Asia-to-U.S. spot rates tracked by Drewry Shipping Consultants’ weekly index slipped 5.6 percent this week to $1,561 per 40-foot container equivalent unit, or 37.4 percent below their levels of a year ago, the Journal of Commerce.
The decline comes amid what’s shaping up as a soft peak season for pre-holiday imports from Asia. Vessel capacity has outstripped cargo growth, leaving cargo interests ample space on ships and depressing spot rates.
The Drewry index is based on spot rates reported by non-vessel-operating common carriers in Hong Kong for shipments to Los Angeles. It excludes terminal handling charges in Hong Kong but includes fuel surcharges.
The index hit its 2011 high in January at $2,119 per FEU. This week’s index was down from last week’s $1,653.
The index jumped 21.5 percent to $1,853 per FEU after bottoming out at $1,525 in early August. It then stayed at $1,857 for two consecutive weeks before drifting lower during the last three weeks.
The decline comes amid what’s shaping up as a soft peak season for pre-holiday imports from Asia. Vessel capacity has outstripped cargo growth, leaving cargo interests ample space on ships and depressing spot rates.
The Drewry index is based on spot rates reported by non-vessel-operating common carriers in Hong Kong for shipments to Los Angeles. It excludes terminal handling charges in Hong Kong but includes fuel surcharges.
The index hit its 2011 high in January at $2,119 per FEU. This week’s index was down from last week’s $1,653.
The index jumped 21.5 percent to $1,853 per FEU after bottoming out at $1,525 in early August. It then stayed at $1,857 for two consecutive weeks before drifting lower during the last three weeks.