Eastbound Trans-Pacific Rate Rises Slightly Following Quiet Few Weeks

Posted on: Jan 12, 2014

After three weeks of no change, the Drewry benchmark rate for shipping from Hong Kong to Los Angeles rose this week. The rate climbed 10.6 percent or $200 per 40-foot container in the week of Jan. 15, reaching $2,086 per FEU, the highest level since early September 2013. This increase was planned by the members of the Transpacific Stabilization Agreement for January 15.

Drewry expects pricing to remain firm in the weeks leading up to the Chinese New Year but decline subsequently as Asian export volumes slow on account of factory closures in China, Drewry said in this week’s release. Despite the increase, the current rate is still down 17.4 percent year-over-year. Carriers including MOL, Cosco, Evergreen and U.S. Lines announced that they would adopt this increase.