Latest news with #ShanghaiContainerizedFreightIndex
Yahoo
12-06-2025
- Business
- Yahoo
ITS Logistics June Port Rail Ramp Index: Trans-Shipment Delays in Asia Signal Impending US Import Surge, Spurring Early Retail Peak
-- Backlogged empty containers and surging inbound freight are set to converge, stressing inland supply chain operations. -- ITS Logistics June Port Rail Ramp Index RENO, Nev., June 12, 2025 (GLOBE NEWSWIRE) -- ITS Logistics today released the June forecast for the ITS Logistics US Port/Rail Ramp Freight Index. This month, the index reveals increased volumes making their way to North America with reports of trans-shipment delays in Asia, most notably in Singapore. The change signals rising East-to-West freight volumes, while outside of the terminals, empty termination problems persist, especially in Los Angeles/Long Beach. Furthermore, rail gateways for inland point intermodal (IPI) legs of ocean freight will become more congested rapidly as import surges make their way inland. 'Most ports are running at 60 to 75% capacity, suggesting port operations and vessel congestion should operate efficiently,' said Paul Brashier, Vice President of Global Supply Chain for ITS Logistics. 'However, with temporary tariff relief boosting Chinese import volumes in the second half of the retail season, there are growing concerns about whether receiving capacity can effectively absorb these volumes.' Mid-summer typically marks the onset of back-to-school shipping activity, with fall and winter holiday merchandise still in production or on water. However, the April suspension of the Trump administration's tariffs on Chinese imports prompted many retailers to accelerate orders on inventory for the second half of the year—prompting another frontloading episode that has sent container rates surging even into early June. Last Friday, the Shanghai Containerized Freight Index (SCFI) reported a week-over-week increase of nearly 31% across all documented markets. West Coast-bound spot rates rose 58% to $6,243 per 40-foot equivalent unit (FEU), while East Coast rates increased 46% to $5,172 per container. While the rebound in activity is a welcome relief after a 13.4% drop in import volume between April and May, the Global Port Tracker's June forecast of 2.01 million TEUs still represents a 6.2% year-over-year drop in volume—signaling shippers' ongoing hesitancy in the face of shifting global politics and economic uncertainty. On June 11 President Trump announced a forthcoming trade agreement with China, referencing updated tariff rates of 55% on Chinese imports and 10% on United States exports. Until a final agreement is announced, there is still uncertainty in how this will affect the global supply chain for the remainder of 2025. Outside of the terminal gates, ongoing challenges with empty container termination are placing pressure on domestic supply chain operations—particularly in Southern California. Dwell times remain elevated due to restricted return windows, limited depot availability, and more stringent return policies from ocean carriers. Many carriers have reinstated labor-intensive termination procedures not seen since the post-COVID era, while simultaneously increasing the threshold for detention-free time exemptions. These changes introduce greater administrative complexity for drayage providers and expose shippers to additional per diem or detention charges if they do not carefully review ocean contracts. The surplus of empty containers—already straining depot space and chassis capacity—is now set to converge with a surge of frontloaded import volume from China, significantly amplifying congestion risks at ports and rail ramps. As grounded empties linger and imports move inland, shippers are likely to encounter reduced equipment availability, increased dwell times, and slower turnarounds. IPI-connected gateways should be of particular note to shippers, as summer holidays like the Fourth of July are marked by increased levels of cargo theft. Altogether, these conditions create a volatile inland environment for this unconventional peak season. 'With container termination challenges compounding port and depot congestion—and a wave of frontloaded imports moving rapidly inland—any inefficiencies could drive significant cost increases through detention costs, delays, and fraud,' Brashier advised. 'To maintain control over delivery timelines and minimize risk, shippers should consider leveraging transload, cross-dock, and one-way trucking options that offer more flexibility and security for their freight as we navigate the next few weeks.' ITS Logistics offers a full suite of network transportation solutions across North America and distribution and fulfillment services to 95% of the U.S. population within two days. These services include drayage and intermodal in 22 coastal ports and 30 rail ramps, a full suite of asset and asset-lite transportation solutions, omnichannel distribution and fulfillment, LTL, and outbound small parcel. The ITS Logistics US Port/Rail Ramp Freight Index forecasts port container and dray operations for the Pacific, Atlantic, and Gulf regions. Ocean and domestic container rail ramp operations are also highlighted in the index for both the West Inland and East