According to CCTV News, the continuous increase in sea freight is posing challenges to the export of small and medium-sized foreign trade enterprises.
The staff of Yiwu Port told CCTV reporters that the increase in sea freight prices caught some traders off guard and forced them to delay shipments, resulting in a serious backlog of goods.
It is understood that some shippers adjust some shipping plans based on the freight rate. If the freight rate is too high, it may be delayed or delayed later.
The person in charge of a sports equipment company in Yiwu City said, "Some of the goods produced, such as those shipped on the 10th, cannot be containerized on the 10th. One delay may take ten days, a week, or even half a month. The accumulated cost is about one or two million yuan this year."“
A foreign trade enterprise in Ningbo told CCTV reporters that orders in the European and Middle Eastern markets have continued to increase recently, with order volumes increasing by about 50% compared to the same period last year. However, due to the continuous increase in sea freight prices and the inability to book space, the company has delayed the shipment of 4 containers of goods, with the latest being nearly a month later than the original scheduled time.
Nowadays, the shortage of containers and insufficient transportation capacity is still intensifying, and many foreign trade cargo owners have directly scheduled their cabin bookings until mid June, making it difficult to find a cabin on some routes. A freight forwarder said that the previously reserved space is not enough now!
Recently; Multiple shipping companies have issued price increase letters, raising the rates for major shipping routes.
Nowadays, the freight rates for certain routes from Asia to Latin America have skyrocketed from over $2000 per 40 foot container to $9000 to $10000, and the freight rates for routes in Europe, North America, and other regions have almost doubled.
Experts say that the increase in sea freight rates reflects a certain degree of recovery in global foreign trade. In the first four months of this year, China's import and export volume of goods increased by 5.7% year-on-year, and in April, it increased by 8%, exceeding market expectations.
Associate Researcher at the Institute of Foreign Economics, China Academy of Macroeconomics: Since 2024, the marginal improvement in demand in Europe and America has led to a favorable foreign trade situation in China, providing fundamental support for the increase in maritime demand and prices. At the same time, due to the uncertainty of post election trade policies in the United States, coupled with expectations of rising peak season freight rates, many purchasers have also started pre inventory, leading to a further increase in demand for sea freight.
From the supply side perspective, the Red Sea situation remains one of the main factors affecting the trend of the container shipping market. The ongoing tense situation in the Red Sea has led to cargo ships taking a detour around Cape Verde, significantly increasing route distance and sailing days, and driving up sea freight prices.
Associate Researcher at the Institute of Foreign Economics, China Academy of Macroeconomics: The rise in international fuel oil prices and congestion at ports in multiple countries have also simultaneously pushed up the cost and price of sea transportation.
Experts say that sea freight prices fluctuate in the short term, posing challenges to the cost and timeliness of foreign trade entities in shipping. However, as the cycle passes, prices will fall and will not have a significant impact on the macro level of China's foreign trade.
In the face of rising sea freight rates, foreign trade enterprises in various regions are also adapting to changes.
Traders have actively responded to the challenges of rising freight rates and insufficient transportation capacity, and factories have increased their production efforts, increasing the number of production lines from one to two and shortening the production time at the front end.
A certain international limited trading company in Shenzhen used to rely solely on sea freight express ships. Now, they will choose slower regular ships to extend the cargo operation cycle and reduce costs. At the same time, they will take necessary operational measures to reduce operating costs, plan shipments earlier, send goods to overseas warehouses, and then transfer them from overseas warehouses to US warehouses.
Freight forwarders estimate that this situation will continue for two to three months. July and August are the peak seasons for traditional shipments, and August and September are also the peak seasons for e-commerce. It is estimated that this year's peak season will last for a relatively long time.
Source: Souhang Network
