European sea freight rates surge, lead to an increase in genset price.

Shipping prices have skyrocketed following the Red Sea attacks. Ocean freight rates per forty-foot equivalent unit from China to Europe were up 282% to more than $4,700 since Dec. 1, as of Jan. 19, 2024 according to Freightos. Global box rates are significantly higher than pre-COVID levels and continue to climb. The Freightos Baltic Daily Index hit $3,410 on Monday, a 145% spike since the start of the year. And spot rates from Asia to the Mediterranean are 160% higher than a month ago at $6,500 FEU. Even shippers booking space at contract rates are paying more as ocean carriers add emergency surcharges to invoices. This will lead to an increase in the sales price of genset in Europe.