Hong Kong: OOCL has announced that beginning December 15 the company will introduce a rate restoration program increasing the cost of tonnage shipped from Southeast Asia to Australia by USD 250 per TEU. The increase, said to be an attempt to “restore freight rates to a more sustainable level” will impact cargo loaded in Singapore, Malaysia, Thailand, Indonesia, Vietnam, Cambodia, Philippines, the Indian Subcontinent and the Middle East.

“The economic downturn has led to a weakening of revenue levels to the extent that freight rates are unable to cover basic operating or transportation costs,” OOCL said in a statement adding current levels are unsustainable for the long term.  [20/11/09]