As reported by JOC.com in Maritime news, transpacific carriers have agreed to increase ‘capacity by at least 25 percent over the next 3 weeks’. However, with a continued increase in imports, this still poses challenges to get shipper containers on perspective vessels.

‘According to Sea-Intelligence Maritime Analysis, space availability on vessels leaving Asian load ports this month will improve as carriers deploy extra-loaders and reinstate blank sailings, increasing capacity 26 percent to the West Coast and 31 percent to the East Coast. The capacity increases cover the four-week period that began with Golden Week in China on Oct. 1’

Imports have surged for personal protective equipment (PPE), home office furniture, computer equipment, building materials, and now for holiday season merchandise. Additionally, big box stores are recovering from depleted summer stock. This is causing space to remain tight, despite the additional capacity. The challenges are unfortunately expected to last through November, possibly into early December.

Another concern and reason rates are remaining high on Trans-Pacific trade is the fact there is a shortage of 40GP and 40HC equipment on this trade lane. Steamship Lines are imposing additional fees on shippers for reserving equipment and repositioning containers in various Chinese ports.

It has been reported, rates between $500-$2000 per container have been requested from several SSL’s for reserving equipment and priority loading. Shippers need to evaluate the necessity to go with no roll guaranteed loading for premium price or accept the ‘likely to roll’ service.

Strong demand and tight capacity, squarely puts the trans-pacific steamship lines in the driver seat. Please review with your South East World Wide, Ltd. Sales Representative how you can minimize the impact of these challenges on your operation. We offer a wide range of carrier and transit time options to help you meet your financial and operational goals.