6.9 C
Hamburg
Monday, January 17, 2022

New CN mobile APP Available Now

New CN mobile APP Available Now

Home Freight News Port congestion balloons box rates on South Korea - Russia trade

Port congestion balloons box rates on South Korea – Russia trade

The Japan International Freight Forwarders Association has announced that in 2021, container trade between South Korea and Russia has been sharply increased, mainly driven by the transportation of auto parts and components, as well as chemical products.

Containers were carried on the so-called Siberia Land Bridge (SLB) owing to shipping space shortages between Asia and Europe, according to JIFFA, while freight rates on the route also surged.

Containers moved from Busan to Vladivostok and Vostochny in January-November jumped nearly 50% from a year earlier to 81,200 TEU.

"As a consequence, there was ship and freight congestion at the Russian Far East ports, which acted as factors behind rises in freight rates," explains JIFFA.

At the beginning of the year, the cost to move a container from the Port of Busan to Russia was approximately US$1,100 per TEU, but in mid-December, the rate reached a record high of US$6,000 per TEU, increased by almost six times.

Although container movement between these two countries tends to slow in winter due to freezing, as the efficiency of container loading and unloading is also down, freight rates are projected to remain high, according to JIFFA.

Latest Posts

COSCO offers “special train” service to its compatriot Hisense Group

COSCO Shipping Group has announced that a special train for Hisense Home Appliances fully loaded with Hisense electrical products departed from Jimo Port Station...

Box volumes boost at Port Saint John in 2021

Port Saint John in Canada has reported a 10% increase in its annual container volumes with 86,949 TEU moved through the port in 2021. This...

Port of Felixstowe reports record container cargo handling

Hutchison Ports-operated Port of Felixstowe has handled the largest number of containers ever on a single ship in Europe, when the UK port's dockers...

CN Photo Project: The Picture of the Week

Container News wants to thank you all for your participation in the CN Photo Project. Among all the very beautiful photos we have received, the Container News team has...

Project44 reports slight relief in port congestion during December

The visibility platform company for the global supply chain, Project44 has conducted an investigation, indicating that dwell times for most ports have changed a...