Ocean container freight rates are set to rise further, but there are signs that recent sharp increases may be slowing.
Spot freight rates on key trades from the Far East are set to rise again on June 15, but the increase will not be as pronounced as in May and early June, according to the latest data from Xeneta, an ocean freight rate benchmark and intelligence platform.
Average spot rates from the Far East to the US West Coast are set to rise 4.8% to $6,178 per forty-foot equivalent container (FEU) on June 15.
"Any sign of slower spot rate growth will be welcomed by shippers, but this remains an extremely challenging situation and is likely to remain so," said Peter Sand, chief analyst at Xeneta.
"The market is still rising and some shippers are still facing the prospect of being unable to ship containers under existing long-term contracts and having cargoes rolled over."
“It is unlikely (but not impossible) that spot rates will reach levels seen during the COVID-19 pandemic at this point, but there are so many factors at play that it is impossible to predict the market with any degree of certainty.
