Zencargo Market Update: 22nd April 2024

Ocean

• Space in April is very tight which has prompted carriers to implement GRIs for May. 
  • Any space available in April is at a premium rate and only available for South China. 
  • There is no space in North China around Shanghai and Ningbo , even at a premium rate. 
• There is a 10-13% capacity reduction in the first half of May due to the reshuffling of the Ocean Alliance and also blank sailings from THE Alliance. 
  • This is impacting the space available in May and North China is more impacted than South China.
  • There is indication that space will be tight across the whole of May therefore pre-booking space in advance will be essential.

Air

Central China to Europe

• From SHA to Europe, the market is busy this week and there is less available space. 
  • Rates are higher and space until the middle of the week is nearly full. 
  • Please check space and rates in advance of booking. 
• From NGB to Europe, rates are increasing this week and final rates depend on a case-by-case basis. 
  • Please check space and rates 4-5 days prior to cargo ready date. 

North China to Europe

• Rates from Korean Airlines from TSN to Europe are high and fluctuating. Asiana Airlines are confirming rates on a case-by-case basis. 
  • Singapore Airlines are providing a cheaper rate but they require 7-10 days in advance to book. 
  • The market is tight compared to last week. 
• On DLC/PEK to Europe, rates with most airlines are increasing this week. 
  • To secure space, book a week in advance. 
• The market is busy this week from TAO to Europe and space is very tight. Estimated Time of Departure is 5-7 days after booking. 
  • Rates have increased significantly over the weekend. 

South China to Europe

• From CAN to Europe, space will be tight due to the incoming Labour Day holiday on 1st May. 
• From SZX to Europe, the market is busy and carriers have increased their rates.
• From XMN to Europe, rates have increased since last weekend. Rates will need to be checked on a case-by-case basis. 

Ocean

• There have been no big changes in rates for the 2nd half of April. 
  • There has been a slight rate decrease to main US East Coast Ports, which comes as a surprise given the closure of the Port of Baltimore and increased volumes hitting other main East Coast ports. 
  • Space has become very tight as long term contracts are coming to an end. 
• Starting from 8th May, HMM will introduce an additional Vietnam – China – Taiwan – US West Coast service. 
  • This will be serviced by buying a fixed allocation of 250 TEU slots per round voyage on the AP1 loop, which is jointly operated by WHL and ONE. 
  • This service replaces WHL’s standalone Asia – US West Coast AA3 service, which will be rebranded. 
  • The two main differences between the current AA3 and the new AP1 are as follows:
    • Hai Phong Port will be added as an additional port. 
    • Two 10,010 TEU ships by ONE will replace WHL’s smaller 3,010 TEU sister vessels, WHL 353 and 363. 

Air

Central China to USA

• From SHA to the USA, the market is busy this week. Space is less available and rates are higher. Space up to the middle of the week is nearly full. 
• From NGB to the USA, rates are increasing this week. 
  • Please check final rates on a case-by-case basis. 

North China to USA

• Rates from Korean Airlines from TSN to the USA have increased and are fluctuating. 
  • Asiana Airlines are confirming rates on a case-by-case basis. 
  • Japan Airlines needs 10 days in advance for bookings. 
  • Market is tight compared to last week. 
• On DLC/PEK to the USA, rates with most airlines have increased this week. 
  • Dense cargo can be booked with spot rates.
  • Space needs to be booked 10 days in advance.  
• The market from TAO to the US is busy this week and space is tight. 
  • Rates have increased significantly this week.

South China to USA

• From CAN to the USA, space will become tight due to the incoming Labour Day holiday in China on 1st May. 
• From SZX to the USA, the market is busy and carriers have increased rates as space has become tight before the Labour Day holiday.
• From XMN to the USA, rates are stable but this may increase over the weekend. 

Ocean

• On the Transatlantic trade, some carriers have announced GRIs for May. 
  • Space and equipment is available but issues remain in South Germany. 
  • Finally, US imports from Europe spiked by 19.6% in February and 8.4% in March following a 4.4% decline in January.

USA

Ocean

• Here is the most recent port update from the US: 
  • The Ports of LA and Long Beach have 1 vessel waiting overall. 
    • There is a 0 day wait to berth with a 9 day dwell on the rail terminals. 
  • Oakland has seen an increase in vessel traffic with 5 vessels waiting to berth with a 6 day dwell on rail.
  • New York/ New Jersey has 1 vessel waiting to berth with a 2 day dwell on the rail.
  • Norfolk and Charleston have no vessels waiting to berth. 
  • Savannah has 4 vessels waiting with a 2 day dwell on rail. 

Benelux

Ocean

• Here is an update from Hapag-Lloyd on ports in the Benelux region:
  • Antwerp, Belgium
    • PSA 913: Yard has been fully repaired after damage from last year’s accident from a collapsed crane. 
      • Yard utilisation remains at 75-80%, with reefers at 75 – 80%.
    • PSA 869: Yard utilisation is at 70 – 75%, with reefers at 55-60%.
    • AGW: Antwerp Gateways yard utilisation remains at 60-65%. Reefer plugs are at 50-55%.
• Rotterdam, The Netherlands
  • ECT: Yard utilisation is at 65 – 70%, partially driven by yard block maintenance. There are no impacts on operations. 
  • RWG: Yard utilisation is at 75 – 80% and there are no operational challenges to report.

United Kingdom

Road 

• Record numbers of commercial vehicles are in use with 625, 873 HGVs and 5, 012, 632 vans in operation. 
  • According to the Society of Motor Manufacturers and Traders (SMMT), this is an increase of 1.7% and 2.6% respectively.
  • Electric van volumes have increased by 43.5% reaching 61,161 with 1.2% of vans now being zero-emission. 
  • Electric HGV numbers have increased by 146.4% in 2023. However, this represents only 0.4% of the fleet.

European Bank Holidays

We anticipate a shortage of availability and the occurrence of delays around the bank holiday periods. Plan ahead and allow extra time for your products to be delivered.

April 25 – Italy, Portugal

April 27 – Netherlands, Slovenia

May 1 – Austria, Belgium, Bulgaria, Croatia, Cyprus, Czech Republic, Estonia, Finland, France, Germany, Hungary, Italy, Latvia, Lithuania, Luxembourg, Malta, Polan, Portugal, Romania, Slovakia, Slovenia, Spain, Sweden

May 2 – Romania*, Slovenia, Spain*

May 3 – Bulgaria, Cyprus, Greece, Poland, Romania

May 4 – Austria*, Bulgaria, Cyprus*, Latvia

May 5 – Bulgaria, Cyprus*, Greece, Lithuania, Netherlands*, Romania

May 6 – Bulgaria, Cyprus, Greece, Ireland (Eire), Latvia, Romania

May 7 – Cyprus*, Greece

May 8 – Belgium*, Czech Republic, France, Slovakia

May 9 – Austria, Belgium, Denmark, Finland, France, Germany, Luxembourg, Netherlands, Sweden

May 10 – Belgium*, Denmark*

May 15 – Spain*

May 17 – Spain*

May 18 – Sweden*

May 19 – Denmark, Estonia, Finland, Germany*, Netherlands, Poland, Slovenia, Sweden

May 20 – Austria, Belgium, Denmark, France, Germany, Hungary Luxembourg, Netherlands

May 24 – Bulgaria

May 30 – Austria, Croatia, Germany*, Poland, Portugal, Spain*

May 31 – Spain*

*Not in all regions