IMPORT: Asia to North America (TPEB)
- Heavy rain and flooding from Tropical Storm Hilary earlier this week has disrupted railroad Union Pacific’s network in Southern California. The Class I railroad will provide updates on estimated shipment delays as it assesses damages.
Rates: Demand and rigid capacity management have propped rates up, however August’s second-half increases are not as high as anticipated.
Space: Space is generally open, but as the market strengthens, certain services are likely to tighten.
Capacity: Carriers continue to use their discretion on reducing capacity.
Equipment: A new chassis pool at Southeast ports (excluding Charleston) will go live October 1.
- Establish a timeline for future shipments. Will you import before the holidays and within peak season? Are you holding off until 2024?
- Hold your logistics partners accountable for frequent updates regarding blank sailings, rate increases, or any other forms of market maintenance.
- Don’t get complacent with the favorable market conditions the past several months. Tightening capacity and higher rates could pose booking challenges through peak season. Plan ahead!
IMPORT: Europe to North America (TAWB)
Rates: Rates have plummeted over the last several weeks—mirroring pre-pandemic levels.
Space: Space is open, except for a few pockets.
Capacity: Major carriers are reallocating vessel capacity to the Asia-Europe trade from this one.
Equipment: Availability on both origin and destination sides, unless advised otherwise.
- Book at least three weeks prior to the ready date.
- Be aware of how carriers react to their minimal profitmaking on this trade. Aggressive tactics, like blank sailings, may be on the rise in the coming weeks.
EXPORT: North America to Asia
Rates: Rates are low and level.
Space: Space is open but tighter on the Gulf Coast.
Capacity: Capacity is widely available for all services.
Equipment: Availability at virtually all inland points and seaports. However, chassis access remains a wildcard against fluid intermodal movement.
- Book at least two weeks prior to the time of departure.
- Shippers with high volume projects should take advantage of the carriers’ receptiveness to take on these opportunities. Space is wide open with a high acceptance rate.