No precipitous plunge in container shipping rates, just ‘orderly’ decline.
Spot rates are at least temporarily plateauing because U.S. import demand remains above pre-COVID levels, some U.S. ports remain extremely congested, and ocean carriers are “blanking” or “voiding” (i.e., canceling) sailings, both because their ships are stuck in port queues and because they’re matching vessel supply with cargo demand to avert the fate of Greek tanker owners.
Void sailings are still the go-to options for carriers at this point to try and stymie the fall in rates. Congestion is still the buzzword for East Coast ports, with Savannah currently feeling the full force of loaded imports and associated delays.
French container line giant CMA CGM SA is seeing an across-the-board drop in shipping rates and a loosening of logistics bottlenecks in some regions as demand softens. The decrease is expected to continue.
The observations are in line with those of the World Trade Organization, which said this week merchandise trade flows slowed last quarter and will likely stay weak in the second half. This could see the winding down of a frothy period for container carriers after two years of high rates and capacity shortages stemming from pent-up demand from consumers during the pandemic.
The air cargo market remains flat as the industry heads towards the traditional peak season.
Forwarders have also reported a switch back to sea freight from airfreight as container shipping supply chain snarl-ups have eased and prices have come down. Airfreight conversions back to ocean freight have continued with more shippers seeking lower supply chain costs by tolerating the longer duration of ocean freight transit.
During the peak of the pandemic, the air freight industry picked up ocean volumes due to the higher prices and disruption in ocean shipping.
This disruption is easing due to easing demand in ocean. The cost differential between the two modes is also edging back up.
Reference:
Targeted drug delivery revolutionises treatment by focusing medications on specific tissues, reducing the impact on healthy cells. Scientists enhance this precision with carriers like microspheres and nanoparticles, controlling release and absorption. Microspheres, made from biodegradable proteins or polymers, sustain drug release, making them ideal for targeted therapies, especially in oncology. Beyond drug delivery, microspheres open new possibilities across industries—from next-gen coatings to thermal insulation. With tailored sizes, shapes, and materials, they drive advancements in pharmaceuticals, advanced materials, and more.
The U.S. Food and Drug Administration (FDA) has proposed a new rule to require standardized testing of talc-containing cosmetics for asbestos. The FDA noted that this move aims to protect consumers from potential harm posed by asbestos, a known carcinogen linked to serious illnesses such as lung and ovarian cancers.
As one of the most significant holidays in China, Chinese New Year (CNY) profoundly impacts global shipping, logistics, and supply chains. Scheduled to begin on January 29, 2025, this festive period lasts up to two weeks, with many factories, ports, and businesses shutting down or operating with limited staff. Understanding the implications of CNY on your supply chain is critical to avoid disruptions and ensure seamless operations.
Disruptions in the Red Sea, Suez Canal, and Panama Canal have driven up shipping costs, sending shockwaves through the global economy.
It was truly heartwarming to see so many clients and associates visiting our stand, even as late as at the end of the show, sharing drinks and engaging in conversations.
Ocean freight rates on key global container routes have fallen again. Despite the upcoming Golden Week in China, which usually drives demand, the situation this year is slightly different, and the expected rate increase may not happen.
Highly potent active pharmaceutical ingredients (HPAPIs) are at the dangers of cross-contamination with other product forefront of pharmaceutical manufacturing. They are particularly common in targeted therapies and personalized medicines. This is primarily due to their potent therapeutic effects at low dosage forms.
The floating traffic jams off ports. The multiplying costs of moving freight. The resulting shortages of goods. All of this had seemed like an unpleasant memory confined to the COVID-19 pandemic. But no such luck!
An ocean container capacity crunch has hit global trade just as peak shipping season starts, with freight spot rates up some 30% over the past few weeks and heading higher.