Fremantle: A Gateway for Global and Domestic Trade
Fremantle, a key port in Western Australia, continues to be a vital hub for both international and domestic logistics.
While China and Thailand remain the largest international origins of imports, what stands out is the significant role coastal shipping plays in Fremantle’s import activities. Remarkably, domestic volumes originating from within Australia are the second-largest origin of imports to Fremantle, highlighting the strong interconnection and dependency between Western Australia and other parts of the country.
This trend underscores the importance of coastal shipping routes in Australia’s logistics network, showcasing Fremantle’s role not just in global trade but also in facilitating essential interstate commerce.
With the ongoing significance of domestic trade, Australian importers need to ensure their logistics strategies are optimised for coastal shipping. Harders, with its expertise in managing both international and domestic supply chains, is well-equipped to support businesses in navigating the complexities of coastal trade. By leveraging Harders’ deep knowledge of Australia’s coastal logistics, companies can enhance operational efficiency, reduce transit times, and ensure reliable movement of goods between Western Australia and other key regions across the nation.
Please reach out to your local Key Account Manager if you would like to discuss how Harders can assist in optimising your coastal shipping needs.
Global Air Freight Update
Global Cargo Tonne-Kilometres (CTK) increased by 9.4% year-on-year last month, delivering the 14th consecutive month of demand growth. Demand contracted by 0.4% month-on-month (MoM), net of seasonal adjustment.
Continuous demand growth driven by soaring e-commerce, ocean shipping disruptions, rising general cargo needs for high-tech semiconductors, and a low comparison base from last year. Despite mixed economic signals, high demand likely to continue into 2025 and beyond.
Next year could see a lack of air cargo capacity as passenger aircraft additions ease, additional freighters are in short supply and e-commerce demand remains strong. Belly capacity growth is slowing down, there are delays to aircraft production and the high demand being experienced on the passenger side of the market was affecting the amount of feedstock that is available to be converted into cargo aircraft.
It is never too late for us to manage your end of year stock or festive delights. Whilst there are some limitations with the air carriers with space, we have options available and would recommend that you reach out to discuss the requirements. As always, we work hard to find best fit solutions.
We have weekly consoles from USA, Europe, China, and South Africa into AU. Please contact our team of supply chain professionals who will continue to provide you with the most competitive options to support your supply chain needs.
Landside Logistics Update
Terminal Infrastructure Charges
Early this month Patrick, DP World and VICT provided a 60-day notice for their increased charges commencing from the 01/01/2025.
These increases will affect Patrick and DP World nationally for import and export containers.
Patrick Terminals
- Terminal Access Charges:
- Increase 9.5% in Sydney and Melbourne Imports
- Increase 3.5% in Sydney and Melbourne Exports
- Increase 21.01% Brisbane Imports
- Increase 7.02% Brisbane Exports
- Increase 5% Fremantle Imports/Exports
DP World
- Terminal Access Charges
- Increase 5% in Fremantle Import/Export
- Increase 9% Sydney, Melbourne, Brisbane Import/Export
- VBS
- Increase 25%
VICT (Melbourne)
- Terminal Access Charges
- Increase 4.18% Import/Export
- VBS
- Increases up to 20%
One of the final frontiers in Australian ports being Darwin will commence new vehicle booking systems from the 2nd December 2024. With this new system in place comes fees attached like wharf vehicle booking fees levied by the other ports in Australia.
Empty Park Fees – WA
Empty Park fees for certain yards in WA will increase again in December effectively increasing these fees up $30 per container.
Please ensure that you contact your Account Manager concerning new rates for your business.
Sea Freight Market Update
The Northeast Asia-to-Australia sea freight market is currently experiencing volatility driven by shifting demand and operational challenges.
Weather disruptions at major Chinese ports, particularly Shanghai and Ningbo, continue to cause congestion and delays of 7–10 days, resulting in vessel bunching and impacting arrival schedules in Australia.
While shipping lines initially announced rate increases for November, market conditions have not supported these hikes.
Instead, many carriers are offering reduced rates for specific sailings, which happen to be arriving over the festive season.
However, a rise in demand is expected from December 15 as importers prepare to ship goods prior to the Chinese New Year rush.
In response, some carriers have announced they will be implementing Rate Restoration measures, including increases of up to USD 500 per TEU which they will apply on top of existing ocean freight rates on the Northeast Asia to Australia trade lane.
Given this volatility, it is crucial to plan shipments early, secure favourable rates, and closely monitor market developments.
Partnering with our team of experienced Key Account Managers will help tailor solutions to ensure your supply chain runs smoothly during this period of uncertainty.
On some of the other important trade lanes we can confirm that the Gemini service, a collaboration between Maersk and Hapag-Lloyd, will officially launch in February 2025.
It focuses on East-West trade routes and aims to improve schedule reliability, connectivity, and sustainability. For Australia, this network primarily enhances connections with Asia, Europe, and North America. Depending on the phased-in network, vessels may use the Cape of Good Hope route instead of the Suez Canal due to current safety concerns in the Red Sea.
This service is designed to provide faster and more reliable shipping options, supported by optimized port operations, and streamlined transshipment hubs. The result is greater predictability and efficiency for Australian importers and exporters.
Our Harders team of professionals are ready to support your needs with further information about this new co-operation as bookings start to open from early December!