Ocean freight market update
- Rate changes: Freight rates in TPEB remained stable in the past two weeks and significantly lower than the same time last year. Current rate levels are expected to remain with the oversupply of capacity and carriers continuing to affect blank sailings.
- Market changes: Cargo volume remains low partially due to the slowdown in pandemic-driven spending and continued working down of existing inventory levels. US West Coast union actions led to the shutdown of the ports of Los Angeles/Long Beach last week and continued to slow operations this week, creating potential for port congestions or delays going forward but that risk is reduced by the significant volume shift to the East Coast since last year.
- Rate changes: Rate levels bounced back slightly last week but remained steady and notably lower than the first 2 months of 2023.
- Market changes: No changes are expected in overall trade capacity coming into Q2, and space is available across all major services.
Air freight/Express market update
Global Carrier Rate
- Rate changes: After an increase in global air freight rates in Mar, Apr has so far witnessed a slight drop of price to below the end of Feb level. Rate is expected to fluctuate in the coming weeks amid high jet fuel price, with more stability in the long-term rates towards the 2nd half of 2023.
- Market changes: More flights are added to the schedule, but overall demand stays relatively low and a recovery is expected for later this year.
- Market changes: Similarly, air freight sees a soft demand on these routes, bringing up capacity and down rates.
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