Transpacific shipping lines adopt new freight rates

Container shipping lines in the Westbound Transpacific Stabilization Agreement (WTSA) have expanded their program of seasonal rate actions on refrigerated rates. After more than a year of steadily falling freight rates, the carriers seek to recover the high costs of specialized refrigerated equipment and commodity handling.

Effective July 1, 2002, carriers say they intend to raise rates for citrus fruits and mixed loads of vegetables by US $100 per 40-foot container (FEU). Lines also announced add-ons to previously established apple rates, also effective July 1, of $500 per FEU over South Asia rates for Vietnam and $1,300 per FEU over South Asia rates for Cambodia. Effective June 1, 2002, some shippers of melons are seeing increases in service contract rates as carriers establish a recommended guideline floor on rates that will vary for North Asia, South Asia, and mainland China. In all cases, the new rate levels will additionally be subject to applicable destination terminal handling, fuel, documentation, and rail-related charges.

The scheduled actions are guidelines, to be implemented voluntarily by lines in their individual tariffs and service contracts.