Tag: Xeneta

Two weeks after Xeneta reported that ocean freight shipping spot rates from the Far East into Europe may have peaked during the Red Sea crisis, it is now observed that trades into the US have followed a similar pattern.

The Red Sea crisis has seen ocean freight rates increase faster than the early months of the Covid-19 pandemic as swathes of shippers are told some of their contracts will not be honored, Xeneta highlights. 

Early indications suggest ocean freight shipping rates are set to increase further in early February amid the ongoing Red Sea crisis, according to data released by Xeneta on 23rd January.

Any hopes of a revival in long-term ocean freight shipping rates were short-lived after the latest data from Oslo’s Xeneta indicated the market is once again in decline.

Xeneta crowdsources real-time rates data from leading global shippers, allowing it to assess the very latest market moves, with the cost of shipping containers out of Europe has plummeted from the peak prices of 2021 and 2022.

The latest ocean freight rates data from Xeneta suggests an increasing “normalization” of the reefer market, with spot rates from the Far East to Northern Europe now back to pre-pandemic levels.

Mr. Peter Sand, Chief Analyst, Xeneta, says that this year brings several challenges to the carriers but opportunities to the shippers and explains how the ongoing global supply chain crisis will evolve in the coming years, according to Xeneta data.

The year ended in somewhat anti-climactic fashion for long-term ocean freight rates, with the latest data from the Xeneta Shipping Index (XSI) showing a decline of just 0.1%.

While spot rates are sailing in the right direction for ocean freight from the Far East to the South America East coast, short-term air freight rates are failing to take off on major intra-Asian and long haul trades. According to Oslo-based Xeneta, such developments will likely impact on long-term contracted rates negotiations in the very near future.

According to the latest crowd-sourced data from Xeneta, long-term rates for reefer containers on the key US West Coast to Far East route soared almost 60% in April.