International Freight Costs - Unprecedented challenges in 2021
International Freight Costs - Unprecedented Challenges in 2021
Since October 2020, container freight costs have increased from approximately US$2,200 /feu (40ft) to around US$10,000/feu within a matter of 10-12 weeks. Industry professionals are forecasting further spot-rate increases in January 2021, with one UK forwarder confirming this week (early January), that rate quotes have now hit $13,000 per 40ft high-cube on the Asia-Northern Europe route. Our industry contacts are advising us, that actual rates paid by shippers to absolutely secure containers on last remaining slots to Europe could be significantly higher.
In addition, many carriers report being fully booked and advise that they have either run out of empty containers or are soon about to. Vessels are also frequently arriving late into UK ports due to delayed departures in Asia.
The following provides some further insights into the challenges currently facing us. Please find below several recent news articles from the logistics industry journal; The Load Star.
You may also be interested in reading the January update from; Noatum Logistics
We hope the above provides some insight into the recent unprecedented increases in freight costs from the Far East which are impacting all UK importers sourcing product and components from the Far East at this time.
Thank you for your much-valued business and support at this time.
S&J UK Supply Chain Manager