The new year has not brought relief to the container shipping market, especially on the main fronthaul trades, says Xeneta in its latest market update.
No relief in sight for shippers in 2022 as freight rates continue to be elevated
January 13 2022: The new year has not brought relief to the container shipping market, especially on the main fronthaul trades, says Xeneta in its latest market update.
"Pre-Chinese New Year demand and continued congestion keep spot rates elevated while carriers’ upper hand in the ongoing negotiations for long-term contracts mean these are seeing large jumps from levels at the start of last year."
Volumes on the long-term market will grow this year as carriers want to secure revenue and many shippers want to secure capacity and avoid the pain they have felt on the spot market over the past year. "This means that even if spot rates soften over the year, the average cost of shipping this year will be higher than ever before."
