APL, the container shipping arm of Singapore's NOL, is initiating a rate increase in the Asia-Europe trade, reports the Taiwan News.
Eastbound Europe-to-Asia, effective March 15, the quantum of the increase will be up to US$175 per container for paper and scrap commodities and $100 per container for all other commodities.
The quantum of the freight rate increase sought on container shipped from Asia to Europe on the westbound leg is $250 per TEU, with implementation effective April 1.
"Freight rates in this trade have been falling drastically for more than a year. We are meanwhile facing a situation where in many cases not even variable transportation costs are covered by current freight rates. Our intention is to restore freight rates in the Asia-Europe trade to a sustainable level," said APL vice president Detlev Kerber.
Meanwhile, APL and Port of Salalah have announced the creation of a 50:50 joint venture to operate a new two-berth container terminal.
The JV will start operations in 2011, after completion of the planned expansion of the container terminal at the Port of Salalah, which is both the facility owner/operator and port authority.
Eastbound Europe-to-Asia, effective March 15, the quantum of the increase will be up to US$175 per container for paper and scrap commodities and $100 per container for all other commodities.
The quantum of the freight rate increase sought on container shipped from Asia to Europe on the westbound leg is $250 per TEU, with implementation effective April 1.
"Freight rates in this trade have been falling drastically for more than a year. We are meanwhile facing a situation where in many cases not even variable transportation costs are covered by current freight rates. Our intention is to restore freight rates in the Asia-Europe trade to a sustainable level," said APL vice president Detlev Kerber.
Meanwhile, APL and Port of Salalah have announced the creation of a 50:50 joint venture to operate a new two-berth container terminal.
The JV will start operations in 2011, after completion of the planned expansion of the container terminal at the Port of Salalah, which is both the facility owner/operator and port authority.