[Shipping News Release] South American Freight Rates Expected to Continue Rising in June (West/East)
 

[News Release] Recent market news indicates that South American shipping freight rates are expected to continue their upward trend in June. Currently, shipping capacity in South America is tight, with most slots nearing full capacity or essentially sold out (carriers report "almost no available slots"). This capacity pressure will directly impact pricing and shipping schedules.
 

The main reasons for the tight market include:
Restrictions on Ro-Ro Ships in the Strait of Hormuz:
1、Ro-Ro ships are unable to return as scheduled, causing difficulties in the reallocation of localized capacity and further exacerbating the tightness of shipping capacity on South American routes.

2、Delivery Deadlines Driving Container Shipping Demand:
Many automakers are choosing to ship in containers to meet delivery deadlines, leading to a concentrated release of demand for goods such as used engines, diesel engines, gasoline engines, and auto parts.

3、Major Shipping Customers' Forecasts Exceed Capacity:
Shipping companies and customers are forecasting cargo volumes that "exceed capacity." Even if carriers cannot accept new orders in some cases, shipping capacity may still remain full in June.
 

Regulatory Factors and Approaching Deadlines:

1、Compared to April, ocean freight costs have increased significantly. Simultaneously, new automobile export requirements, due before June, have prompted shippers to lock in space early, leading to intensified competition for shipping slots.

2、Affected Cargo Types: This capacity shortage primarily impacts international ocean freight demand related to the following products/industries:
3、Used engines, diesel engines, gasoline engines, auto parts, etc.; covering brand and model-related cargo demand, including but not limited to: Isu-zu, To-yo-ta, Cum mins, Hyundai, Nis san, Hi no, Mitsu-bishi, Ki-a, J-A-C, Ho n-d-a, Per kins, Iv-eco, etc.

Industry Recommendations:

To mitigate the costs and risks associated with limited space, customers planning to ship on South American routes are advised to:

Book space and confirm shipping schedules as early as possible; Complete transportation plan assessments and loading arrangements promptly during periods of rising prices.
 

For the latest quotes, space availability, and shipping schedule confirmations, please contact us via private message. We will provide you with the latest freight rates and feasible shipping solutions.