The entire shipping industry must be prepared for significant rate increase action as carriers struggle to survive, especially in the hard hit Pacific trade lanes. Following a dramatic downturn in cargo volumes in 2008, ocean freight rates have nose-dived, triggering huge financial losses among the carriers. No-one could reasonably expect these low freight rates to continue. Already carriers are parking vessels, reducing service and consolidating in efforts to stem the bleed. If North American importers and exporters hope to have direct, frequent capacity on the Pacific trade lanes, rates must be restored to compensatory levels.

In an announcement Tuesday, the Transpacific Stabilization Agreement (TSA) issued new voluntary guidelines that called for an additional $1,000 per FEU for intermodal shipments to interior U.S. destinations and on all-water services from Asia to the East Coast. The guidelines also call for lines to institute general rate increases of $800 per FEU for Asia to U.S. West Coast shipments. The TSA announcement also suggests a peak season surcharge of $400 per FEU to come into effect August 1, 2010 "to address higher cargo handling, equipment positioning and contingency planning costs during periods of peak cargo volume". Lastly, the guidelines call for "full collection of fuel and other accessorial charges".

Source: CIFFA