Rates spin as Chinese ships dropped from U.S. routes

After climbing steadily the previous week, average spot rates for containers moving from Asia to the United States shifted into decline, as machinations in the trade play havoc with capacity and schedules.

Far East to U.S. West Coast rates were $2,322 per forty foot equivalent unit (FEU) as of Sept. 11, according to consultant Xeneta, while Far East to U.S. East Coast was $3,190 per FEU.

This comes as average spot rates from the end of August into the West Coast are up 27.1%, and 11.8% to the East Coast.

The spread in average spot rates between the coasts of $868 per FEU, said Xeneta, shows their ‘normal’ relationship is out of balance after rising as high as $1,027 per FEU on August 31. The imbalance will reverse when current conditions ‘calm down,’ as carriers adjust to fast-moving tariff and trade uncertainty.