THE BIG PICTURE
particular stress with a backlog of ships causing a bottleneck for trade, but as of mid-July, this appears to be easing, with June's throughput at the Port of Singapore down a reported 5% from the month before. Peak season for shipping (typically between mid-August and mid-October) may have been brought forward by traders getting ahead of the curve by booking cargo in advance . This, combined with the port labor concerns and attacks in the Red Sea, could explain why peak-level price rises have been felt in the spring/early summer. In May, ocean freight saw its highest ever demand – a global record, according to Xeneta. This suggests that the need for containers and smooth shipping remains strong as ever, and if the obstacles continue, so too will the domino effect that extends transit times and keeps containers scarce.
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