Inland regions. Visit here for a full comprehensive copy of the index with expected forecasts for the US port and rail ramps. About ITS LogisticsITS Logistics is one of North America's fastest-growing, asset-based modern 3PLs, providing solutions for the industry's most complicated supply chain challenges. With a people-first culture committed to excellence, the company relentlessly strives to deliver unmatched value through best-in-class service, expertise, and innovation. The ITS Logistics portfolio features North America's #18 asset-lite freight brokerage, the #12 drayage and intermodal solution, an asset-based dedicated fleet, an innovative cloud-based technology ecosystem, and a nationwide distribution and fulfillment network. Media ContactAmber GoodLeadCoverageamber@ A photo accompanying this announcement is available at
Korea Herald
06-06-2025
- Business
- Korea Herald
Korean shipbuilders suffer 35% drop in orders through May: report
South Korean shipbuilders saw a 35 percent year-on-year drop in new orders from January to May, according to shipping industry tracker Clarkson Research Services on Thursday. During the five-month period, Korean shipbuilders secured a total of 3.81 million compensated gross tonnage, representing 24 percent of the global market — second to China, which led with 7.86 million CGT, or 49 percent. The decline is partly attributed to selective order-taking, as Korea's major shipbuilders — HD Hyundai Heavy Industries, Hanwha Ocean and Samsung Heavy Industries — have prioritized high-value-added vessels such as liquefied natural gas carriers rather than container ships. Their docks are currently occupied with orders scheduled for delivery over the next three years. However, the drop in orders is also reflects a sharp downturn in the global shipbuilding market. Total new global orders during the period fell 45 percent from a year earlier to 15.92 million CGT, raising concerns among some industry observers about the possibility of the current market cycle slowing in the coming years. Industry sources noted that many shipping companies are delaying new orders amid uncertainties in global trade and falling freight rates, driven in part by ongoing geopolitical tensions between the US and China. The Shanghai Containerized Freight Index, a widely used indicator of shipping rates, exceeded 3,000 in June last year but dropped to just over 1,200 in May this year. Although it has seen a sharp rise over the past three weeks, securities firms suggest this is a temporary increase driven by the US' short-term tariff deferral on Chinese goods. As a result, Korean shipbuilders saw a decrease in their backlog, with total outstanding orders falling by 8 percent, or 3.09 million CGT, compared to the same period last year. As of early June, HD Korea Shipbuilding & Offshore Engineering — parent company of HD Hyundai Heavy Industries and two other smaller shipbuilders — had only achieved 38.7 percent of its annual order target of $18 billion. Samsung Heavy Industries had reached 27 percent of its full-year sales goal of $9.8 billion.
Fashion Network
06-06-2025
- Business
- Fashion Network
Tariff-fueled surge in container shipping rates shows signs of peaking
Container shipping rates continued their climb this week, fueled by the temporary tariff pause between the U.S. and China, but there are signs that demand underpinning the surge is moderating, financial analysts and maritime consultants said. Ocean vessels transport more than 80% of goods traded globally. Hulking container vessels operated by companies like MSC and Maersk ferry toys and apparel to Walmart stores and parts to factories run by major manufacturers such as Ford Motor Co. Off-contract spot rates for moving container cargo are seen as a gauge of economic conditions. Maritime consultancy Drewry on Thursday said its World Container Index jumped 41% week-over-week to $3,527 per 40-foot container (FEU). The index was up 70% in the last four weeks, spurred by the May 12 U.S.-China trade truce that cut China tariffs to 30% from the 145% rate that collapsed trade between the world's two largest economies. Freight rates from Shanghai to Los Angeles, home to the busiest U.S. seaport, surged 57% to $5,876 per FEU in the past week and 117% since May 8, Drewry said. That rate is down 2% from a year ago and well below the $10,000-plus rates seen during the height of the Covid supply chain crunch. The closely watched Shanghai Containerized Freight Index, which tracks spot rates from the world's busiest container port in Shanghai, is on track to report another gain this week, Jefferies shipping analyst Omar Nokta said in a client note. The underlying SCFI route to the U.S. West coast was $5,172 per FEU last week and the latest spot rates are closer to $6,000, Nokta said. Still, those rates may be peaking as quotes for the second half of June are closer to the $5,000 to $5,500 per FEU range, he said. Drewry's Container Forecaster expects demand to weaken again in the second half of this year, which would cause rates to fall again. The volatility and timing of rate changes will depend on the outcome of legal challenges to Trump's tariffs and on capacity changes related to the introduction of port fees on Chinese ships, Drewry said.
