Situation

Similar to the Asia-Europe trade lane, the transpacific market was showing signs of reaching its peak. However, demand remains strong, with rates at their highest levels so far this year. The price gap between services to the US East Coast and West Coast is also widening. Some customers have already opted for the West Coast to reduce costs.

Obstacles

Several typhoons in China have created space and equipment shortages. In addition, low water levels in the Panama Canal have promoted authorities to reduce vessels transits and implement surcharges. These developments are creating further challenges, especially for cargo destined for the US East Coast.

Outlook

Shipping volumes remain steady, and we do not expect significant rate drops in the coming weeks. Current market conditions may continue until the end of September.

Main Ports: Far East to US West Coast

^{Source: Market average rates for 40‘ containers according to www.xeneta.com}

Main Ports: Far East to US East Coast