Shipping costs have been rising this year, and sellers are worried, but shipping companies are making a lot of money as the market is booming. A few days ago, the topic #Shipping costs have skyrocketed 10 times, but it’s still hard to get a container# became a hot search, which shows how anxious it is to have cargo but not on board.
Since the outbreak of the epidemic, the supply chain and maritime logistics in many parts of the world have been unstable. Some orders have returned to China. The volume of shipping from China to all parts of the world, especially across the Pacific to the west coast of the United States, has continued to increase. Coupled with the shopping peak season in the second half of the year, many companies and shops in the United States have stocked up in large quantities, the demand for shipping has increased sharply, and there is an acute shortage of cargo ship containers.
Due to the epidemic in many places overseas and the aging of port facilities, the local loading and unloading and transportation efficiency has been significantly weakened, and the number of containers that can be brought back is limited, which will cause problems such as rising freight rates.
It is understood that Mediterranean Shipping Company (MSC) has recently issued two shipping price increase notices, including three major price increase items: freight rate increase (GRI), peak season surcharge (PSS) and port congestion charge (CGS)!
One of the price increase notices shows that starting from October 15, the freight rate (GRI) and peak season surcharge (PSS) will be increased at the same time. Not only has the freight rate increased, but the amount of the increase is even more astonishing. The notice shows that the increase for a 40-foot container is as high as US$9,188, and the 45-foot container is an astonishing increase of US$10,761!
Moreover, this freight rate increase is mainly for goods with the departure port being ports in South China and Hong Kong and the destination port being ports in the east and west coast of the United States.
For many sellers, it is already difficult to grab containers and ship and upload goods under the current circumstances. They also have to bear the ever-increasing freight rates, peak season surcharges and port congestion fees, which is really worrying. It is estimated that the freight rate increase will continue, so sellers are requested to be mentally prepared. Mediterranean Shipping Company launches three price increase projects Rising freight rates |
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