Freight market update - 20 March 2025

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• The 2025 TPM Conference in Long Beach, California, brought industry leaders together to discuss the challenges facing global trade and logistics.

• A key development was the proposed US port tax on China-built containerships, which could increase shipping costs by $1,000 per TEU, leading to an industry-wide impact of $20 billion.

• The Gemini Cooperation is targeting 90% performance levels and is expected to achieve this after three full operational cycles.

• After a long period of avoidance, shipping lines are discussing a gradual return to the Suez Canal, though the transition must be carefully managed to prevent market volatility.

• In 2025, carrier priorities will focus on improving network efficiency and expanding market share.

• MSC is making adjustments to its US West Coast services, CHINOOK and ORIENT, by adding port calls and expanding service capacity.

• In Bangladesh, Ramadan, which began on March 2nd, has led to a reduction in daily working hours by 5-6 hours due to prayer breaks.

Read on for more in-depth updates.

Asia → North America

US/CA

Transpacific Trends and Market Updates

• Shanghai (WGQ Terminal): The port has been closed since 10/2130 due to dense fog, causing widespread delays across all WGQ terminals. Vessels are experiencing a waiting period of 2-3 days in week 11.
• Shanghai (YS Terminal): The port was closed for 22 hours from March 10-12 due to dense fog. YS1 is facing heavy berth congestion in week 11, with a waiting time of approximately 2 days due to late arrivals from previous ports.
• Qingdao: The port was closed for 28 hours from March 11-12 due to dense fog. Week 11 remains challenging due to prior port closures and frequent operational suspensions. Heavy berth congestion is leading to delays of 2-3 days.
• Singapore: The overall situation is stable in week 11, with transshipment (T/S) inventory maintained at 45-50k TEUs. The port situation is expected to remain steady over the next two weeks, with vessel waiting times of 0.5-1 day.
• Malaysia: Moderate berth congestion continues in week 11, causing waiting times and delays of approximately 1 day. Yard utilization is at a healthy 80% density. Port efficiency is slightly impacted by prayer breaks following the start of Ramadan working hours on March 2.
• In Bangladesh, Ramadan, which began on March 2nd, has led to a reduction in daily working hours by 5-6 hours due to prayer breaks.
• In Malaysia, moderate berth congestion and reduced port efficiency have been observed as a result of shortened working hours during Ramadan.

Dense Fog and Port Closures in China

• Several Chinese ports, including CNDLC, CNFUG, CNSHA, and CNTAO, have faced significant closures due to dense fog.
• These closures have worsened in week 11, increasing waiting times and delays to 2-3 days at most ports.

Berth Congestion and Vessel Delays

• Many ports across Asia, including Chittagong (Bangladesh), South Korea (BNCT), and China, are experiencing heavy berth congestion.
• Delays of up to 2-3 days are common, driven by reduced working hours, dense fog, and the late arrival of vessels.

Turkey → North America

• The market experienced rate reductions in early March, with further softening anticipated in the latter half of the month.
• Despite rate fluctuations, long-term contracts have remained stable.
• Demand is gradually recovering, with capacity levels stabilizing above 90%.
• MSC is making adjustments to its US West Coast services, CHINOOK and ORIENT, by adding port calls and expanding service capacity.
• CHINOOK will now include Ningbo and increase its port calls from eight to twelve, covering Vung Tao, Haiphong, Yantian, Ningbo, Shanghai, Qingdao, Busan, Seattle, Prince Rupert, and Vancouver.
• ORIENT is incorporating Busan and Portland into its rotation, which will now include Qingdao, Ningbo, Shanghai, Busan, Long Beach, Oakland, and Portland.

North America → Turkey

• The 2025 TPM Conference in Long Beach, California, brought industry leaders together to discuss the challenges facing global trade and logistics.
• A key development was the proposed US port tax on China-built containerships, which could increase shipping costs by $1,000 per TEU, leading to an industry-wide impact of $20 billion.
• Shippers relying on the Transpacific and Transatlantic trade lanes will see significant effects on the unit economics of moving goods from China to the U.S.
• Port congestion remains a major challenge, with investments in infrastructure seen as crucial for building a competitive and efficient network.
• The Gemini Cooperation is targeting 90% performance levels and is expected to achieve this after three full operational cycles.
• Carriers are prepared to deploy blank sailings to control capacity and maintain schedule reliability where necessary.
• After a long period of avoidance, shipping lines are discussing a gradual return to the Suez Canal, though the transition must be carefully managed to prevent market volatility.
• Realignment of trade routes is expected to temporarily cause congestion, lower demand for Europe-bound cargo, and lead to rate fluctuations over the next two quarters.
• Further capacity withdrawals are likely to be implemented to maintain price stability in the market.
• In 2025, carrier priorities will focus on improving network efficiency and expanding market share.
• As alliances compete in an uncertain market, providing reliability and stability may be the most valuable offering for customers.

