A wave of New Year's Day price increases swept through the ocean freight industry. As  factories are eager to complete shipments before the year, coupled with the U.S. East Coast  terminal strike concerns have not yet dissipated, which continues to drive the growth of  containerized ocean freight volumes. In this context, shipping giants Mediterranean Shipping  (MSC), COSCO Shipping, as well as Yang Ming and other shipping companies have  announced that they will increase the U.S. line freight from January 1 next year.

According to the forwarder industry sources, MSC raised the freight rate per 40 feet  container on the U.S. West route to $6,150, and the U.S. East route to $7,150; In terms of  COSCO shipping, the freight rate per 40 feet container in the West of the United States rose  to $6,100, and that in the East of the United States rose to $7,100. At the same time, Yang  Ming and other shipping companies have also reported to the U.S. Federal Maritime  Commission (FMC), plans to raise the comprehensive rate surcharge (GRI) on January 1, the  U.S. West and the U.S. East per 40-foot container of the rate of increase of about $2,000. In addition, the ship loading rate of the European route remains high, and this week a  number of shipping companies again introduced a price increase of about $200 to buy space.  However, forwarding industry insiders pointed out that although a number of shipping  companies said they plan to increase prices from January 1, they did not rush to make a public  statement. This is because from February next year, the three major shipping alliances will be  reorganized, market competition will intensify. Shipping companies have begun to actively  grab cargo and customers to cope with possible market changes!

Attracted by high freight, more and more extra ships are coming into operation, and  competition in the market is becoming more intense. This may generate some downward  pressure on freight rates. At present, the freight rate per 40-foot container on European  routes is still fluctuating between about $5,000-$5,300, but some shipping companies are  offering preferential rates of about $4,600-4,800. Reflecting the second half of December, U.S. linehaul rates rose sharply, from more than  $2,000 to more than $4,000, an increase of about $2,000. In contrast, the European line freight remained stable or fell slightly. It is understood that MSC, Maersk, Hapag-Lloyd and other  three major European shipping companies are for next year's reorganization of the alliance  after the market share of the battle for preparation. In addition, there is news that more and more overtime vessels are being put into  operation on European routes to earn high freight. Among them, including 3,000TEU small  overtime vessels, they are seizing the market and digesting the cargo piled up in Singapore.  These cargoes mainly come from factories all over Southeast Asia, which are eager to ship  out due to the early Lunar New Year festival. Shipping companies and freight forwarding industry insiders have said that the final rate  of price increases and whether it can be successful price increases, but also depends on the  market supply and demand. At the same time, if the U.S. East Coast terminal strike, will  inevitably have an impact on the post-holiday freight. In addition, a number of shipping  companies plan to expand capacity in early January in order to grab earn high freight, such  as the deployment of capacity in the route from Asia to Northern Europe will increase by 11%  per month. However, with the intensification of the alliance restructuring and market  competition, which may also bring the pressure of the freight war.