Seatrade Maritime is part of the Informa Markets Division of Informa PLC

This site is operated by a business or businesses owned by Informa PLC and all copyright resides with them. Informa PLC's registered office is 5 Howick Place, London SW1P 1WG. Registered in England and Wales. Number 8860726.

Transpacific box lines claim $300 per feu increase, eyeing more

Transpacific box lines claim $300 per feu increase, eyeing more
Container lines on the transpacific are claiming an average of $300 per feu was added in a 15 January general rate increases and are aiming for more ahead of annual contract negotiations with shippers.

The Transpacific Stabilization Agreement (TSA) said that with strong forward bookings it expected the increases to hold across the Lunar New Year holidays.

Lines are looking to take advantage of the stronger market with a further $300 per feu increase scheduled for 15 March and another increase on 1 May, separate from contract rate increases.

 “Carriers have left a lot of money on the table in this market as partially successful increases have been eroded over time,” said TSA executive administrator Brian Conrad. “There is now a growing sense that pent-up demand, depleted retail and business inventories, and a greater overall sense of economic security are converging in 2014. Lines are determined not to miss that opportunity.”

The TSA is recommending increases to contract rates of $300 per feu from 2013-14 levels for US West Coast cargo and $400 per feu for all other cargo.