Spot rates dropped 27.4 percent over 13 weeks beginning on Sept. 1. It is the lowest weekly spot rate since June 25.
The spot market drops came at a time when operating costs for carriers on the trans-Pacific eastbound trade are rising due to extreme congestion at U.S. West Coast ports. The 15-members of the Transpacific Stabilization Agreement announced a Dec. 15 GRI today to combat the falling spot rates. The carriers will attempt to raise rates by $1,000 per FEU, the largest rate hike in recent TSA history. GRIs in October and November were not successful, with an average realization of less than 25 percent.
For more information, click here.