Next week, large importers such as IKEA and Walmart and container ship operators will negotiate the new freight rates, which would undoubtedly affect the price that consumers pay for products.
The products that are imported range from jeans to cars, so negotiations are very important that they take place in good terms and with preferential rates.
And it is that concerns are rising among importers and operators, since the effects caused by the COVID-pandemic are barely being overcome-10, which kept containers stranded in ports for a long time.
Delays in the supply chain
It has been two years that container ships have suffered delays that have affected the supply chain, due to to the pandemic.
And it will be next week that the TPM conference will be held in Long Beach, California, where the one-year freight contracts will be closed.
These contracts represent three fourths portions of the revenue earned by ship operators each year.
They estimate considerable increases
Specialists estimate that the price of moving a box of 19 feet from China to the west coast of the United States could be between $7,10 dollars and $8,10 dollars.
This figure would represent a record in annual rates, since last year its price was approximately $5,500 dollars, indicate specialists related to negotiations between importers, including IKEA and Walmart, and ship owners.
And after the setbacks that arose from the pandemic, those involved are analyzing possible contracts of long-term freight, but that is still on the table, and there is nothing concrete.
Analyze long-term contracts
“Now we are seeing more and more importers sign annual contracts early, as well as longer-term contracts ”, Lars Jensen, CEO of Vespucci Maritime
told Fox Business “It is about managing risk in an environment where uncertainty about the stability of the supply chain in 2022 is still very high”.
Among the large importers that will also be in the negotiations is Amazon, leader in electronic commerce.
Walmart and Amazon
Walmart and Amazon imports represent more than a quarter of the containers that enter the country, according to what was published by the aforementioned site.
Walmart, Ikea and Amazon, among other importers, have highlighted profits that have been affected by the problems that have arisen in the supply chain os.
And things don’t seem to change much for this year.
“The biggest challenge we have on the gross margin side right now is freight costs,” warned David Bergman, CFO of Under Armor Inc.
The US toy company Hasbro is another of the firms that are negotiating the new rates with ship owners.
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