Dear Valued Client
The chaos relative to the Far East route sadly continues. The situation is still very volatile, and all routes are seriously congested.
In the last week we have seen most booked shipments rolling to the next vessels. In terms of space release for new bookings, unless exorbitant “premiums” are being paid (where this is offered) space is generally fully booked until end of second week June at best. Freight rates have continued to escalate daily as shipping lines profit from the congestion. Whilst varying port to port, we are seeing rates increase by as much as US$ 1000 / TEU in the last five working days. Added to the congestion, which lines are advising is up to three weeks in most ports, there is now also a serious lack of empty container equipment as containers are tied up in the congestion loops and empty equipment at load ports is being exhausted. Shortages of 40ft HC are especially an issue at present.
Once again, we assure you that SCT are being as proactive as possible in every single case. For every booking we are approaching all shipping lines and where lines offer us “premium” or guaranteed rates to secure space, these are being offered to clients to consider despite the insanely high costs being applied. Our teams are also considering mode changes where relevant e.g. FCL to LCL or LCL to airfreight, or equipment changes example: 40ft to multiple 20ft or the use of NOR Reefers. Where any changes can be considered to expedite orders, our team will share these with you for consideration. SCT and our partners at origin assure you of our upmost attention to secure movement as soon as technically possible and at the lowest rates we can achieve. Once again, we would recommend that where possible, at least 3 weeks should be added to lead times to try and ensure your “in store” requirements are met. There does not appear to be any significant change in shipping line or port action / strategy that could possibly drive a swift resolution of the congestion scenario, and we anticipate that the current trends on space and rates are unlikely to change in the next month.
Please do not hesitate to contact our management team to discuss any of these matters or details on any specific shipments, as we work together to try and navigate these difficult times.