30/03/2024
Global Sea Shipping Market Dynamics Forecast for April 2024
The recent bridge collision and collapse incident in Baltimore forced the closure of Baltimore Port; Until further notice, the shipping company will no longer accept any booking for docking with Baltimore Port; Any cargo with a destination port of Baltimore or already intercepted at that port will be forced to be transferred to other East Coast ports, including Norfolk, New York, and Philadelphia; This accident has a huge impact on Baltimore Port and even the entire East Coast route, and will continue for a period of time.
In order to promise shippers the strong coverage capability of their trans Pacific routes, THE Alliance recently announced the resumption of two trans Pacific routes that have been suspended for nearly half a year: on April 15th, it restarted the EC4/SUEZ1 route from Asia to the East Coast of the United States, which was temporarily suspended due to low season demand last winter. This restoration will adopt a new voyage arrangement; On April 19th, PN3 services resumed on the West Coast of the United States.
As the volume of cargo on the US route rebounds, shipping companies are also improving their service networks from Asia to North America: Maersk announced the resumption of the TP20 route to the East from April 21st; ONE and Wanhai announced the establishment of a new partnership on the PSW route starting from May, while Hede Shipping announced the opening of a fast and direct route between Shanghai Port and Los Angeles Port between the United States and the West, which opened its first flight on March 21.
China to United States
1. The market demand has slightly increased, and the overall supply and demand of transportation capacity have remained stable; The gradual investment of new transportation capacity and the changes in market supply and demand relationship remain to be seen
2. The price difference between the East and the West has narrowed, and it is expected that freight rates will stabilize from early April; Negotiations on new contracts for the US route have also begun
3. The import volume from the United States and the West has surged by 60% year-on-year, with delays in dock operations and railway connections
4. The congestion at Canadian West Coast ports is severe, with waiting times exceeding ten days
China to Latin America
1. Due to the recovery of market demand, there is a shortage of cabin space; At the end of March, there was already a sell-off in the South American East, which is expected to continue until mid April
2. In terms of freight rates, due to rising demand and tight space, major shipping companies have announced their GRI plans for April
3. The Santos port in Brazil is still crowded, and all berthing vessels need to wait for berthing, with waiting times ranging from 2 to 8 days
China to Europe
1. The shipment volume gradually rebounded, and the shipping company announced the increase in GRI in the first half of April, which in turn drove a small outbreak of recent cargo volume and tight cabin space
2. Next week, the European Basic Port Freight Index is expected to stop falling and recover, and market freight rates are expected to rise
3. Due to the impact of the Red Sea situation, there is a serious delay in the return shipping schedule for the eastbound route: the average delay per voyage at the 2M departure port is 2-5 days; The OA alliance also had a route transfer plan in early April, causing tight cabin space
China to Mediterranean
1. Some shipping companies have announced a new increase in GRI in April, and freight rates are likely to remain stable
2. During the month of April, the shipping company has a capacity adjustment plan and is expected to encounter small-scale cabin issues
3. Affected by the situation in the Red Sea, ships need to detour around the Cape of Good Hope, and ships on ocean routes are unable to return on time, resulting in more empty flights in April
