June Global Shipping Market Dynamics Forecast

June Global Shipping Market Dynamics Forecast

According to data from the Shanghai Shipping Exchange, the latest issue of the SCFI Export Container Composite Index, released on May 17th, achieved six consecutive increases, with a month on month increase of 9.32% compared to the previous week and the highest point since mid September 2022; With the arrival of the traditional shipping peak season, the export freight rates of major domestic ports will further increase in the next four months, and it is expected that there will be a pullback in the fourth quarter;

On May 14th, the White House announced that the United States will impose a 301 tariff on a series of goods from China, involving seven major industries, including new energy products such as electric vehicles, lithium batteries, and photovoltaics in China's "new three types" of foreign trade exports, with tariff increases ranging from 25% to 100%.

China to United States

Cabin space continues to be tight, and cargo explosion and dumping will continue in the next two weeks; Some shipping companies have already opened overtime ships from the West to alleviate the pressure of booking backlog.

Following the successful two rounds of GRI promotion in May, coupled with the continued hot market, shipping companies have been preparing their GRI plans for early June and peak season surcharges for long-term customers; The shipping company will timely launch premium services for priority container placement.

In response to the risk of railway strikes in Canada, the shipping company has temporarily suspended the transportation of goods from Canadian inland points and partially adjusted the order of loading in order to ensure that the existing transportation capacity is not further affected.

China to Latin America

With the arrival of the traditional peak season, the market demand is booming; At the end of May, the cabin was basically sold out, and the situation of cabin explosion is expected to continue until mid June.

FAK freight rates continue to rise on a weekly basis, and shipping companies are preparing for a new wave of GRI plans in early June, and have successively launched premium services with priority for cargo space release.

The situation in the Red Sea, coupled with the arrival of the traditional peak season, has led to varying degrees of congestion at the destination port. Many factors have caused delays in the return of empty containers by shipping companies, further exacerbating the shortage of containers.

China to Europe

The demand for booking is still strong, and it is expected that most shipping companies will find it difficult to obtain one cabin in the coming weeks. It is recommended to book at least 4 weeks in advance.

The shipping company has issued an official notice to raise FAK freight rates again on June 1st, and has also launched premium services for cargo hold and container protection.

The situation of tight container conditions continues, further affecting shipment arrangements.

China to Mediterranean

By the end of May, the cabin space is basically sold out, and the cabin space has also tightened in the first half of June. It is recommended that customers book the cabin at least 4 weeks in advance.

The shipping company has issued an official notice to raise FAK freight rates again on June 1st, and has also launched premium services for cargo hold and container protection.

Greece has severe congestion in Piraeus, with an average waiting time of 6-7 days for large ships; The port of Barcelona in Spain is also congested, with an average waiting time of 3-4 days for large ships.