Zencargo Market Update: 24th July

China

Ocean

• Rates from China to the US saw an increase this week.
  • Rates from Asia to the US west coast grew by 24% according to Xeneta’s XSI.
  • Part of this increase has been attributed to the recent uncertainty on the Canadian west coast, as shippers divert shipments following the industrial action in British Columbia. 
• New figures have revealed China’s post covid economic recovery has continued to be sluggish in Q2.
  • China’s GDP grew just 0.8% in Q2 slowing from 2.2% growth in Q1 this year. 
  •  Weak consumer spending in the US and Europe has resulted in lower demand for Chinese manufacturing, which analyst state has contributed to the slow recovery. 

Air

Central China to USA and Europe 

• From SHA to Europe rates and the US rates have remained stable.
  • C-Check’s (circraft compliance checks) have resulted in some flight rescheduling and cancellation however due to low cargo volume this hasn’t impacted rates.
• From NGB to Europe rates have decreased while to the US rates have increased.
  • Final rate is offered on a case by case basis.

North China to USA and Europe 

• From TSN to Europe and the US, rates have remained stable this week. 
• From PEK to Europe and the US, rates have remained stable this week. 
  • Due to hot weather resulting in an off-load, most carriers are facing a flight split. 
• From TAO to Europe rates have remained stable this week, while rates to the US have increased slightly.

South China to USA and Europe 

• From CAN to Europe and the US, rates have remained stable this week. 
  • All shipments will need to be checked with the carrier for rates on a case-by-case basis. 
• From SZX to Europe rates have remained stable, while to the US, rates have decreased slightly.
  • All shipments will need to be checked with the carrier for rates on a case-by-case basis. 
• From XMN to Europe and the US rates have remained stable.
  • All shipments will need to be checked with the carrier for rates on a case-by-case basis.

USA

Ocean

• As sustainability continues to transform the supply chain industry, there have been some recent developments in ports across the US.
  • The Port of San Diego has welcomed two new electric cranes into operation. These are the first of their kind in the US.  The cranes are the latest step in the port’s ambition to transition all cargo handling equipment to zero emission vehicles by 2030.
  • A new charging station for electric trucks has been installed at the Port of Long Beach. This is key infrastructure to support an industry shift to electric HGV vehicles. 
• Drought conditions in the US are threatening inland waterway transportation
  • Water levels on the Mississippi and Ohio rivers have fallen, with further falls forecasted.
  • Both rivers are currently approaching the low stage classification where shipping lanes may need to be narrowed and risk of barges running aground increases.

Benelux

Ocean

• The Port of Rotterdam has experienced a drop in throughput for H1
  • Total throughput for H1 at the port has fallen by 5.5% when compared to the same period last year.
  • While volumes have been decreasing, the rate of decline has been less severe in Q2 (-4.6 per cent in TEU) compared to the results after the first quarter of this year (-5.8 per cent in TEU).
  • This drop in throughput has been attributed to a challenging global economic environment and reduced consumer demand in Europe.

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.

July 25 – Spain*

July 28 – Spain*

Aug 5 – Croatia, Spain*

Aug 7 – Ireland (Eire)

Aug 14 – Romania*

Aug 15 – Austria, Belgium, Croatia, Cyprus, France, Germany*, Greece, Italy, Lithuania, Luxembourg, Malta, Poland, Portugal, Romania, Slovenia, Spain

Aug 20 – Estonia, Hungary

Aug 29 – Slovakia

Sep 1 – Slovakia

Sep 2 – Spain*

Sep 4 – Luxembourg*

Sep 6 – Bulgaria

Sep 8 – Malta, Spain*

Sep 11 – Spain*

Sep 15 – Slovakia, Spain*

Sep 18 – Switzerland*

Sep 20 – Germany*

Sep 21 – Malta

Sep 22 – Bulgaria

Sep 24 – Austria*

Sep 25 – Switzerland*

Sep 27 – Belgium*, North Cyprus

Sep 28 – Czech Republic

Oct 1 – Cyprus, San Marino

Oct 3 – Germany

*Not in all regions