Asia-US container rates fall 32% in latest week

Overcapacity in the trans-Pacific container trade lanes blew up carriers’ plans for November general rate increases, which had briefly pushed prices to the U.S. West Coast up to about $3,000 per forty foot equivalent unit (FEU).

Rates dropped 32% last week to $1,900 per FEU, according to the latest update from Freightos (NASDAQ: CRGO) and fell an additional $100 this week, though they remain above the $1,400 per FEU yearly low from early October. East Coast rates fell 8% last week to $3,400 per FEU and are now at $3,000 per FEU this week, roughly back to early October levels.

“Last week’s vessel fire at the Port of Los Angeles does not seem to have had an impact on prices as operations have quickly recovered,” said Freightos research chief Judah Levine, in a note to clients. Rates are now about even with levels from early October before the rollout of the latest GRIs.

The vessel ONE Henry Hudson returned to berth after being towed to anchorage safely outside the port while emergency responders fought a stubborn fire belowdecks.