The ocean carrier industry has been experiencing unprecedented worldwide demand as reported by news media and through Hillebrand/North American Shipping Association (NASA) email notifications. The disruption has not only just impacted the Asia trade, but also has escalated to the Europe – North American trade. Today we are experiencing congestion at both origin and destination ports, unreliable vessel schedules, limited vessel space, and a severe lack of equipment. This has resulted in a massive backlog of orders and operational costs have skyrocketed.
Since December/January, shipping lines have increased ocean rates and implemented equipment imbalance surcharges on all containers from Europe to US and Canada.
With no relief in sight, carriers will apply another round of surcharges in March as we communicated in the NASA email notification on February 10th, 2021.
On March 10th 2021 (gate-in date at origin port), your current Emergency Equipment Surcharge (EES) will increase to US$650 per container from all UK, European, Scandinavian and Baltic origin countries.
The shipping environment is more complex than ever, and with any transport-based commodity, demand pricing is a reality. It is our belief that as ocean rates increase and supply and demand stabilizes, we will see a reduction in surcharges.
Hillebrand continues to partner with you to find the best transport modes and solutions. Additional surcharges are part of today’s current transport environment and we will do our best to prioritize equipment and space to move your shipments.