Situation

Unlike the easing seen on the Asia-Europe trade, rates on the transpacific lane remain high – around four times higher than during the same period last year. The main drivers are increased demand, positive consumer sentiment in the USA, low tariffs, and restocking.

Obstacles

A shift in volumes from the US East Coast to the West Coast led to a surge in arrivals at Western ports, especially of cargo destined for inland USA. Delays can reach 14 days or more. Similar to other trade lanes connected with Asia, congestion also contributes to low schedule reliability.

Outlook

Despite expectations of softening demand in October, continued demand kept rates steady. Although rates did not increase further, we expect orders to increase soon as the typical pre-CNY peak approaches on this trade.

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