Wednesday, October 6, 2010

Clouds Over the Transpacific

(International Freighting Weekly – Mike King)

Pressure on rates as demand slows

New capacity and slow US restocking are threatening to put additional downward pressure on transpacific ocean freight rates, claim leading industry sources.

“Presently, the traffic in and out of China is softening,” said Byron Lee, MD of forwarder China Global Lines. “Carriers do not have full ships and rates have dropped every week [since August]. “It is a good time to canvass for new business, as we face no space problems and carriers are flexible and offering lower rates.”

Another forwarder said: “The transpacific peak season ended just as carriers added more capacity”. Read more here.