Hapag adds BAF

German container line Hapag-Lloyd, rated the world's fifth largest, has announced it will increase freight rates between North America and the Med and north Europe by US$400 per TEU and $500 per FEU in September or October depending on dates of existing contracts, the Shipping Gazette informs.
"The shipping industry has been hit by rate erosion in all major trades (and) faces unprecedented low freight levels which are no longer sustainable," said Hapag Lloyd in a notice to trade.
Hapag-Lloyd said transatlantic volumes have fell to 274,000 TEU in the first quarter, representing a year-on-year drop of 19 per cent. Rates also fell 6.7 per cent to $1,543 per TEU in the same period. In the face of increased fuel costs, Hapag Lloyd is also applying a $75 emergency bunker surcharge from August 1.

Source: Transport Weekly