Ocean Freight Market Dynamics in the First Half of 2024

A recent report reveals a surge in demand for ocean freight container shipping, reaching a record high of 15.9 million TEU shipped globally in May, surpassing the previous peak in 2021. This increased demand, particularly on major routes such as those from China to Europe and the US, has resulted in significant rises in spot rates and posed challenges in supply chain logistics. Spot rates on these routes have seen substantial increases, rising nearly 150% to North Europe and over 130% to US coasts since April. Globally, TEU-miles have increased by 17.9% in 2024, driven by longer voyages around Africa, exacerbated by the conflict in the Red Sea.