TSA Announces Temporary Rate Hike

TRADE ALERT

TSA Announces Temporary Rate Hike

(December <= span style=3D'mso-bidi-font-family:Arial'>17, 2009)

Beginning January 15, 2010, members of the Transpacific Stabilization Agreement (TSA) will seek an Emergency Revenue Charge (ERC).<= span style=3D'mso-spacerun:yes'> The 15 carriers (including pending acceptance of Maersk), comprising the TSA, will increase rates by $320 per 20 foot container, $400 per 40 foot container, $= 450 per 40 foot high-cube container, and $505 per 45 foot container. The ERC will help the TSA recupera= te large losses incurred on current contracts and will expire upon execution of new contracts in spring 2010. As = an example, Hapag-Lloyd, the world’s sixth-l= argest container shipping company, recently announced a loss of over $975 million = in the first nine months of 2009. The spring contracts will include rate increases of $800 per 40 foot container = for shipments from Asia to the US West Coast and $1,000 per 40 foot container f= or all-water and intermodal shipments. The trade anticipates carriers not associated with the TSA to take similar action.

In response to the lagging economy, carriers have also= consolidated services and cut capacity over the past year. Container space has been very tigh= t, particularly for trade lanes from central and northeast China.<= span style=3D'mso-spacerun:yes'> Space limitations are expected at = least through January, and additional surcharges are anticipated.

Shippers should be prepared for the possibility of containers being bumped and not loaded on scheduled voyages. Bumped containers are being report= ed more frequently due to tightened capacity. To avoid delays from lack of space, importers and exporters should secure cargo bookings as early as possible.<= span style=3D'mso-spacerun:yes'> It is also important to stay in co= ntact with your freight forwarder to ensure that you have the most up-to-date information on the ever-changing rates.&nb= sp;

For more information, please contact your sales representative or send an email to ratequotes@anderinger.com.

About Deringer

A.N. Deringer,= Inc. is a leading provider of international logistics services including Freight Forwarding, Warehousing & Distribution, Customs Brokerage, Logistics Consulting, Cargo Insurance, Duty Drawback, and Meat Inspection. Deringer combines over 30 US<= /st1:country-region> offices with a global agency network to facilitate the movement of cargo throughout the world.