Container lines in the U.S.-Asia trade are recommending a new round of dry cargo rate increases to take effect on July 1.
Member lines in the Westbound Transpacific Stabilization Agreement (WTSA) have proposed increases to existing rates of US$50 per 40-foot container (FEU) from California ports and $100 per FEU for all other intermodal and all-water shipments, with proportionate increases for other equipment sizes and cargo otherwise rated.
WTSA executive administrator Brian M. Conrad said the relatively modest increases are part of an ongoing incremental strategy throughout 2012 to restore rates to compensatory levels that will adequately meet service demand, attract container equipment into the trade, and reverse steep declines in revenues and carriers’ overall financial health.
Conrad added that increases are primarily focused on commodity segments where rates have fallen the farthest and/or have not taken increases in previous rounds.
WTSA is a voluntary discussion and research forum of 10 major ocean and intermodal container shipping lines serving the trade from ports and inland points in the U.S. to destinations throughout Asia.
WTSA members include: APL, Lt, COSCO Container Lines, Ltd, Evergreen Line, Hanjin Shipping Co., Ltd, Hapag Lloyd AG, Hyundai Merchant Marine Co., Ltd, K Line, NYK Line, Orient Overseas Container Line, Ltd and Yang Ming Marine Transport Corp.
