The Shanghai Container Freight Index (SCFI) reported that during the week ending 27-04-2012, freight rates between China and Northern Europe increase by a staggering 3.3%, which in monetary terms is $180 per TEU (twenty unit equivalent). This increase surprised many market analysts as a substantial rate increase is due to be implemented by several major carriers today, May 1^st.

However, in regards implementing further rate increases, Lars Jensen, esteemed freight industry analyst, warned that ““With the capacity reductions now disappearing, the carriers are facing a test: will they collectively…

The GRI (General Rate Increase) by major carriers on the Asia-Europe trade lanes came into effect on April 1^st, which resulted in a pot rate increase of 28% by April 5^th. In monetary terms this equated to a spot rate increase of $844 per FEU (forty foot equivalent unit) on the Shanghai to Rotterdam freight lane.

This 28% hike follows on form March 1^st, when the World Container Index (WCI) reported that Shanghai to Rotterdam freight rates increased by a staggering 114%.

The spot rate on March 29 per FEU was $2,654 and rose to $3,408 per FEU on April 5^th 2012.…

Hapag Lloyd has announced rate increases on several lanes from its East Asia hubs, which will take effect from April 2012.

From April 15^th rates on the East Asia to the Red Sea trade lane will increase by $400 per TEU (twenty foot equivalent unit) and a further $300 per TEU on May 1^st.

Other increase from East Asia are as follows; to the east coast of South America($500 per TEU), New Zealand ($300 per TEU), India($400 per TEU), Australia($300 per TEU), Central America($50 per TEU), and Caribbean/Panama($560 per TEU). The majority of these increases will take effect on April 15^th…

(Source: Alphaliner)

According to Alphaliner, two recent freight rate increases on the Asia-Europe trade lane have not as yet alleviated the pressure on carriers’ bottom lines, as previously agreed contract rates for 6-12 month periods have still to be honoured.

Contract volume represents 25% of container ship volumes on eth Asia-Europe trade and is at a much lower pricing level to spot rates, which have increased by a dramatic $700 per TEU since March 1^st.