According to the latest Shanghai Containerised Freight Index (SCFI) freight rates on the Asia-North Europe trade have fallen another 17% last week to another all-time low of US$284 per TEU.
This as shippers vigorously rejected the lines’ latest round of general rate increases (GRIs).
This followed the SCFI falling 23% in the week ended May 29 to $342.
With an immense amount of tonnage being deployed on the trade, the carriers are powerless to raise rates for any sustained period, according to shipping consultants.
From May through to the end of 2015 there will be 630 000 TEUs worth of capacity from new ships of 10 000 TEU and above scheduled for delivery on the Asia-Europe trade, with similar levels slated for 2016 and 2017.
The order book for 2018 and 2019 is also already filling up.
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