News
2 min read

Weekly Supply Chain Update: 21

Published on
4 November 2024
Written by
George Perkins
Share on

TPEB (Trans-Pacific Eastbound)

Volumes have picked up substantially post-Golden Week, with East Coast routes facing full bookings and some capacity constraints. China is pushing exports due to anticipated tariff hikes, driving strong demand. Fixed rates and Peak Season Surcharges (PSS) are stable in early November, but space is tight. Rates vary across routes, and premium services are now available at $2,000 per container for shippers requiring priority on transit times.

FEWB (Far East Westbound)

To avoid cost increases later in November, bookings are being expedited as vessel space is projected to be full. November is seeing a 15-18% capacity reduction with ten void sailings, and this tight supply has already raised rates. The first November General Rate Increase (GRI) has pushed rates to approximately $4,400-4,500 per FEU, with a second anticipated GRI aiming for $5,400 per FEU by mid-November. Space is limited, and the SCFI rose $277 per TEU, indicating further price increases.

TAWB (Trans-Atlantic Westbound)

Demand in North Europe and the Mediterranean remains strong as the holiday peak approaches. North Europe routes maintain high utilisation and stable rates. Carriers are reviewing PSS charges, particularly following the ILA strike. Demand in both East and West Mediterranean regions is high, and rates are expected to continue their upward trend, with increased utilisation and blank sailings.

November Rate Hikes on Far East-Europe Routes Likely Temporary

As of November 1, spot rates from the Far East to North Europe and the Mediterranean are set to rise by 15-25%, according to recent data from Xeneta. While this may signal a shift, European importers should not interpret it as a lasting trend.

Peter Sand, Chief Analyst at Xeneta, highlights that this rate increase reflects carriers’ efforts to stabilise spot rates amid recent declines rather than a permanent shift. “European shippers might be concerned by the November rate hike, but there’s little reason to be. Carriers are attempting to keep spot rates up and counter recent drops. Although the Red Sea conflict does add some volatility, the overall trend is still pointing downward, and the November spike is unlikely to hold long-term.”

For European importers, the key takeaway is to keep a broader perspective on market conditions and avoid reacting to short-term price adjustments.

Maersk Q3 Results Summary

In Q3, Maersk’s Ocean segment posted $2.8 billion in EBIT and $4.0 billion in EBITDA, though annual EBIT margins declined to 6.4% due to market downturns. Despite a 0.3% increase in Ocean volumes, Maersk’s global market share fell from 14.1% to 13.4% amid 5.6% overall market growth. Fleet expansion of 2.3% couldn’t keep pace with increased transit demands from disruptions like the Red Sea crisis.

Logistics saw $200 million in EBIT, but only achieved 2% organic growth over the past year, below its 10% target. Maersk’s average freight rate rose by 54.4%, exceeding the market’s 46.5% increase. Intra-regional trade volumes grew by 7.6%, while East-West volumes declined by 3.1%. Despite cost-control efforts, Maersk faces challenges in maintaining market share and meeting growth targets.

Houthi Forces Escalate Red Sea & Arabian Sea Tensions with Attacks on Vessels

On 28 October, Yemen’s Houthi group claimed responsibility for attacks on three Liberian-registered vessels in the Red Sea and Arabian Sea, aiming to impose a naval blockade on Israel. According to Houthi spokesperson Yahya Sarea, the strikes targeted ships bound for Israeli ports. The bulk carrier Motaro, last seen off Yemen’s coast, was reportedly en route to Shanghai, while container ships SC Montreal and Maersk Kowloon were also allegedly targeted, though Maersk has denied any attack on its vessel.

Subscribe to newsletter

Subscribe to receive the latest blog posts to your inbox every week.

By subscribing you agree to with our Privacy Policy.
Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.

Related posts

Waypoint's outlet to help you navigate global markets.

News
2 min rea

Phosphate Market Update

Explore the latest trends in global phosphate markets as China's export halt looms on December 1, 2024. Learn about price movements for MAP, DAP, and specialty fertilisers driven by rising sulphur costs, constrained supply, and high international demand.
News
3 min read

China’s Fertiliser Market Update

Insights into China's 2024 fertiliser market: price trends, supply challenges, export policies, and regional demand shaping nitrogen, phosphorus, and potash sectors
News
3 min read

Weekly Supply Chain Update: 23

Waypoint weekly supply chain update
News
2 min read

Weekly Supply Chain Update: 22

Waypoint weekly supply chain update
News
2 min read

Weekly Supply Chain Update: 21

Waypoint weekly supply chain update
News
2 min read

Weekly Supply Chain Update: 20

Waypoint weekly supply chain update
News
3 min read

Weekly Supply Chain Update: 19

Waypoint weekly Supply Chain Update
News
2 min read

Weekly Supply Supply Chain Update: 18

Waypoint weekly supply chain update
Insights
4 min read

Navigating the Transition to Green

Green ammonia is set to revolutionise the ammonia industry, providing a cleaner alternative to grey ammonia. Learn about the environmental and economic challenges, technological innovations, and investment opportunities driving this sustainable transition.
News
3 min read

