Ocean freight rates from Asia to the US have held at higher levels since the October 15 increase. Carriers are planning to implement an additional increase of approximately $1000/FEU on November 1. It is expected that the entire November 1 increase will not hold for long, though at least some is likely to stick for the short term. Carriers have been effectively tightening capacity through blank sailings, and some services are quite full.
After this week’s powerful Hurricane Melissa, there is likely serious damage to Jamaica’s port infrastructure. Kingston is a major ocean gateway in the region. Delays in operations at Kingston will have domino effects throughout the region, including congestion at other transshipment hubs.
North Europe ports continue to clear congestion built up due to labor action and high volumes. Delays are still common for freight moving in any direction through these ports, particularly Antwerp and Rotterdam.
We are seeing frequent changes in freight dynamics, space, and rates. We highly encourage all shippers to continue to plan ahead and place bookings 4 weeks in advance.
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Your CVI team is here to assist you through these current market challenges. Ocean freight, air freight, domestic road/rail, and Customs Compliance – count on our dedicated professionals to care for you and your supply chain. Call us and let us show you what we can do!
Rachel Shames
VP, Pricing & Procurement
CV International, Inc.