Several major container lines serving Asia-Europe trade, including ports in the Indian sub-continent, have announced plans to hike freight rates in December, according to shipping industry sources. The announcements come amidst reports of plunging Asia-Europe rates.

According to the Shanghai Containerised Freight Index recently, Asia-Europe rates plunged 11.4 per cent to $1,225/TEU as all trades declined, with rates on the Asia-Mediterranean trade falling 10.4 per cent to $856/TEU.

Meanwhile Hong Kong’s Orient Overseas Container Line (OOCL), South Korea’s leading flag Hanjin Shipping, China’s Cosco and Emirates Shipping of the UAE, have also unveiled plans to hike rates from the Far East to North Europe from December.

Thus, OOCL will levy a $550/ TEU from the Far East to North Europe and a $650/TEU to the Mediterranean and Black Sea ports from December 15. The carrier has also announced a $350/TEU peak season surcharge from January 10 ahead of the Chinese New Year shutdown that starts the week from February 10.

According to Hanjin, the rates will increase by $600/TEU and $1,200/ FEU for services from the Far East (including Japan) and South-East Asia to north Europe, the Baltic and Scandinavia as well as services from the Indian subcontinent to the Middle East and north Europe, the Baltic and Scandinavia and services from the Far East (including Japan) and South-East Asia to the Mediterranean and north Africa.

COSCO has announced a general rate increase of $550/TEU for all shipments from the Far East, including Japan and the Indian subcontinent, to north-west Europe and $650 /TEU for the Mediterranean, including Israel, Lebanon, Syria, North Africa and the Black Sea port effective December 15.

Emirates Shipping will levy a $250/TEU rate increase on cargo from the Far East and South-East Asia bound for the Indian subcontinent as well as increasing rates of $300/TEU from the Far East and South-East Asia to the Middle East ports effective December 1.

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