September Fertiliser Market Update: Shifts and Trends

Discover the latest shifts in global fertiliser markets for September, with price trends across regions like China, Europe, and Egypt. Learn how supply dynamics, agricultural demand, and macroeconomic policies are driving key changes.
Insights
3 min read

Shifting Focus to Phosphate Markets in Asia

Discover key trends shaping the Asian phosphate market, from rising agricultural demand to industrial applications like battery production. Learn about supply chain challenges, price volatility, and strategic opportunities for buyers navigating this evolving landscape in Asia.
Insights
2 min read

Navigating Fertiliser Importation: Boosting Sub-Saharan African Agriculture

Explore key challenges and opportunities in fertiliser importation for sub-Saharan Africa, focusing on logistics, regulations, and market potential. Learn best practices to boost agricultural productivity and navigate complex compliance frameworks to ensure food security across the region.
Insights
4 min read

The Evolution of Fertilizers in LATAM

Explore the evolution of fertilizers in Latin America, from ancient organic methods to modern water-soluble innovations. Learn how fertilizers have shaped agriculture, boosting crop yields and sustainability, while helping LATAM remain competitive in global markets.
Insights
3 min read

BHP's Jansen Project: A New Frontier in the Global Potash Market

BHP’s Jansen Project in Canada may transform the global potash market, offering a new supply source amidst geopolitical disruptions. With a $10.6 billion investment, Jansen aims to meet rising global demand for agricultural growth and food security, positioning BHP as a key player in the industry by 2026.
News
2 min read

Weekly Supply Chain Update: 17

Waypoint Supply Chain Update
Insights
2 min read

Fertiliser Market in Ukraine: 2024 Overview

Ukraine's fertiliser market faces challenges from geopolitical tensions and logistical disruptions but is adapting. This article explores key trends, rising imports, price shifts, and the outlook for the country's agricultural needs.
Insights
4 min read

The Increasing Demand and Consumption of Fertilizers in Japan: A Growing Focus on Sustainability and Water-Soluble Fertilizers

Explore the growing demand for fertilizers in Japan as the country navigates challenges like limited arable land, food security, and sustainability. Learn how water-soluble fertilizers are shaping the future of precision agriculture, boosting productivity, and aligning with eco-friendly practices.
Insights
3 min read

Navigating the European Fertiliser Market: How New Regulations Are Shaping the Future

Explore how new EU sustainability regulations, including the European Green Deal and Farm to Fork Strategy, are transforming the fertiliser industry. Learn about reduced chemical inputs, eco-friendly fertilisers, and the shift toward greener production and innovation.
News
3 min read

Weekly Supply Chain Update: 16

Waypoint Weekly Supply Chain Update
Insights
3 min read

Innovative Agriculture Solutions: How Greenhouses Are Boosting Food Security in MENA

Greenhouse farming is transforming agriculture in the MENA region, addressing climate challenges and boosting food security. Discover how controlled environments, water-soluble fertilizers, and sustainable practices are reshaping the region's reliance on imports and paving the way for a self-sufficient future.
Insights
2 min read

The French Fertilizer Market in 2024: Trends, Challenges, and Opportunities

Explore the dynamic 2024 fertilizer market in France, where rising imports, pricing fluctuations, and regulatory shifts are shaping agricultural practices. Discover key products, market drivers, and expert insights on the future of nitrogen, phosphate, and potassium fertilizers.
Insights
4 min read

The Rising Demand for Water-Soluble Fertilizers in India

Discover how water-soluble fertilizers (WSFs) are transforming Indian agriculture by improving water efficiency, boosting crop yields, and supporting sustainable farming practices. Learn about the growing demand, government support, and precision agriculture technologies driving this shift.
Insights
4 min read

The Future of Sustainable Agriculture: How Ammonia is Transforming the Fertiliser and Energy Industries (September 2024)

Waypoint Opinion: The Future of Sustainable Agriculture: How Ammonia is Transforming the Fertiliser and Energy Industries (September 2024)
News
2 min read

Weekly Supply Chain Update: 15

Waypoint Weekly Supply Chain Update
Insights
4 min read

Navigating Volatility: Key Market Trends in the Global Fertiliser Industry (September 2024)

Waypoint Opinion: Key Market Trends in the Global Fertiliser Industry (September 2024)
News
2 min read

Weekly Supply Chain Update: 14

Waypoint Weekly Supply Chain Update
Insights
3 min read

Green Energy Investments: Opportunities and Challenges in the Fertiliser Industry

Waypoint Opinion: Green Energy Investments: Opportunities and Challenges in the Fertiliser Industry
1 min read

Waypoint Commodities August Market Update: 1

Waypoint Commodities Market Update
News
3 min read

Weekly Supply Chain Update: 13

Waypoint Weekly Supply Chain Update
News
1 min read

Waypoint August Ammonia Update: 2

Waypoint August Ammonia Update
News
1 min read

Waypoint August Ammonia Market Update: 1

Waypoint Ammonia Market Update
News
1 min read

Waypoint Market Update - July 2024

Waypoint insights from our suppliers on the latest market trends for raw materials and fertilisers in China
News
3 min read

