Introduction

Maritime transportation is essential for international trade, moving around 80% of the goods exchanged globally. In recent months, maritime freight rates have experienced a notable increase, reaching levels not seen in the last 30 months. This increase, which on some routes exceeds 20%, is significantly affecting companies and consumers. Understanding the causes of this phenomenon and its implications is crucial to preparing and adapting to an ever-changing business environment.

Tariffs on Chinese Electric Vehicles

Impact of Tariffs

Starting in July, new tariffs will be implemented on electric vehicles from China. This measure seeks to protect local automotive industries and balance foreign trade, but adds an additional cost to imported vehicles. Shipping companies, to compensate for these tariffs, are increasing freight rates, directly impacting consumers and companies that depend on these products.

Factors Driving the Increase in Maritime Freight Rates in 2024

- Increased demand

The growth of e-commerce, economic recovery and inventory replenishment have been key factors in the increase in demand for maritime transport. As economies recover from the impacts of the pandemic, companies are increasing their inventories to avoid future disruptions, increasing the need for ocean transportation.

– Congestion in Ports

Port congestion and equipment shortages have severely impacted vessel availability and the flow of goods. Major ports such as Los Angeles and Shanghai have experienced significant delays, increasing transportation costs. In Asia, current congestion is 2 to 7 days at key ports, increasing wait times and operating costs.

– Inflationary Pressures

Rising operating costs such as fuel, maintenance and wages have pressured ocean carriers to increase freight rates. Fuel prices have risen sharply, and labor costs have also increased due to a shortage of workers in the industry. These additional costs are passed on to end consumers, contributing to the overall rise in rates.

– Geopolitical and Disruptive Events

Geopolitical events, such as the war in Ukraine and the conflict in the Red Sea, have altered routes and increased costs due to diversions and insecurity. Additionally, natural disasters and weather events, such as the Panama Canal drought, have caused supply chain disruptions, driving up rates even further.

Prospects for the Future of the Sea Freight Market

-High Rates in the Short and Medium Term

Ocean freight rates are expected to remain elevated in the short and medium term. Factors such as sustained demand, port congestion and high operating costs will continue to influence prices. However, the implementation of new port infrastructure and improvements in logistics efficiency could help moderate rates in the future.

-Preparation of Companies and Consumers

Companies can implement various strategies to mitigate the impact of rising transportation costs, such as optimizing their supply chains and diversifying their suppliers. Alternatives to maritime transport, such as air or rail transport, can also be considered to reduce dependence on this mode of transport.

Peak Season 2024: New Rises on the Horizon?

– Expectations for the 2024 High Season

The 2024 peak season is expected to feature high cargo volume and high demand for ocean freight. Factors such as stockpiling for holidays and special events could exacerbate bottlenecks and congestion.

– Recommendations for Companies

To navigate the peak season of 2024, companies should reserve space on ships in advance and secure their shipments in plenty of time. Flexibility in transportation routes and delivery times can help avoid delays and additional costs. Additionally, effective negotiation strategies can help you get better ocean freight rates during this period.

Conclusion

The rise in ocean freight rates during 2024 reflects a confluence of complex factors including increased demand, supply chain bottlenecks, inflationary pressures and geopolitical events. Understanding these factors and preparing appropriately can help businesses and consumers mitigate negative impacts and adapt to changing market conditions. With proper strategies and advance planning, it is possible to successfully navigate this challenging environment.