Shipping Rates Rise: China Exports Drive Upbound Rates

Recently,internationalFreight rates for shipping routes from Shanghai to both the US West Coast and East Coast have risen,with increases of approximately 30% and 20% respectively.

According to data released by the General Administration of Customs,Chinas export container shipping market has performed well,with Chinas export value in March increasing by 14.8% year-on-year.It is expected that Chinas export market will remain stable and improve in the future,further supporting the recovery of freight rates.Additionally,with the arrival of the traditional contract season,some shipping companies have taken measures to control capacity,which has also contributed to the significant rise in market freight rates.The Shanghai Containerized Freight Index shows that freight rates from Shanghai Port to the US West Coast and East Coast are $1,668/FEU and $2,565/FEU respectively,representing significant increases of 30% and 20% compared to the previous week.

Meanwhile,due to strong transportation demand,freight rates for the Persian Gulf route have also increased by 12% compared to previous levels.Data from the Eurozone shows that retail sales in February decreased by 0.8% month-on-month compared to the previous value.Insufficient consumption has left the Eurozone economy lacking growth momentum,and with the ongoing Russia-Ukraine conflict keeping geopolitical risks at high levels,the future economic recovery in Europe will continue to face various risks.Market freight rates may fluctuate slightly within a certain range.On April 14,the market freight rate from Shanghai Port to basic ports in Europe was $871/TEU,down 0.7% from the previous week; the market freight rate from Shanghai Port to basic ports in the Mediterranean was $1,618/TEU,down slightly by 0.2% from the previous week.