CONTAINER shipping lines operating from the US to Asia have recommended a two-stage increase in freight rates for shipments of metal scrap. Carriers in the Westbound Transpacific Stabilization Agreement (WTSA) have adopted a guideline freight rate increase of US$100 per 40-foot container (FEU) to take effect on December 1, 2003, followed by another increase of $100 per FEU effective April 1, 2004.
WTSA lines said the recommended increases are modest in light of current market conditions. Demand for metal scrap, reused in manufacturing, has grown sharply throughout Asia in recent months. It moves in large volumes, yet is among the lowest-rated commodities in the westbound trade.
WTSA is a voluntary discussion and research forum of 13 major container shipping lines serving the trade from ports and inland points in the US to destinations throughout Asia. Information on all recent and scheduled guideline actions adopted by WTSA can be found on the Agreement’s web site, www.wtsacarriers.org.
WTSA members are: American President Lines, Ltd., China Shipping Group, COSCO Container Lines, Ltd., Evergreen Marine Corp. (Taiwan), Ltd., Hanjin Shipping Co., Ltd., Hapag Lloyd Container Linie, Hyundai Merchant Marine Co., Ltd., Kawasaki Kisen Kaisha, Ltd. (K Line),Mitsui O.S.K. Lines, Ltd., Nippon Yusen Kaisha (N.Y.K. Line), Orient Overseas Container Line, Inc., P&O Nedlloyd Ltd./B.V., and Yangming Marine Transport Corp.
