IMPORT: Asia to North America (TPEB)

Recent Developments:

• U.S. import volumes from Asia are rising, leading to upgrades in retailers’ first-half 2024 import forecasts.

Rates: After gradually declining for several weeks, rates have leveled off.
Space: Space is mostly open but has tightened in pockets.
Capacity: According to the Journal of Commerce, ocean carriers are reducing their instances of blank sailings and increasing capacity in this market. The change in strategy suggests that continued longer voyages around Africa are requiring more vessel allocation than when the diversions began in December.
Equipment: Investments from independent equipment providers (IEPs) mirror expectations of an upswing in freight activity.

TIPS:

• Hold your logistics partners accountable for frequent updates regarding current market conditions and routing impacts.
• As the market shows indicators of heating up, familiar yourself with the potential hurdles that can occur amid tightened capacity and delays in handling.

IMPORT: Europe to North America (TAWB)

Rates: Rates have lifted to more sustainable levels.
Space: Space is open.
Capacity: Reassuring growth in demand from U.S. importers has prompted better utilization of available capacity.

TIPS:

• Book at least three weeks prior to the ready date.
• Familiarize yourself with the European Union’s ETS program and how its carbon taxing is impacting operating costs for ocean carriers.

EXPORT: North America to Asia

Rates: After recovering in mid-March, rates have leveled off through the first half of April.
Capacity: Space remains open, particularly from West Coast ports.
Equipment: Export containers are being diverted to other East Coast ports of loading following the Port of Baltimore’s indefinite suspension to ship traffic.

TIPS:

• Insufficient communication with sailing schedules can lead to higher detention and demurrage fees as well as higher trucking and storage costs. Ensure your logistics partners are not keeping you and your cargo in the dark.