U.S. western and eastern sea freight rates rise for four consecutive months... Short-distance routes such as China and Japan decreased
Quick Look
- Last month, ocean freight rates to the United States rose 0.5% in the West and 24.8% in the East, continuing an upward trend for four consecutive months.
- On the other hand, freight rates for short-distance routes such as China, Japan, and Vietnam fell, while freight rates to the Middle East recorded an upward trend for six consecutive months.
AI-generated summary
Why It Matters
Sea freight rates to the United States have been on the rise since last May, and freight rates to the Middle East have been rising for six consecutive months since March.
Last month, ocean freight rates to the United States rose all at once, continuing an upward trend for four consecutive months.
Middle East risks appear to be continuing as freight rates to the Middle East have been rising for half a year.
According to the 'August Sea Export and Import Transportation Costs' announced by the Korea Customs Service on the 15th, the sea export container freight rate (based on 2 TEU) to the western United States last month was 8,589,000 won, up 0.5% from the previous month.
Eastbound fares jumped 24.8% to 9,973,000 won.
Freight rates to the west and east of the United States have been rising since last May.
Those to the European Union (EU) fell 9.4% to 5,014,000 won.
The fare to the Middle East rose 1.7% to 8.838 million won. It has been on the rise for six consecutive months since March.
In short-distance routes, China's prices plummeted 22.4% to 652,000 won.
Japan fell 0.7% to 662,000 won, and Vietnam fell 9.0% to 1.558 million won.
Sea import transportation costs fell in the eastern United States (-8.0%), the European Union (-11.8%), the Middle East (-17.7%), China (-4.3%), and Vietnam (-5.0%), and increased in the western United States (2.2%) and Japan (14.4%).
Airline import transportation costs fell in the EU (-8.5%), the Middle East (-1.9%), China (-8.7%), and Vietnam (-12.1%), while they rose in the United States (0.8%) and Japan (1.9%).
Open Questions
- What is the specific cause of the rise in U.S. sea freight rates?
- Will the decline in freight rates for short-distance routes between China and Japan continue?
