In 2024, the global maritime market faces challenges. The situation of container shortages and insufficient transport capacity has further worsened, leading to a significant increase in shipping costs. Currently, the cost of the China to Mexico route has risen from over $2,000 per 40GP container to between $8,000 and $10,000. The costs of routes to Europe and North America have nearly doubled. Additionally, this year, the volume of imports in Latin America has increased considerably, leading to congestion and further aggravating the capacity shortage situation.

The situation in the Red Sea remains one of the important factors affecting the container shipping market. Continued tension in the Red Sea region has forced ships to detour around the Cape of Good Hope, significantly increasing the distance and sailing time, thus raising shipping prices.

Due to the shortage of space and containers, freight forwarding companies are facing difficulties in booking space, which also delays delivery times.

We generally offer FOB quotations to our customers, which requires them to book space, pay for freight, and manage insurance on their own. Customers need to be aware of the current market estimate of shipping costs and budget based on the most recent shipping costs. Once the machines are ready, they should arrange the booking of space as soon as possible to avoid additional costs due to delays. It is important to choose a reliable carrier to ensure the safety and timely delivery of goods.

Some customers opt for CIF terms. To better manage the continuous increase in shipping costs, we adopt a "cost adjustment" approach under CIF terms. This means that after shipment, the customer will need to pay the difference based on the actual shipping cost. If the actual shipping cost is lower than our quotation, we will also refund the corresponding difference. Alternatively, we can provide an FOB quotation at the time of the customer’s order and, once the machines are ready and awaiting shipment, offer the latest shipping cost quotation.

We will continue to closely monitor market dynamics and adjust our strategies in a timely manner to ensure that we provide the best service and support to our customers. We appreciate your understanding and trust.