Hello, it’s IINO.
I would like to broadcast IINO san’s logistics news today.
Today’s theme is about shipping market forecast for September.
The Shanghai Port and Harbor Exchange (SSE) has released the below index of ocean transportation from Shanghai.
Daily Logistics Radio by IINO san in 1st Sep. 2021
From Shanghai to North America, ocean freight rates in September
Shanghai – North America East Coast: USD 11,138/40′
Shanghai – West Coast of North America: USD 5,949/40′
Currently, there is a large increase in the price of freight to the East Coast.
The reason is that rail transportation to the inland of North America via the West Sea is at a standstill. Therefore, we have to use ocean transport to the east coast and then transport from the east to the inland.
In August, we were able to get a good amount of space to North America, but in September, it has become difficult to get space. We are currently negotiating with the shipping companies, and we will do our best to secure the space.
Peak Season of From China to North America
Transportation from China to North America is usually in peak, for Christmas shopping season from September to 1st October, which is before the National Day of China.
Chinese suppliers also want to get their cargo out before the National Day of China and in time for the Christmas shopping season, so the volume of goods in September is very high and I expect international logistics to reach its peak.
No space for Karachi port in India
Other than that, there has been a change in the sea transport to Karachi, India. Inquiries for Karachi have been increasing since the end of August, and when we checked sea freight rates and space, many shipping companies said there was no space available for September.
We could manage to secure a space with the shipping company we normally use, however the ocean freight rate was double.
Why is there no space for Karachi, India? Perhaps it is influence of Afghanistan. The transportation route from India is as follows.
1. India：Karachi port
2. Iran：Bandar-e ʿAbbās port
Because of the current situation in Afghanistan, shipping companies may not want to collect containers at Karachi port.
As logistics of Christmas for North America will be in full swing, more containers will be gathered in China in September. As a result, there are concerns about container and space shortages in various regions.
I think we will reach the peak in September and then adjust to the chaos. In addition, the world situation is also changing day by day, so we need to constantly update our logistics information.