Are ocean freight rates coming down?

Are ocean freight rates coming down?

According to their analysis, trans-Pacific container spot rates between China and the U.S.’s East and West coast ports are down by half between January and March 2022.

Are ocean freight rates going up?

Ocean freight rates continue to set new highs in 2021 Ocean freight rates have soared greatly for all trade routes since September 2020 due to the ongoing impacts of the COVID-19 pandemic. The freight rates in August reached $10,174/FEU, an increase of 466% on the previous year.

Why are ocean freight rates going up?

Truck drivers and ship crews couldn’t cross borders because of public health restrictions. Pent-up demand from huge stimulus programs during extended lockdowns overwhelmed the capacity of supply chains. Besides causing delays in getting goods to customers, the cost of getting them there surged.

Will freight rates continue to rise?

Overall, domestic shipping rates for moving goods by road and rail in the U.S. are up about 23% this year from 2020, according to Cass Information Systems Inc., which handles freight payments for companies.

Will freight prices decrease?

It is estimated that freight rates will be corrected and will drop by 30-40% in 2022. The fact that freight rates drop is good news, especially for importers. However, it is highly unlikely that they will drop back to the 2019 level.

Are freight rates falling?

Spot rates globally are still more than quadruple pre-pandemic levels. But rates are now materially lower than they were a few months ago — and falling by the week. The Shanghai Containerized Freight Index (SCFI) logged its 15th consecutive weekly loss on Friday.