For most shippers, ocean shipping rates are perhaps an enigma. This post will try and unpack everything for you, help you better understand your sea rates, and offer extra freight rate insight.
What is Ocean Freight?
Ocean freight refers to the shipping of goods by sea through shipping containers. Did you know that ocean freight is the most typical mode of transport that exporters and importers use? A full ninety percent of goods are shipped by sea freight.
The major reasons for sea freight shipping costs increase in the sea shipping industry include an after-pandemic increase in the demand for products, non-availability of containers, congestion in the Suez Canal, and bottleneck in all major ports due to an increase in marine traffic from Asian regions.
Keep reading to know the updated ocean freight rates for 2022.
Ocean Shipping Rates Calculator
If you need help with figuring out the average price or shipping costs China for sending your shipments from China to the west coast, our team of professional freight forwarders got you covered. Contact us today to get an exact quotation for all your projects!
How To Calculate Ocean Freight Costs?
The weight in volume or tons in cubic meters is multiplied by an LCL base rate, which the freight company charges. Remember that CBM is an object’s volume, one meter in width, one meter in height, and one meter in length.
Ocean freight costs example,
If you with 4 pallets, and the size of the pallets: is 1m*1.2m*1.2m, then the total chargeable CBM for this shipment is 1m x 1.2m x 1.2m x 4 pallets = 5.76CBM.
Suppose the unit price is 55 USD/CBM.
Then this shipment ocean freight costs= 55 x 5.76=316.8USD.
Ocean freight cost calculated begins from the shipping line to carry your shipments by ship from port to port. As with the terminal handling and wharfage charges, your ocean freight charge is measured on the shipment’s volume in cubic feet.
FCL Ship Freight Rates
In filling 20, 40, and HQ containers, you need to consider the goods’ length, height, and width.
For instance, the door for ocean freight rates 20 containers is at least 2.34 cm, and its width is 2.28 cm. You can’t enter goods three meters wide or 5.90 meters high, along with a length of 5.90 meters container.
Remember that numerous factors identify the cost of FCL container shipping. Such factors will affect your shipping container cost and how much it will cost a container overseas.
To get exactly Full container loading rates from China to your destination ports, You just need to send us an inquiry and will get feedback within mins.
LCL Ship Freight Rates
Let’s find the international freight rates for this LCL shipment. Suppose The freight charge is $40 per CBM. Measurement of the cargo is given as follows:
Length – 60cm
Width – 1.5 cm
Height – 2 m
Weight: 3000 kilograms
Solution:
Volume = L x W x H
= 0.6 x 1.5 x 2
= 1.8 CBM
Since 3,000 kilograms is equivalent to 3 CBM. The calculation of basic ocean freight under LCL cargo is based on per cubic meter rate or per ton, whichever is higher.
1.8 < 3
For example, 3 x 40 = $120.
The total ocean freight rate for an LCL shipment is $120.
Click there to know more about CBM calculate method
How Does Ocean Freight Work?
If you pick ocean freight, your shipments will be packaged and palletized either by a third party or at the factory. The carriers will book space on the cargo vessel, and your products are shipped to the port to undergo a customs check at the point of origin.
Goods are containerized into shared or full containers based on whether you’re shipping LCL or FCL. The cargo is then loaded into the vessal for international transportation.
Once the shipping vessel arrives at the destination port, the products pass through customs, and once any taxes and duties are paid, they will be released. At this stage, the goods will be shipped to a warehouse and sent to the final customers.
International Freight Shipping Rates Example
Below is an example of port-to-port ship cargo price rates for cost ranges for the common international shipping destinations from Shanghai, China.
| Destination Country | 40 feet container | 20 feet container |
| Australia (Melbourne) | $10,000 | $5.700 |
| Germany (Bremerhaven) | $18,000 | $1,100 |
| United Kingdom (Felix Stowe) | $18.000 | $12,000 |
| United States (New York) | $22,000 | $15,000 |
| United States (Los Angeles) | $18,500 | $13,475 |
Remember that the container’s size will affect the overall price when comparing sea freight rates for container shipping and transport. There are over a dozen various sized containers, but 40-foot and 20-foot containers are the most frequently utilized.
Also, container shipping rates and prices are distinguished by the form of the cargo, the goods’ weight, the mode of transport, and the popularity and distance of the delivery destination from the point of origin.
Learning the total cost of exporting or importing your goods (Which we also called landing costs) is essential to identifying the total landed cost of the products and what your bottom line will be.
Ocean Freight Costs, Rates, And Charges in Your Freight Quote
When your freight forwarder or shipping agent quotes you, please don’t forget to confirm with them if the international freight prices include the below costs:
· Customs security surcharges (AMS, ISF)
· Container Freight Station costs (these are the consolidation charges, most time means LCL shipment.)
· Terminal Handling charges (charges by the port of export and import)
· Customs brokerage (these are charges for customs clearance)
· Pickup and delivery (Pickup at the export original country and delivery to the destination address in the importing country.)
· Insurance (Cargo insurance, shippers interest insurance)
· Accessorial charges (fuel surcharges, handling hazardous materials, storage, etc.)
· Routing charges (only some country charge these part fees, e.g., Panama Canal, Alameda Corridor)
FAQs About Sea Rates and Ship Freight Charges
Are ocean freight rates dropping?
The cost of shipping freight containers across the Pacific Ocean has already cooled from record highs hit during COVID-19 when demand for goods manufactured in Asian countries outstripped the global supply chain.
Why are ocean freight rates so high?
The reason for this is that the demand for cargo is far beyond the supply of shipping capacity.You may check our other article about why shipping is so expensive.
How do I find sea freight charges?
The weight in tons or CBM is multiplied by an LCL base rate, which the freight company charges. you can get a freight forwarder like DFH to make the exactly quote to you each time base on your detail shipping information and requirement.
Will shipping prices & freight rates go down in 2022?
It’s estimated that freight rates will have some discounts and drop by 30-40% this year. However, it’s unlikely it will drop back to the 2019 level so far.
Are shipping rates from China dropping?
Yes. The drop in sending packages is due to China’s coming off-season and the reduction in manufacturing because of the power crunch. The cost of container shipping has substantially increased over the past few years, but the rates seem to stabilize.
In September 2021, it cost more than $20,000 to send a container from China to the West Coast. In June 2022, the price is half that of $9,500. and now In November 2022, the price is around $1,800 for a container from China to USA.
For the exact quotation of full container or LCL shipment from China. Click here to send your shipment details then can get the quotation within mins.
Will freight rates go up in 2023?
The early consensus looks like contract shipping won’t continue declining in 2023. Spot rates are anticipated to continue to decline in the early part of the year.
Why are Florida freight rates so low?
LTL freights rates in Florida are normally low because of high competition and volume.
Have more questions about ocean freight rates and want to get quotation for your shipment by ocean freight? Contact us and send your detail inquiry now. we will quote to you in mins after getting your infomration.
