Market Conditions

TPEB (Trans-Pacific Eastbound)

• Demand is gradually increasing after the Chinese New Year (CNY) but has not yet returned to pre-holiday levels. While there is currently more space available compared to before CNY, the market remains relatively soft. Floating rates are dropping rapidly through the rest of February and into March, with no General Rate Increases (GRIs) expected, keeping rates under downward pressure.

FEWB (Far East Westbound)

• Market recovery on the FEWB trade lane remains slow, with demand still lagging. Several carriers within the Gemini and Ocean alliances have announced a March GRI exceeding 50%, which could stabilize rates and prevent further declines. Rates remain at lower levels for the second half of February, but this GRI may encourage shippers to move cargo earlier to avoid potential increases.

TAWB (Trans-Atlantic Westbound)

• The North Europe–U.S. East Coast trade is seeing strong demand, driven by shippers moving cargo ahead of new U.S. steel and aluminum tariffs effective March 12. In contrast, the Mediterranean trade remains well-utilized but balanced. Some carriers have postponed the March Peak Season Surcharge (PSS) to April, while others have selectively implemented it based on origin region.

Operational Updates

TPEB (Trans-Pacific Eastbound)

• Equipment availability has improved across most Asian gateways compared to pre-CNY, reducing previous supply chain bottlenecks. This improvement is making logistics smoother and minimizing delays for shipments originating from the region.

FEWB (Far East Westbound)

• Port congestion continues to impact European destinations, with Rotterdam experiencing ETA delays of 5-9 days for vessels awaiting berth. This congestion is causing disruptions to carrier schedules and increasing transit time variability.

TAWB (Trans-Atlantic Westbound)

• Equipment shortages persist in Central Europe, affecting regions such as Austria, Slovakia, Switzerland, Hungary, and Southern/Eastern Germany. Carriers recommend haulage solutions for shipments originating from these areas to ensure equipment availability and avoid unnecessary delays.

Capacity Management

TPEB:

• Capacity has recovered to over 90% following CNY, with more vessel space available than before the holiday. This increase in supply, coupled with softer demand, is contributing to the ongoing rate declines.

FEWB:

• Several blank sailings are scheduled between late February and early March, reducing available space and slowing overall market recovery. This temporary tightening of supply could impact last-minute bookings.

TAWB:

• Capacity utilization remains high on the North Europe–U.S. East Coast trade, with many vessels already fully booked due to pre-tariff shipping activity. The Mediterranean trade, however, is maintaining stable capacity levels with no signs of overbooking.

U.S. Policy Changes Could Impact Breakbulk Growth at Ports

Ports in the Southeastern U.S. expect continued breakbulk cargo growth in 2025 despite upcoming U.S. steel tariffs and energy policy shifts that could affect trade flows. The Port of Brunswick has emerged as the country’s busiest auto and heavy equipment port, handling over 2 million tons of roll-on/roll-off cargo in 2024. This milestone follows substantial infrastructure investments, positioning Brunswick ahead of other major U.S. auto ports. The industry is closely watching how regulatory changes may influence future breakbulk volumes.

Vancouver Port Congestion Worsens Due to Rail Disruptions

The Port of Vancouver is facing increasing congestion, primarily due to restricted rail access and liner schedule adjustments. Winter weather conditions have prompted CPKC Rail and CN Rail to enforce operating restrictions, resulting in slower train speeds and reduced capacity. Hapag-Lloyd has alerted customers about growing transit delays as these disruptions persist. The situation remains dynamic, with stakeholders monitoring ongoing impacts on supply chain efficiency.