North American Market:
Following the general rate increase surcharge (GRI) on April 15th, some shipping companies have gradually adjusted their prices starting from April 20th due to weak market demand. The outlook for May remains uncertain, as the market is still in a watch-and-see phase.
In the 18th week, cargo volume declined due to the Labor Day holiday, and overall spaces were relatively sufficient. For the next two weeks, about 14% of total shipping capacity will be affected by blank sailings. Major ports in the United States and Canada are generally uncongested, while the US's major ports are facing shortages of trailers, resulting in delays of approximately 3-4 days. Due to the dry season in the Panama Canal, weight restrictions are being imposed on small containers in East coast of America. Pending labor bargains may result in intermittent delays or disruptions in the operations of the ports of Los Angeles and Long Beach.
Europe & Mediterranean Market:
Market rates continue to show a slight upward trend, and some shipping companies plan to increase spot rates in the second half of April. Over the next two weeks, blank sailings for the Mediterranean route will account for approximately 18% and 12% of total shipping capacity respectively. There will be a further increase in market cargo volume, and overall capacity will remain tight.
Article source: KuehneNagel