Hanjin Shipping to up transatlantic rates thrice in 2010

SOUTH KOREA's Hanjin Shipping has unveiled its rate recovery programme for the transatlantic trade that will take effect later this year.

The programme calls for rate restorations to be implemented at three separate intervals over a six-month period. The rate hikes will apply to all shipments transported by the carrier between North America, northern Europe and the Mediterranean both east and west bound.

Starting April 1, freight rates for all cargo types will be increased by US$300 per TEU and $400 per FEU. Additional rate hikes in the same price range will be subsequently applied on July 1 and again on October 1.

The move comes as the transatlantic trade "suffered severe losses in 2009 caused by massive drop offs in cargo volume, which has pushed freight rates to unreasonably low levels. While the trade is now showing signs of recovery in the form of improving volume figures, fuel and other operation costs are increasing as well," Hanjin Shipping said in a statement.

"This rate recovery programme is necessary for us as we must maintain the quality service and schedule reliability that our customers expect from us. We will continue to seek all possible measures that will bring mutual benefits for us and our customers during this time of crisis."

Source: www.schednet.com