The collapse of the Francis Scott Key Bridge in Baltimore has not led to an increase in ocean freight container shipping rates, according to data from Xeneta. Since the incident on 26 March, average spot rates from the Far East to the US North East Coast, including Baltimore, have seen a slight decrease of 1% to US$5,421 per FEU. Furthermore, rates to other US East Coast ports, including New York/New Jersey, have dropped by 3%.
From North Europe to the US North East Coast, the decrease is more pronounced at 8%, with rates standing at US$2,357 per FEU. Including other East Coast ports, the reduction is 4%. Despite the logistical challenges posed by the bridge collapse, the majority of containers are being rerouted to New York/New Jersey, mitigating a potential increase in rates.
Peter Sand of Xeneta commented on the situation, highlighting the additional strain on shippers, who now face unexpected port arrivals amidst other global supply chain disruptions. The Port of Baltimore has announced plans to restore port access by the end of May, with phased channel re-openings.
Looking ahead, Sand warns of potential disruptions in 2024 due to looming labor negotiations between the International Longshoremen's Association and the United States Maritime Alliance. The current contract expires on 31 September, and without a new agreement, the East Coast could face significant disruptions, potentially driving shippers to alternative ports.
Source: container-news.com