I'M SURE it’s been a busy week for most, with not only the lead up to China’s compressed holiday calendar, but also the AFL Grand Final keeping plenty of us occupied.
I’m sure your heads are spinning, much like mine!
While operators might enjoy what is hopefully a little relief from trying to find trucking and bookings in China, there’s no doubt there’s still plenty more to keep you busy.
The Drewry World Container Index eased 1% this week, largely due to lower Asia-Europe rates. With Golden Week approaching and carriers managing capacity through blank sailings, Drewry expects rates to soften again next week, while increasing Suez Canal transits are also adding capacity.
It’s a very different story across Intra-Asia, where the Drewry Intra-Asia Container Index increased another 6%, reaching an all time high for the fifth consecutive week. Rates from China into Southeast and South Asia continue to strengthen, with Golden Week demand, typhoon disruption, congestion and changes in effective capacity all contributing. Vessel waiting times in Shanghai and Ningbo have also increased.
The back to back Mid Autumn Festival and Golden Week holidays, combined with congestion and vessels transitioning back towards Suez, are creating a volatile environment.
Scheduled Asia-North Europe capacity across the four weeks around Golden Week is 27% higher year on year, partly due to delayed vessels sailing alongside scheduled services.
Once the backlog clears and Golden Week reduces export volumes, the market could quickly move from tight capacity to too much available space. Shippers should treat mid to late October schedules with caution, with the potential for blank sailings, rolled cargo and further changes. Maersk is already adjusting its Qilin service, with 10 Asia-Australia sailings affected.
And there’s plenty happening beyond the major trade lanes this week too, with exporters in India continuing to face empty container shortages at JNPA (Nhava Sheva) while APM Terminals Pipavav has achieved a milestone with its first double stack Python train to Dadri.
So, what else is happening out there?
Today’s picture is of one of the regular callers into Fremantle, Westport. She’s another big vessel to call in at 336m LOA. Back in 2007, she was known as YM Ultimate. Did you know that while a vessel can change its name, her unique IMO number doesn’t change?
I hope everyone has a great weekend, and in some states, a long weekend!