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Hapag-Lloyd confirms to stop increasing freight rates
Hapag-Lloyd is the second container shipping company to stop increasing container freight rates, following the decision of CMA CGM shipping line.
Container ship Hapag-Lloyd (Photo: Hapag-Lloyd)
Hapag-Lloyd is the second container shipping company to announce the suspension of container freight rate increases, following the decision of shipping line CMA CGM to suspend all spot rate increases until February 1.
“We believe that spot rates have peaked and we do not pursue further increases,” Tim Seifert, Hapag-Lloyd's Director Corporate Communications of Hapag-Lloyd, told Container News.
He continued, "Our action focuses on the trades where we have seen extremely high Freight All Kind (FAK) rate levels, mainly from Asian origins, but also on some other non-Asian relations where FAK market rates have reached very high levels."
Seifert noted that the German container shipping line is working on this for a few weeks and in the meantime he expects "the market will slowly start to calm down."
Read more:
- Shippers face difficulties while container shipping lines' profits skyrocket
- Container shortages, port congestion and ship delays have pushed freight rates sky-high
Source: Phaata.com (According to Container-News)
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