WTSA carriers to raise rates in April
Member lines in the Westbound Transpacific Stabilization Agreement said Wednesday they will seek a new round of rate increases April 1.
Lines will hike dry cargo and refrigerated cargo rates by $240 per 20-foot container and $300 per 40-foot container for U.S. West Coast cargo, and by $240 per 20-foot and $500 per 40-foot container for all other cargo, including mini-landbridge, inland intermodal and all-water shipments from the U.S. East and Gulf coasts.
'Despite modest improvements in cargo demand and rates in recent months, all carriers continue to lose money in both directions between the U.S. and Asia,' said Brian Conrad, WTSA executive administrator. 'This has put sustained pressure on the westbound backhaul segment of the market to make its full contribution to roundtrip costs, particularly given cargo imbalance, equipment repositioning and other constraints unique to the trade.'
The WTSA announced recommended general rate increases in September, December and January. And a handful of carriers who aren’t WTSA member have implemented their own rate increases on U.S. exports to Asia.
WTSA members are APL, COSCO Container Lines, Evergreen Line, Hanjin Shipping, Hapag-Lloyd, Hyundai Merchant Marine, 'K' Line, NYK Line, OOCL and Yang Ming.