Global tensions over trade have risen with the U.S. threatening to put tariffs on Europe over Greenland, to which the EU is threatening retaliation. At the same time, the main carriers are going different ways on Red Sea strategies, with one attempting a return, while another commits to diversions. Meanwhile, spot rates have become softer now as the pre-Chinese New Year rush has ended, triggering increased blank sailings.
Freight Rate Update
Spot rates have seen double-digit percentage drops this week across most major trade lanes as the market reacts to softer demand and overcapacity.
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Asia to U.S. West Coast:Rates dropped approximately xxx this week, settling near $x,xxx per FEU. The early January gains have been erased as capacity outstrips demand.
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Asia to U.S. East Coast:Prices fell by around xxx, reaching approximately $x,xxx per FEU. The market here is also seeing a rapid correction from earlier General Rate Increases (GRIs).
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Asia to North Europe:Spot rates declined by xx to roughly $x,xxx per FEU. The chaotic situation in the Red Sea has not been enough to prop up rates against the seasonal demand lull.
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Asia to Mediterranean:Rates decreased by xx to hover around $x,xxx per FEU.
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Transatlantic (Europe to U.S.):Rates remain relatively stable but soft, trading near $x,xxx per FEU for westbound...
