Rates from Asia to Australia:
As per our previous Newsflashes, shipping lines operating from Far East Asia (China, Taiwan, Korea and Japan) to Australia have diverted some of the vessels normally on the Australian East Coast trade to the Asia-USA trade as US importers continue to ship large cargo volumes in an effort to beat the Trump Administration tariffs increases. The deadline for the tariffs was listed as 9th July however this week that deadline was moved to 1st August.
The result is that less space is now available on the Australian trade and in addition, some lines have continued to offer only a fortnightly sailing to Australia, thereby creating a false peak market. The lines have increased rates since mid-June and we expect those increases will continue in July and August as the lines try to gain extra income.
We are fast approaching the usual Peak Season so do not be surprised if the lines implement a Peak Season Surcharge as part of their money grab, we have not seen one in recent years so it will be interesting to see how they try to manipulate the market moving forward.
Operations in Northern European Ports:
The main hub ports of Hamburg, Antwerp and Rotterdam are continuing to face vessel delays as a result of strikes, large volumes moving and operational issues resulting in large backlogs of containers at the ports. The situation has been further exasperated by a recent four (4) day rail shutdown due to fires, and the low water level in the inland rivers and canals is also affecting container movements. The low water levels are expected to worsen in coming weeks with very hot weather prevailing at the present time and little rain.
Suez Canal Disruptions continue:
All sailings are still avoiding the Suez Canal and the situation is expected to continue for some time.
Just this week the Houti rebels attached a Liberian flagged bulk carrier in the Red Sea as it was enroute to a port in Israel, their action reported as in support of the Palestinians in Gaza.
The vessel has subsequently sunk and a number of crew are still unaccounted for, presumed drowned.