Current State of Container Bookings from China/Asia to the UK and Europe
Ocean freight rates are surging as carriers report a severe lack of space on the Far East and Southeast Asia inbound routes.
Key factors include:
- Red Sea crisis
- Increased demand
- Longer journey and transit times
- Carrier's blanked sailing programs
There's a significant imbalance of empty containers due to vessel diversions from the Red Sea/Suez route. When vessels divert around the Cape of Good Hope, it adds around 12 extra days to reach the UK and another 24 days to return to origin. During this period, demand for loading containers continues, but with fewer empty containers available, rates are pushed higher due to the scramble for the remaining ones.
Rising Ocean Freight Rates
Rates on the Asia-Europe trade route are rapidly escalating, with new General Rate Increases (GRIs) already being applied despite recent hikes.
Equipment shortages are causing booking challenges, similar to the post-pandemic period. Providing booking forecasts 4–6 weeks in advance are now essential to secure space.
Additionally, shipping lines are imposing fees for late cancellations. Cancellations within a week of sailing may incur fees.
Our team is working diligently to keep you updated and help mitigate additional costs. We are committed to minimising these costs and providing the best possible service.
Get in touch if with any questions or if you need help.