Ocean shipping rates continued their downward trend, according to the latest analysis by Freightos, as capacity remains high while demand stays low.

"Expect this trend to continue through Q3," the online freight marketplace said.

It added that equipment is widely available at all major European ports with decreased congestion in both the US and Europe container turnaround is quicker, leaving more equipment available.

Freightos said effective capacity also remains at an oversupply as carriers announce more blank sailings and try to reign in further rate drops (rates are currently at pre-pandemic levels).

"Expect possible loading limitations on some US East Coast and Gulf Coast services due to the draft restrictions on the Panama Canal," the online freight marketplace added.

For ocean shipping in the Indian subcontinent, Freightos said available capacity remains high with strong equipment availability at coastal ports.

Some inland container depots (ICDs) are also reporting deficits, and availability is dependent on the import mix into these inland destinations, with 20ft of equipment remaining the most challenging.

Air cargo rates on Asia-EU rebounding

For air cargo in Asia, Freightos said after bottoming out in May, rates on Asia-EU routes have rebounded, and the difference between spot rates and fixed contracts is reducing.

"Overall, demand has recovered, though freighter capacity is being retired specifically on Transpacific as they lose money at low sell rates and high fuel costs," Freightos said.

"This will continue if the rate and fuel cost situations don't improve."

In terms of trucking in the US, Freightos noted that starting July 1, 2023, the regulated trip rates and hourly comp for local dray in Vancouver, BC, increased by 6.2 % for all local container drayage services.

Meanwhile, wildfires in Alberta have delayed rail moves, yard utilization has stabilized, but rail is underperforming.

Freightos said US wet and rail ports are largely fluid, with truck turn times under one hour at most ports.

"It remains to be seen what impact labour actions at BC ports will have," the online freight marketplace added.