Welcome to Xeneta Newsroom - Your Weekly Dose of Shipping Market Insight!
Watch the latest episode of our weekly LinkedIn LIVE series where we deliver timely shipping market insights. This 10-minute expert commentary from Xeneta's Chief Analyst and market expert, Peter Sand will provide you with specific market updates so that you can anticipate any upcoming changes or disruptions and react faster to the ever-changing market conditions.
In case you missed the latest episode, you can still enjoy the recorded session below.
Key Talking Points
- Covid-lockdowns in China
- Falling spot rates on US WC
- Global demand update
Shenzhen To North Europe Main
Starting with the week's main headlines, Peter started the Newsroom with the update on Covid lockdowns in China. Freight rates on the spot market are dropping in the early days of September. If you are wondering - Isn't that only related to the COVID lockdowns in Shenzhen? Peter argued otherwise in the broadcast.
If you operate in a large area like China, you will also tend to see rolling lockdowns of COVID impacting global shipping and supply chains. But this time around, you would not see a direct one-to-one impact from the COVID lockdowns compared to what we witnessed in Shanghai earlier in the year and about a month ago in Taiwan when we had Taiwan in the main picture for all of us.
Geopolitical tensions are racing freight rates from Taiwan to Mainland China but lowering freight rates from Taiwan to the US. Don't expect these lockdowns to affect only Shenzhen this time around. You will see some of the same developments from other origins in China. Be aware that COVID lockdowns are still impacting the hinterland logistics, getting boxes, get in-get out. Of course, some of the logistics, manufacturing facilities, and workers are affected to a large extent.
We still expect this to be the case for the rest of the year in Shenzhen and other places. Chengdu was only around recently close to Chongqing.
Falling Spot Rates On USWC
Relevant Links:
- Weekly Rate Update analysis
- September 2022, LIVE State of the Market Webinar
- Xeneta Customers Say: 78% Accept Increase to Bunker Formula for Q3 Within Existing Contracts
- The song that sets the tone for this week
- Full Episode
Want To Learn More?
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