Industry News

Freight Rate Update – November 2018

Ronald Vincent | M.E. Dey & Co.

Here is the latest update on current freight rates for both Import and Export cargo. M.E. Dey provides the best possible rates available to our clients by reviewing various carrier options. We’ll keep you advised and informed as trade updates are announced.

Trans Atlantic Westbound (import)

· Rates remain stable. Space has loosened up a bit. As the holiday season approaches, we encourage customers to book as early as possible.

Trans Atlantic Eastbound (export)

· Rates remain stable. We have seen some rate increases for Caribbean and South American destinations. Space remains tight on many lanes as export volumes continue to increase.
· We encourage customers to book at least a week in advance.

Trans Pacific Westbound (export)

· Rates remain stable. Space remains tight on many lanes as export volumes continue to increase.
· With some carriers we are having to book 2 weeks in advance.

Trans Pacific Eastbound (import)

What a difference a month makes.

Last month we stated:

The projections we received this week are that at the end of October space will be freed up and that at the moment rates are expected to decline in November and December.

With the implementation by the U.S. of the ‘list 3’ additional duties on September 24th demand has remained strong. With the list 3 duties schedule to increase 10% to 25% on January 01, 2019 it seems that many importers are buying advance to have inventory arrive and clear customs by December 31st.

The steamship lines have continued to restrain capacity. They have scheduled additional vessels aka ‘extra loaders’, but seem to be keeping capacity at or just below current demand. This has allowed them maintain high rate levels. Current rates to the midwest are $ 1500 – $ 2000 more than last year at this time.

We encourage all customers to book at least 2-3 weeks in advance.

As mentioned in our recent newsblasts, truck power remains in high demand in many U.S. markets. Chicago continues to see very tight capacity.

M.E. Dey monitors the spot rate market daily. We work to find the best rate and service combination for our customers and pass our savings onto our customers.