Rate increases will be implemented across an array of trades out of Asia in October and November as shipping lines try to lift prices and scrape together a little more revenue per container through the slow season. But lifting freight rates will not be easy now the spot market on Asia-Europe and Asia-Mediterranean trades has reverted back to pre-Hanjin collapse levels.  

It is Golden Week in China and very little is moving, but when the Shanghai Shipping Exchange returns with its Shanghai Containerized Freight Index spot rate on Oct. 14, carriers will be hoping to arrest the slack season slide. Hong Kong's Orient Overseas Container Line, for instance, will be levying an $800 per 20-foot-equivalent unit rate increase from Oct. 17 on Asia to Europe, the Mediterranean, and Black Sea ports. 

OOCL has also announced that a fuel adjustment factor, or FAF, and Yen appreciation surcharge, or YAS, for all dry and reefer shipments from South China from Nov. 1. Cargo originating in Guangdong, Guangxi, Guizhou, Hainan, and Yunnan provinces will pay a FAF of $50 per TEU while the YAS will cost $40 per TEU and $60 per 40-foot-equivalent unit.

From Oct. 15, member lines of the Asia Australia Discussion Agreement will implement an increase of $500 per TEU and $1,000 per FEU for dry and refrigerated cargo with origins in China and Hong Kong for outwards shipment to ports and points in Australia.

"This increase will apply in full on top of existing ongoing market rates and will be subject to accessorial surcharges applicable at the time of shipment," AADA said in a statement. 

In the unlikely event the full rate increase sticks, it will almost double the rate on the trade. On Sept. 30, the spot rate from Asia-Australia and New Zealand was $516 per TEU, according to the Shanghai Shipping Exchange. Spot rates on the major trades are updated weekly at JOC.com’s Market Data Hub.

The carriers in the AADA are: ANL Singapore, APL, China Cosco Shiping, Evergreen Line, Hamburg Sud, Hyundai Merchant Marine, Maersk Line, Mediterranean Shipping Co., OOCL, Pacific International Line, Sinotrans Container Lines, T.S. Lines, and Yang Ming Line.

Also on Oct. 15, Hapag-Lloyd will increase freight rates on all cargo from China to the Arabian Gulf by $200 per TEU. Spot rates on the trade are currently at $371 per 20-foot container.

French line CMA CGM has announced a rate increase on all cargo from Asia to East Africa from Nov. 1. The carrier said in a note to customers that the increase would apply to all cargo leaving Korea, Taiwan, Japan, Southeast Asia, and Bangladesh and bound for Kenya and Tanzania.

There is also an eastbound rate increase being levied by NYK Line from Europe to Asia. From Nov. 1, the “structural revenue recovery plan” of $200 per TEU and $400 per FEU will be applicable to all eastbound routes from ports in North Europe, the Mediterranean, Black Sea and Adriatic to Asia (including Japan), the Indian Subcontinent, Middle East, Gulf, and Oceania.

The lowseason demand will also see OOCL cutting one Asia-Europe and one Asia-Med service in November and December. "We would like to inform you of the withdrawal of the following Asia-Europe sailings in response to the expected low demand in Europe during Christmas holiday," the company said in a notice to trade.

Asia-North Europe Loop 7, Hong Kong Express (HKX) westbound ETA Qingdao on Nov. 14 in Week 46 and eastbound ETA Rotterdam on Dec. 19 in Week 51.

Asia-Mediterranean Service EUM, Hyundai Hope (HHO) westbound ETA Busan on Nov. 20 in Week 47 and eastbound ETA Genoa on Dec. 21 in Week 51.