U.S.-ASIA REFRIGERATED CARGO RATES TO RISE IN JANUARY

(The following is a reformatted version of a press release
issued by The Westbound Transpacific Stabilization Agreement
and received via electronic mail. The release was confirmed by
the sender.) 
U.S.-ASIA REFRIGERATED CARGO RATES TO RISE IN JANUARY 
WTSA carriers say current rates are well below levels that
recover specialized equipment and handling costs. 
Oakland, CA / November 30, 2012 - Container shipping lines in
the Westbound Transpacific Stabilization Agreement (WTSA) have
individually announced a series of general rate increases (GRIs)
on refrigerated cargo moving from the U.S. to Asia. The
increases are in response to a sustained erosion of freight
rates in the trade affecting a market segment where equipment,
operations and handling are all entail specialized expertise and
high costs. 
WTSA members have filed GRIs in their tariffs, with slightly
differing effective dates in early January, for US$1,500 per 40-foot container and proportionate increases for other equipment
sizes. The increases will apply to all commodities, origins and
destinations. 
‘These actions are consistent with adjustments taken not only in
the westbound transpacific market but in other trade lanes as
well,” said WTSA executive administrator Brian M. Conrad.
“Refrigerated service represents a significant commitment and
investment by ocean carriers, to provide an alternative to far
more expensive airfreight shipment for fresh meats and produce,
plasma and medicines, and other sensitive commodities. The
underlying cost and value of the service is clear, and current
rates seriously undermine roundtrip profitability.” 
WTSA is a research and discussion forum of major container
shipping lines serving the trade from Asia to ports and inland
points in the U.S. More information on WTSA can be found at
www.wtsacarriers.org. WTSA members include:
COSCO Container Lines, Ltd.
Hyundai Merchant Marine Co., Ltd.
Evergreen Line
Kawasaki Kisen Kaisha, Ltd. (K Line)
Hanjin Shipping Co., Ltd.
Orient Overseas Container Line, Ltd.
Hapag Lloyd AG
Yang Ming Marine Transport Corp. 
Contact:
Niels Erich
T:  (415) 525-4520
Email:  n.erich@comcast.net 
(bjh) NY 
#<873920.660640.3.1.0.0.76>#
 
 
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