Peak Season Drives Further Asia-Europe Ocean Rate Hikes
Following the recent increases in ocean freight rates during June, carriers have already announced further General Rate Increases (GRIs) from July 1st for shipments moving from Asia origins to the UK and Europe.
The latest increases, which will vary by route and carrier, come as both capacity and equipment availability remain tight. With demand now exceeding available supply, the market may be entering a period of regular rate increases as carriers look to manage space and raise pricing across key trade lanes.
Blanked sailings have reduced recently, with only three expected this week across the major networks. This suggests services are now operating close to full capacity, leaving limited room for additional demand and placing further pressure on available space.
Availability remains challenging across many Asia origin points, with several carriers no longer accepting bookings until July.
It remains difficult to predict whether the current market strength is the result of an early peak season, driven by importers front-loading orders, or whether demand will remain elevated through to Golden Week in October.
However, some industry analysts suggest the peak season could pass its height by the end of July. Until then, shippers should expect continued volatility, tight space and further upward pressure on freight rates. Booking as early as possible is therefore strongly recommended.
For further information, please do not hesitate to contact us. In the meantime, Killick Martin continues to work tirelessly to manage space and mitigate supply chain disruption wherever possible.
