Trans-Pacific shipping rates rise as carriers make capacity cuts

News Snapshot:

Shipping lines finally seem to be making some headway in managing vessel capacity in the Asia-U.S. trades. Spot rates have been on the rise for three straight weeks, rebounding to levels last seen in early 2023 and late 2022, according to several index providers. U.S. import bookings remain above pre-COVID levels, and multiple analysts are now highlighting positive rate effects from reduced vessel capacity. Liners managing down trans-Pacific capacity “Typically, higher demand leads to higher capacity availability, but over the past month, liners have focused on tightening service offerings as demand has improved,” Omar Nokta, shipping analyst at investment bank...