Terminal Updates

• Vessels heading to North America via the North Atlantic Sea are expected to have a change in schedule due to severe weather conditions.

New York:

• 2.0 days waiting time expected for APMT, 0.5 days waiting time at Maher Terminals, and up to 4.0 days at Port Liberty Terminal Bayonne.
• Average gate turn times are 46 / 64 minutes for single and double transactions respectively.
• APMT - new cranes arrived and are in process of being commissioned.
• Berth space will still be limited but 2 vessels will now be able to be worked simultaneously.

Norfolk:

• Waiting time for a berth is up to 1.2 days this week.
• Average gate turn times are 32 / 50 minutes for single and double transactions respectively for Norfolk International Terminal.
• Average gate turn times are 36 / 62 minutes for single and double transactions, respectively at Virginia International Gateway.
• One crane is out of service.
• However, it is expected to be back working next month.

Charleston Terminal:

• 1 day waiting time for Wando Welch Terminal and 6 hours waiting time for North Charleston Terminal.
• Average truck turn times are 21 minutes at Wando Welch Terminal and 20 minutes at North Charleston Terminal.
• Average truck turn time at Leatherman is 16 minutes.

Savannah:

• The average waiting time for vessel berth at the terminal is 3.0 days for class 1 and 5.0 days for class 2 vessels.
• Average gate turn times are 36 minutes for single transactions and 55 minutes for double transactions.
• Import dwell time is 5.4 days.
• Rail dwell time is 0.9 days.

Houston:

• Up to 2.5 days waiting time for vessel berthing at Barbours Cut Terminal and no waiting time at Bayport Container Terminal.
• Average gate turn times at Barbours Cut Container Terminal are 35 minutes for single transactions and 54 minutes for double transactions.
• Average gate turn times at Bayport Container Terminal are 30 minutes for single transactions and 48 minutes for double transactions.
• Loaded import dwell is 3.8 days at Barbours Cut and 3.7 days at Bayport.

Oakland:

• Average import deliveries can take up to 5 days at TraPac and 4 days at OICT.
• Average gate turn times are 96 minutes at OICT and 77 minutes at TraPac.
• The Port of Oakland bollard and fender replacement project at OICT is now complete.
• TRAPAC restricted to 1 crane on berth 30 until further notice.

Seattle-Tacoma:

• No waiting time at Husky and no waiting time at Washington United terminal at Tacoma.
• No waiting time in Seattle.
• Import rail dwell are 2.8 days at Husky, 2.7 days at Washington United Terminal, and 3 days at T18.
• The average gate turn times are as follows: 26 minutes for T18, 25 minutes for Washington United Terminal, and 92 minutes for Husky.
• Husky is offering continuous hoot gates. Next week’s gates will be March 18,19 and 20, 2025, for most transaction types.

Los Angeles/Long Beach:

• Port of Los Angeles dwell time for local import cargo is 2.9 days.
• On-dock rail dwell is 6.3 days.
• Import units on the street are averaging at 4.1 / 6.2 days for 20 ft and 40+ ft containers respectively.
• Port of Long Beach dwell times for local imports remain at 4-8 days.
• The average terminal gate turn time is between 24-79 minutes, depending on the terminal.

Chassis Pools

All pools are operating as normal except:

• Chicago – Deficit on 20’ chassis. Constrained on 40’ chassis.
• Cleveland – Constrained on 40’ Chassis
• Columbus - Constrained on 20’ chassis.
• Louisville - Deficit on 20’ and 40’ chassis.
• Nashville – Deficit on 40’ chassis. 
• St. Louis – Deficit on 20’ chassis.

Intermodal Operations

Truck power can be secured within 1-3 days for the majority of locations, including marine terminals, rail ramps, and depots.

Port Status

Final Thoughts

In light of the latest updates and trends, the market is currently in the course of showing robust performance and is equipped with ample capacity and resources. Individuals and businesses involved in import/export activities must stay well-informed about market dynamics and strategies to make informed decisions.

To ensure a smooth and hassle-free experience with your import/export operations, it is recommended to seek guidance from industry experts. Taking proactive measures and staying proactive in your approach will help you navigate the market effectively. We greatly appreciate your continued readership and encourage you to subscribe to our weekly market updates to stay abreast of the latest developments and insights.