Asia-Europe sea freight services are facing increasingly tight capacity conditions as carriers actively manage space. The situation in the Middle East continues to keep fuel costs elevated across global supply chains.
Sea Freight Space Tightens Further
Available space is now exceptionally tight, as carriers continue to manage capacity through additional blank sailings and, in some service loops, the use of smaller vessels. This is making it more difficult to secure cargo on planned sailings. Demand from Asia is also continuing to rise, adding further pressure to an already tighter capacity picture and pushing rates upwards aggressively. With more blank sailings likely to be announced, restricted capacity conditions look set to continue in the weeks ahead.
With uncertainty around the situation in the Middle East still unresolved, the impact on shipping costs remains in place. Emergency fuel surcharges introduced by shipping lines continue to apply and remain under weekly review, while wider fuel-related costs across shipping operations and inland services are also staying elevated.
For now, services are continuing to move relatively well, and UK arrivals are holding up without any significant congestion issues. Delays in Rotterdam are still affecting parts of Europe and, although there is no direct impact on UK arrivals at this stage, we expect some knock-on effect to begin coming through over the next few weeks.
Air Freight Transit Times Continue to Improve
Air freight services are continuing to improve gradually, with transit times now more consistent and fewer delays being seen both at departure and in transit.
Rates also appear to be easing slightly. However, fuel surcharge levels remain exceptionally high, which means overall air freight costs are still above normal levels despite the improvement in service.
Customers should note that the fuel surcharge is affecting UK trucking and delivery services as well, adding further cost pressure once shipments arrive into the UK.
If you have any questions or concerns regarding your shipment, please don’t hesitate to contact our Customer Service Team on 01376 533039 or email [email protected]. For Air Freight queries contact 01753 278020.
