging later this year , are approaching certain customers about locking these new rates into service contracts that would run through April 30 , 2025 . effect on May 1 next year .

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