IHSA Shippers Association

Carriers are facing many uncertainties as we enter 2024. Unstable freight rates caused by vessel overcapacity will be a major topic during the upcoming contract negotiation period. Experts are predicting a four-month window for most Asia to U.S. contract negotiations to be finalized starting January 1 and ending April 30. Unfortunately for the carriers, they don’t have a…

As 2023 draws to an end, there is a lot of uncertainty on whether the 2024 Asia-to-U.S. market will be profitable or disastrous for the carriers. Unfortunately for the carriers, early warning signs indicate that the latter will prevail. The biggest issue carriers face is overcapacity. Until that issue is resolved, the carriers will continue to burn through cash. The carriers…

Over the last few years, shippers have been slowly but steadily shifting imports away from West Coast ports to East Coast ports. There are now indicators showing that the pendulum is shifting and shippers are beginning to return to West Coast ports. There were plenty of reasons for shippers to make the shift away from West Coast ports. For starters, the lack of a contract…

There are clear indications that the carriers are worried about the strength of the Asia-to-U.S. market. Rates are on a downward trajectory and services are being suspended. These are telltale signs that the demand is not close to rebounding. The carriers have canceled hundreds of sailings since the beginning of July in the Asia-to-U.S. market. However, they have shown…

The Asia to U.S. market finally showed an increase in container shipments during the months of July and August. As a result, finding sufficient space on containerships became a challenge and spot rates increased significantly. Carrier executives were anxiously watching the last two months hoping the increase in volume was the beginning of a rebound that industry experts had…

Carriers have tried for months to increase spot rates on containers shipping from Asia to the U.S. Low consumer demand has rendered those attempts futile until now. Carriers believe spot rates have finally hit bottom. This optimism could stem from the uptick in rates the market experienced in July. For the first time this year, spot rates have accepted a meaningful increase…

Carriers continue to struggle finding sufficient volume to fill their ships on the Asia to U.S. trade lane. Demand started to soften last summer and has never fully recovered. While volume is expected to increase slightly heading into peak season, carriers are faced with a dilemma on how to handle rates. Carriers have been trying to increase spot rates for the last several…