According to the Freightos Baltic Indexes, global freight prices have pretty much recovered year on year, and they got a surge of encouragement from last week’s EBS.
Three trends to note:
Ocean Freight Rates Are Back On Track
Even though ocean carrier earnings are suffering, in part triggering the current EBS, there is some good news in the general trend of global freight rate: they are pretty much back on track, year on year.
The last time China/East Asia-US year on year rates were up year on year was 39 weeks ago. West Coast is now at 96% and East Coast at 99%. The global freight index is at $1,326/FEU, and as the following graph shows, is rapidly catching up with this time last year ($1,410).
The EBS Spiked Rates To Europe
On June 1st, the EBS had an immediate impact on the China-Europe (7.8% week on week jump). The EBS will come into effect for lanes into the US on July 1st.
Air Freight Rates Remain Very Stable
For the eleventh straight week, air freight rates have come in at $2.90-$5.00 for China-US (average general rates and average express rates), $2.80-$4.50 for China-Europe and $1.80-$2.70 for Europe-US.
