The Transpacific Stabilization Agreement is recommending its 15 ocean carrier members implement a general rate increase on Dec. 15.The 15 container carriers that are members of the Transpacific Stabilization Agreement are recommending a $1,000-per-40-foot container general rate increase for all origins and destinations, effective Dec. 15.
The TSA said the recommendation reflects "stronger than expected holiday traffic and related service demands" and cited press reports of double-digit import growth in September and October. It also pointed to "forecasts of continued market momentum through the remainder of the year. As in recent years, the holiday retail season is likely to extend into January via gift cards and post-holiday sales promotions."
TSA Executive Administrator Brian Conrad, said, “With rates as low as they have been since 2011, lines have steadily reduced and consolidated services; they continue to play catch up as demand ramps up beyond what had previously been expected.”
The hefty $1,000 increase follows a recommended increase of "at least $600" per FEU the TSA had recommended members implement on Sept. 1.
TSA members include APL, China Shipping, CMA CGM, COSCO, Evergreen, Hanjin, Hapag-Lloyd, Hyundai Merchant Marine, "K" Line, Maersk, MSC, NYK, OOCL, Yang Ming and ZIM.