International container shipping organisation, the Transpacific Stabilisation Agreement (TSA), has pushed for another rise on Asia-US freight rates.
TSA has recommended shipping companies raise freight rates by at least US$600 per 40-foot container, around 14.2 per cent, from 1 September.
'Lines have made modest revenue gains to date this year, but they continue to struggle in terms of returning to profitabliity,' said TSA's Brian Conrad in a company statement. 'In most route segments they are operating at, or near, full capacity with little room for error in managing assests, so this increase is needed as a cushion to cover costs and assure service choice and reliability.'
The push for a rate rise follows a similar request in July, with shipping lines struggling to turn a profit after freight rates dropped in 2013 due to overcapacity.
TSA serves as a research and discussion forum for 15 major shipping companies, including Maersk, OOCL and CMA CGM.
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