Strongest Pacific peak season on record

Analysis published today in SeaIntel Sunday Spotlight shows that the spot rates on the Pacific exhibit the strongest peak on record since the SCFI started measuring spotrates in 2009.

This does not mean the rates are the highest (they are not) - instead the analysis focuses on how much the rates have increased in peak compared to the rate levels just before the peak.

Depending on how the baseline period before the peak is measured, it is found that rates to the West Coast have increased 25-40% more than what is typically seen in an average peak, and by 20-30% to the US East Coast. It is also shows that the peak ramp-up in rates is now higher than in any individual year since 2009.

Hence it is clear that following the malaise experienced by the carriers in the first part of 2018, they have clearly managed to create a solid momentum on the back of a strong market.

Looking slightly ahead, though, the question is what will happen after Chinese Golden week in the beginning of October. SeaIntel Sunday Spotlight today also analyzes the capacity outlook for the Pacific and it shows that carriers would possibly need to blank up to as much as 26 Pacific sailings in order to match the typical pattern around Golden Week.