Asia: Ocean Freight Carriers Push For June Rate Increases
Major ocean freight carriers have been announcing significant rate increases ahead of the traditional Asia peak season period, with new pricing expected to take effect from 1st June.
The scale of the increases vary depending on the carrier, origin and destination and are being applied via a General Rate Increases (GRI) and/or Peak Season Surcharges (PSS). While the industry has previously seen proposed GRIs reduced or withdrawn before taking effect, current market conditions may place shipping lines in a stronger position to successfully implement these latest increases.
Ocean freight carriers across the major alliances have adopted an increasingly aggressive approach to capacity management in recent times. Numerous blank sailings have been announced in recent weeks, effectively reducing available space and creating tighter market conditions.
Industry reports also indicate that demand levels on the Asia–Europe trade lane have strengthened over the past fortnight, with some carriers suggesting this is the beginning of an early peak season. A similar trend is emerging on Asia–North America routes, where the transpacific market is also showing signs of improved demand.
We therefore suggest that customers be prepared for potential freight rate adjustments in June and perhaps beyond. Atlantic Pacific will continue to monitor market developments closely.
