United States-Asia container lines to raise dry cargo rates

Cargo demand continues to rise in the United States-Asia freight market, but transpacific freight rates remain severely depressed in both directions and container lines find themselves under mounting pressure to improve revenues in order to meet customers’ service requirements.

Effective February 15, member lines in the Westbound Transpacific Stabilization Agreement (WTSA) are recommending a new 2010 general rate increase (GRI) for dry cargo rates – including rates for commodities exempt from tariff filing – in the amounts of US$100 per 40 foot container (FEU) and $80 per 20 foot container (TEU) for cargo originating at the ports of Los Angeles and Long Beach on the United States West Coast; and by $150 per FEU and $120 per TEU for all other dry cargo, including shipments from other West Coast ports, all-water shipments via the United States East and Gulf Coasts, and inland point intermodal moves.

WTSA lines indicated that the February adjustments are part of a larger 2010 revenue program which is to include quarterly increases throughout the year as market conditions dictate.