Freight Market Update: July 25, 2024
Ocean freight market update
China-North America
Rate changes: Ocean freight rates on the China to US East Coast route have seen minor decreases, while the West Coast route experienced a similar downward trend. The slight rate drop suggests a possible easing in rate pressures as additional capacity is added by both major and regional carriers.
Market changes: The market remains dynamic, influenced by strong US import volumes and potential disruptions like labor strikes at East Coast ports. The demand pull-forward due to upcoming tariffs and expected labor disputes is influencing market conditions, alongside congestion issues in some Asian ports.
China-Europe
Rate changes: Rates from China to Europe have shown modest declines. European market conditions, such as high inventories and inflation, contribute to a stable demand environment, limiting rate increases.
Market changes: The influx of new ultra-large container vessels is impacting capacity and rate dynamics. Reduced utilization on the Asia-Europe lane and a seemingly early close to the peak season, driven by holiday shipping needs, are notable trends.
Air freight/Express market update
China-US and Europe
Rate changes: Air freight rates from China to North America and Europe have remained relatively steady. Despite a typical seasonal lull, rates are still supported by strong e-commerce volumes and limited capacity.
Market changes: Global air cargo demand dipped slightly in early July, with rates from Asia Pacific origins remaining significantly elevated year-on-year. Despite recent disruptions in air services due to global IT outage, new air cargo services and persistent demand for e-commerce and general cargo continue to pressure space and rates, with a stable outlook expected through the end of the year.
Looking for a logistics solution with competitive pricing, full visibility, and readily accessible customer support? Check out the Alibaba.com Logistics Marketplace today.
Alibaba.com is the leading platform for global wholesale trade serving millions of buyers and suppliers around the world.