CONTAINER LINES serving the China-Australia trade are continuing to see freight rates defy global gravity, with spot rates up over USD1000/TEU in a month and more extra-loaders scheduled to meet demand.

While last week’s Drewry World Container Index crashed by 13%, following an 8% dive the week prior, this was driven primarily by a 21% fall on the Asia-ECNA route as shippers diverted cargo to the West Coast in anticipation of industrial action over east.

But the Shanghai-Melbourne spot rates, as measured by the Shanghai Containerised Freight Index, hit USD2268/TEU for the second week of September, compared to 1776/TEU for the same week in August. In the second week of April they were as low as USD701/TEU meaning they’ve more than tripled in six months.

It’s therefore not surprising ANL has announced what it calls Stage 2 of its Peak Season Surcharge, effective from 15 October, of USD300 per dry and reefer TEU and 600 per dry, high-cube and reefer FEU for all cargo from North & East Asia to East Coast Australia. This applies on top of the existing PSS.

Perhaps more interesting is the announcement by ANL of what appears to be a pre-emptive Port Congestion Surcharge, filed “in the event of an ILA [International Longshoremen’s Association] strike. The PCS will apply to all shipments to/from the United States West Coast and Canada to/from Australia, New Zealand, the Pacific Islands and Papua New Guinea destinations for all cargo types per Tariff and Contract rates listed as follows:

Effective 1 October 2024:
USD800 per 20’ST standard dry container; USD1000 per 40’ST&HC standard dry container

Effective October 10, 2024:
USD1000 per 20’RF refrigerated container; USD1500 per 40RF/RH refrigerated container; US1000 per 20’OT/FR special equipment; and USD1500 per 40’OT/FR special equipment.

This charge will apply to all equipment which is received and moving under an ANL bill of lading on or after the effective dates listed above.

In other notifications published over the past 10 days:

From 9 October MSC will raise rates from Australia and New Zealand to the USA and Puerto Rico by USD1500 per dry and reefer container.

From 28 September Swire Shipping will raise rates from North Asia, Greater China, Southeast Asia, Middle East Gulf, Indian Sub-continent to New Zealand by USD250/TEU and 500/FEU.

Effective worldwide from 15 October Maersk Line is updating rules regarding container weight discrepancy and consequences of non-compliance, which will be subject to a WDF of USD300 per container. Maersk reminds that the WDF is applicable to each container where:

The difference (positive or negative) between the VGM weight and the weight declared in the shipping instructions is greater than 3000kg; the VGM weight is greater than the maximum gross weight of the container, (as per CSC plate (Max Payload + Tare weight)); the VGM weight is lesser than tare weight of the container.

“These changes are part of our ongoing efforts to ensure compliance with international shipping standards and to enhance safety. The accuracy of weight during our operations is crucial to avoid incidents and for us to be more efficient, as it allows us to plan, in advance, how to better load, accommodate, and discharge each container in our vessels,” Maersk says.

Maersk has also announced changes to its Store Door product “in an effort to continually improve customer experience and transparency of ancillary cost components associated with our First Mile wharf cartage delivery product” in relation to import and export wharf cartage bookings in Australia and New Zealand.

This revised rate structure will only apply to Store Door bookings where the final delivery location or first collection point is a customer facility within Australia or New Zealand. This revised rate structure will not impact standard Port to Port Ocean bookings.

Currently, Maersk Store Door bookings incur one total charge being the Inland Haulage Fee. The revised rate structure will split out from the existing Inland Haulage Fee, three separate smaller charges, namely the Terminal Wharf Infrastructure/Access Fee, Vehicle booking system (VBS) Fee and Empty Container Park Fee. As a result, the existing Inland Haulage Fee has been proportionately reduced.

The revised Store Door rate structure aims to provide clear visibility over and better reflect the key cost components of your haulage booking and will be effective from 1st October 2024, Maersk says.

Finally, Hapag-Lloyd has announced that from 7 October a Reefer Temperature Discrepancy Fee of AUD90 + GST will be implemented and apply per day per container for export cargo departing from Patrick Terminals in Australia.

“This fee is designed to address situations where reefers arrive at the terminal inadequately packed or pre-tripped. Such conditions may require additional power to adjust the temperature of the cargo to the desired level. Exporters can avoid this fee by ensuring their cargo is properly chilled before packaging and transportation to the terminal,” the carrier states.

Patrick will use the following criteria to determine if cargo is hot-packed:

  • The reefer remains on terminal power for more than 12 hours.
  • A minimum of three temperature recordings are taken.
  • All three temperature readings exceed the specified temperature by 3 degrees.

The RTDF will be applied only when all the aforementioned conditions are met.