Episode 1206: Think Tank: Congestion, container rates expected to rise further along Asia to Europe route
Chemical companies can expect to pay even more for container space along the Asia to Europe route as attacks against shipping persist, port congestion grows and demand rises. - Shipping rates soar amid congestion, rising demand, echoing post-pandemic era- Shipping reliability, customer service levels have fallen- Shippers reorganizing routes, focussing on big ports like Singapore- Global container shipping capacity growing by 20% year-on-year - Container fleet utilization over 90% despite rising supply- End of Houthi Red Sea attacks would cause freight rates to collapse- Demand rising for containers even though industrial demand is flat - Huge investment in port, road, rail infrastructure especially in Asia- Logistics problems leave oversupply trapped in Asia- More trade barriers may protect regional markets