Shipping space is tight and freight rates are skyrocketing! Major shipping companies are rushing to attack this route

According to the latest SCFI index released by the Shanghai Shipping Exchange, the current freight index rose 12.5 points to 1769.54 points, a weekly increase of 0.7%, achieving three consecutive increases. It is worth noting that this upward trend is mainly due to the strong increase in freight rates on routes from Asia to South America and West Africa.

Especially for South American routes, the demand for route transportation is stable, and the relationship between supply and demand is stable and improving. Last week, some airlines followed suit and raised freight rates, and market booking prices continued to rise. On April 19, the freight rate exported from Shanghai Port to the basic port market in South America was US$4,153/TEU, an increase of 14.5% from the previous period.

The Ningbo Export Container Freight Index (NCFI) data also shows that the South American East Route fluctuates greatly, destination transportation demand continues to improve, route space continues to be tight, and market freight rates continue to rise sharply. The freight index for the South American East Route was 2575.7 points, an increase of 15.0% from last week.

Major shipping companies rush to South America routes

With the strong trend of South American routes, various shipping companies have launched new actions to seize the market.

Five well-known shipping companies: CMA CGM, COSCO, OOCL, Evergreen and PIL, will jointly launch a new shipping line from Asia to the east coast of South America. Route services.

The new service consists of two independent loops. The first loop is operated by 12 14,000TEU container ships and will sail from Tianjin Port on May 5.

The port rotation of Circle Line ① is as follows:

Tianjin-Qingdao-Shanghai-Ningbo-Shekou-Singapore-Rio de Janeiro-Santos-Paranagua-Itapoa-Navigantes-Santos-Colombo-Singapore-Hong Kong, China

The second loop line will make its maiden voyage from Shanghai Port on May 10, with 13 ships deployed for operation.

The port rotation of Circle Line ② is as follows:

Shanghai-Ningbo-Yantian-Hong Kong, China-Rio de Janeiro-Santos-Navigantes-Montevideo-Buenos Aires-Paranagua-Santos-Singapore-Hong Kong, China

PIL also recently opened its own agency office in Brazil and appointed an experienced team with the aim of deepening relationships with clients in Brazil and Latin America.

Mr. He Weixiong, general manager of long-distance trade of PIL Line Management Department, said that the Latin American market has good prospects for continued growth, and trade flows between Asia and Latin America are strong. PIL hopes to strengthen its presence on the east coast of South America to better meet the needs of its customers.

In addition, Yang Ming Shipping also recently announced that it will transform the route from the Far East to the east coast of South America, including updating the existing SA3 service and launching a new service - SA5, effective from early May 2024.

SA3 service rotation is as follows:

Shanghai – Ningbo – Yantian – Hong Kong – Singapore – Rio de Janeiro – Santos – Navegantes – Montevideo – Buenos Aires – Paranagua – Santos – Singapore – Hong Kong – Shanghai

SA5 service rotation is as follows:

Qingdao – Shanghai – Ningbo – Shekou – Singapore – Rio de Janeiro – Santos – Paranagua – Itapoa – Navegantes – Santos – Colombo – Singapore – Hong Kong, China – Qingdao

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.