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The articles excerpted on this site report on the state of the industry as seen by mainstream media, and do not necessarily reflect the opinion of the officers of the ILWU Coast Longshore Division.

Shipping Rates Poised to Decline 27% After Two-Week Rally: Freight Markets

The state of shipping rates and capacity is outlined in a comprehensive article by Bloomberg. Excerpts below:

The rebound that more than doubled commodity freight costs in two weeks is peaking as idled ships haul anchor and compete for cargoes of iron ore and coal.

The market got so bad that the Baltic Exchange reported its first-ever negative rate for dry bulk freight on Jan. 13. … While that means owners effectively pay customers to hire their vessels, clients still pay most of the fuel costs. For a shipping line wanting to relocate a vessel to a region where there are more cargoes, that’s still cheaper than sailing the craft empty.

Read the complete Bloomberg article here

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