Weekly Supply Chain Update: 12

Waypoint Weekly Supply Chain Update
News
4 min read

Weekly Supply Chain Update: 11

Waypoint Weekly Supply Chain Update
News
2 min read

Weekly Supply Chain Update: 10

Waypoint Weekly Supply Chain Update
News
2 min read

Weekly Supply Chain Update: 9

Waypoint Weekly Supply Chain Update
News
3 min read

Weekly Supply Chain Update: 8

Waypoint Weekly Supply Chain Update
News
2 min read

Weekly Supply Chain Update: 7

Waypoint Weekly Supply Chain Update
News
2 min read

Weekly Supply Chain Update: 6

Waypoint Weekly Supply Chain Update
News
2 min read

Weekly Supply Chain Update: 5

Waypoint Weekly Supply Chain Update
News
2 min read

Weekly Supply Chain Update: 4

Waypoint Weekly Supply Chain Update
News
2 min read

Weekly Supply Chain Update: 3

Waypoint Weekly Supply Chain Update
News
3 min read

Waypoint Supply Chain Update: 2

Waypoint Weekly Supply Chain Update
News
2 min read

Weekly Supply Chain Update: 1

Waypoint Weekly Supply Chain Update
Insights
5 min read

Unlocking the Power of Glycerine: A Comprehensive Guide to Its Uses in Various Industries

Dive into the comprehensive guide on glycerine, a versatile oleochemical pivotal in industries like personal care, food, pharmaceuticals, and more.
Insights
8 min read

The Essential Guide to Understanding and Utilising Common Industrial Solvents

Explore the comprehensive guide to industrial solvents, covering their essential roles in manufacturing and processing across sectors like pharmaceuticals and electronics.
Insights
7 min read

Ensuring Industrial Hygiene: The Role of Detergents and Cleaners

Discover the vital role of cleaning agents and detergents in maintaining hygiene and operational efficiency in industrial environments. From water-based to solvent-based cleaners, explore their applications across various industries and essential safety considerations for proper use.
Insights
9 min read

Building a Safe Future: Best Practices for Water Treatment Chemicals Such as Calcium Chloride and PAC

Discover how water treatment chemicals like Calcium Chloride and PAC are crucial for ensuring water quality in construction projects. Explore their significance, benefits, risks, and safety measures to safeguard both construction operations and the environment.
Insights
7 min read

Specialty Chemicals: The Role of DEIPA, Sodium Gluconate, and TIPA in Construction

Discover the pivotal role of specialty chemicals like DEIPA, Sodium Gluconate, and TIPA in revolutionising the construction industry. Explore their diverse applications, from enhancing concrete performance to fostering sustainability, and learn how these chemicals are shaping the future of building projects.
Insights
6 min read

Fertiliser Fundamentals: Understanding the Role of Ammonia in Agriculture

Explore the pivotal role of ammonia in agriculture and fertiliser production. Discover how innovations like green ammonia are transforming the industry towards sustainability, ensuring efficient crop growth while mitigating environmental impact.
Insights
7 min read

Maximizing Crop Health: The Significance of Micronutrients in Modern Agriculture

Explore the critical role of micronutrients like Boron and Zinc Sulphate in modern agriculture to enhance crop health and yields. Learn about the functions of essential micronutrients, their impact on plant growth, and strategies for overcoming limitations. Ideal for industry professionals seeking to implement sustainable agricultural practices through informed nutrient management.
Insights
5 min read

From Soil to Harvest: How Phosphates Boost Crop Yields and Farm Productivity

Explore phosphates' role in enhancing plant health and development while addressing sustainable practices to mitigate environmental impacts. Ideal for modern agriculturists seeking to optimise productivity and environmental stewardship.
Insights
5 min read

Cost-Effective Potash Solutions: Navigating MOP and SOP for Procurement Professionals

Understand the critical differences between Muriate of Potash (MOP) and Sulphate of Potash (SOP) in agriculture. Learn how each type influences crop yields, soil health, and economic outcomes. This guide delves into the suitability of MOP for chloride-tolerant crops and SOP's premium benefits for high-value, sensitive varieties. Ideal for procurement professionals, it covers strategic selection based on crop needs, soil conditions, and market dynamics, ensuring optimal crop nutrition and sustainable farming practices.
Insights
9 min read

5 Vital Reasons Why Nitrogen is Essential for Optimum Plant Growth

Uncover insights into nitrogen's impact on plant development and soil health, crucial for the fertiliser industry. Learn about managing nitrogen effectively, addressing climate change challenges, and adopting innovative strategies for sustainable crop yields. Essential reading for professionals aiming to improve agricultural productivity and environmental sustainability.
News
6 min read

The Future of Commodity Chemicals Trading: Waypoint's Innovative Procurement Platform

Discover how Waypoint Commodities is revolutionising commodity chemicals trading with its innovative online procurement platform. Designed to enhance procurement and sales processes, Waypoint offers a seamless, efficient platform for global buyers and sellers. Learn more about its user-friendly features, streamlined logistics, and commitment to transparency and security.

Secure Your
Supply Chain

Access the industry’s most powerful physical commodity trading and data platform.