$10,000! MSC takes the lead in launching guaranteed freight rates

Due to the May Day holiday, shipping companies implemented excessive reductions, reductions, and combinations of shifts, and the market cargo load was better than expected, resulting in full slots, and freight rates soared, and the slots were full before the end of May.

MSC launches guaranteed freight rate of 10,000 USD

Recently, a large freight forwarding company pointed out that the world's largest liner shipping company Mediterranean Shipping Company (MSC) last Friday (10th) re-launched the Diamond Tier freight rate (Diamond Tier) implemented during the epidemic, which is a freight rate with guaranteed space. .

Specifically, the price per large box (40-foot container) in the US West is US$8,000, and the US-Eastern US$10,000 per large box (40-foot container) is valid from May 15th to 31st.

Currently, the freight rate per large box on the US West Line is around US$4,200, and the US East Line is about US$5,300. From this point of view, the freight rate for MSC's guaranteed space is nearly multiple of the current freight rate.

In this regard, most shipping companies and freight forwarding companies have stated that they have not yet received messages from MSC. Other shipping companies have not taken similar actions. They only informed that starting from May 15, the price of each large box will be increased by US$1,000 for the American line and US$1,500 for the European line.

The market is also observing whether other shipping companies such as Maersk will follow MSC and launch freight rates for Premier and other items implemented during the epidemic.

For shippers, no matter what name the shipping company uses to significantly increase freight rates, it is essentially a price increase to purchase shipping space.

Lack of containers, lack of space, price increase

"The warehouse explosion and shortage of containers are a mess. Freight forwarders and cargo owners are very uncomfortable." The marketing director of a logistics company in Shenzhen said that the shortage of containers spread from Ningbo Port to Shanghai Port at the beginning, and now major ports across the country are experiencing supply shortages. The phenomenon.

"The increase is huge, it's uncomfortable." The person in charge of a freight forwarding company in Zhejiang said that at the moment when supply is tight, there is no obvious rebound in business. On the contrary, affected by the crazy freight prices again, the recent business volume has dropped a lot due to the pressure of price increases.

Shipping company executives pointed out that the current situation is that the US line will be full by the end of May, while the European line will be full by the first or second week of June. This is mainly due to the fact that European line ships have been severely affected by the Red Sea crisis, resulting in chaotic shipping schedules.

In addition, compared with Asian ports, European ports are less efficient, and delays may lead to port congestion. This port congestion will further affect the dispatch of containers and aggravate the shortage of containers.

Against the background of the gradual recovery of demand in Europe and the United States, importers are worried about shipping delays and tend to increase imports to ensure the stability of the supply chain.

In view of the fact that the European and American routes are currently full until the end of May, some freight forwarders boldly predict that the next route that may surge to 10,000 US dollars is the Asia-Europe route.

For foreign traders, the impact is also intuitive. The shipment of recently completed goods had to be delayed, resulting in a serious backlog.

"Whether it is the Middle East, Europe, or South America, goods shipped to various places are basically delayed!" A foreign trade person said that currently there are about 4 cabinets of goods that have been delayed, and the latest one is delayed from the original time. Almost a month.

"What was supposed to be distributed in late April has not yet been distributed." Slow delivery will inevitably lead to slow return of orders, which is also likely to affect the scale of subsequent orders.

Compared with the "uncomfortable" situation of freight forwarders and foreign traders, life of shipping companies and container manufacturing companies seems to be comfortable again. While Maersk laments the lack of new ship orders, the latest prosperity of the container industry has returned to the prosperity range from the original transitional range.

As the world's leading container manufacturer, CIMC Group's container business recovered significantly in the first quarter of this year, with dry cargo container sales increasing nearly five times year-on-year.

CIMC predicts that container manufacturing volume this year may exceed 3 million TEU (20-inch standard containers), and the overall industry prospects are better than last year. Cosco Shipping Co., Ltd., which has container manufacturing as its core business, also saw its operating income increase by about 40% year-on-year in the first quarter of this year, driven by the recovery of its container business.

Sunny Worldwide Logistics has been established for more than 25 years. It has purchased 1,800 square meters of Grade A office buildings in Shenzhen. It has its own warehousing and self-operated fleet in Shenzhen, which greatly meets the supporting needs of customers. Ocean freight has signed contracts with shipowners such as ZIM/EMC/OOCL/CMA, and air freight has signed contracts with airlines such as O3/MH/CZ. Within the company, there are about 65 senior employees. The company has established the "Sunny Business School" to continuously improve the comprehensive quality of employees. With this goal in mind, regular and uninterrupted training and sharing has created a group of logistics personnel with excellent comprehensive qualities.