Fashion Network
05-06-2025
- Business
- Fashion Network
Tariff-fueled surge in container shipping rates shows signs of peaking
Container shipping rates continued their climb this week, fueled by the temporary tariff pause between the U.S. and China, but there are signs that demand underpinning the surge is moderating, financial analysts and maritime consultants said. Ocean vessels transport more than 80% of goods traded globally. Hulking container vessels operated by companies like MSC and Maersk ferry toys and apparel to Walmart stores and parts to factories run by major manufacturers such as Ford Motor Co. Off-contract spot rates for moving container cargo are seen as a gauge of economic conditions. Maritime consultancy Drewry on Thursday said its World Container Index jumped 41% week-over-week to $3,527 per 40-foot container (FEU). The index was up 70% in the last four weeks, spurred by the May 12 U.S.-China trade truce that cut China tariffs to 30% from the 145% rate that collapsed trade between the world's two largest economies. Freight rates from Shanghai to Los Angeles, home to the busiest U.S. seaport, surged 57% to $5,876 per FEU in the past week and 117% since May 8, Drewry said. That rate is down 2% from a year ago and well below the $10,000-plus rates seen during the height of the Covid supply chain crunch. The closely watched Shanghai Containerized Freight Index, which tracks spot rates from the world's busiest container port in Shanghai, is on track to report another gain this week, Jefferies shipping analyst Omar Nokta said in a client note. The underlying SCFI route to the U.S. West coast was $5,172 per FEU last week and the latest spot rates are closer to $6,000, Nokta said. Still, those rates may be peaking as quotes for the second half of June are closer to the $5,000 to $5,500 per FEU range, he said. Drewry's Container Forecaster expects demand to weaken again in the second half of this year, which would cause rates to fall again. The volatility and timing of rate changes will depend on the outcome of legal challenges to Trump's tariffs and on capacity changes related to the introduction of port fees on Chinese ships, Drewry said.
Yahoo
05-06-2025
- Business
- Yahoo
Tariff-fueled surge in container shipping rates shows signs of peaking
LOS ANGELES (Reuters) -Container shipping rates continued their climb this week, fueled by the temporary tariff pause between the U.S. and China, but there are signs that demand underpinning the surge is moderating, financial analysts and maritime consultants said. Ocean vessels transport more than 80% of goods traded globally. Hulking container vessels operated by companies like MSC and Maersk ferry toys and apparel to Walmart stores and parts to factories run by major manufacturers such as Ford Motor Co. Off-contract spot rates for moving container cargo are seen as a gauge of economic conditions. Maritime consultancy Drewry on Thursday said its World Container Index jumped 41% week-over-week to $3,527 per 40-foot container (FEU). The index was up 70% in the last four weeks, spurred by the May 12 U.S.-China trade truce that cut China tariffs to 30% from the 145% rate that collapsed trade between the world's two largest economies. Freight rates from Shanghai to Los Angeles, home to the busiest U.S. seaport, surged 57% to $5,876 per FEU in the past week and 117% since May 8, Drewry said. That rate is down 2% from a year ago and well below the $10,000-plus rates seen during the height of the COVID supply chain crunch. The closely watched Shanghai Containerized Freight Index, which tracks spot rates from the world's busiest container port in Shanghai, is on track to report another gain this week, Jefferies shipping analyst Omar Nokta said in a client note. The underlying SCFI route to the U.S. West coast was $5,172 per FEU last week and the latest spot rates are closer to $6,000, Nokta said. Still, those rates may be peaking as quotes for the second half of June are closer to the $5,000 to $5,500 per FEU range, he said. Drewry's Container Forecaster expects demand to weaken again in the second half of this year, which would cause rates to fall again. The volatility and timing of rate changes will depend on the outcome of legal challenges to Trump's tariffs and on capacity changes related to the introduction of port fees on Chinese ships, Drewry said. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
