SHANGHAI, May 17(SMM) - Ocean freight has fallen recently after a drastic spike earlier this year, and more ships have become available for renting. According to data released by a number of shipping consulting agencies, the spot freight rates on some routes from Asia to Europe and the United States have recently declined, and the demand for maritime container transportation has also declined.
The Shanghai Shipping Exchange released the latest Shanghai Containerized Freight Index (SCFI) on on May 13, which fell for 17 consecutive weeks, down 0.38% on a weekly basis to 4147.83 points, and the SCFI fell 18.82% so far this year.
A number of airlines and freight forwarding practitioners said that due to the conflict between Russia and Ukraine and the pandemic control, there was limited transportation of raw materials, semi-finished products, and finished products, which is the key to the continued decline in market freight rates.
However, with the gradual lifting of the pandemic lockdown in Shanghai and the steady resumption of work and production, the shipments of goods will gradually pick up in the short term. With the accelerated resumption of work and production and policy support , the manufacturing industry will see a wave of surging shipments, and the shipping industry is expected to usher in relatively strong market demand. The pressure on the supply chain will increase again by then, supporting the rise in freight rates. The industry expects to see a boost in cargo volume at the end of May and early June at the earliest.