Freight rates for waste paper may go up

Shipping lines that carry US exports to Asia plan to increase their freight rates for wastepaper for the second time this year.

The Westbound Transpacific Stabilisation Agreement (WTSA), a discussion group of 10 carriers in the trade between the US and Asia, announced proposed rate increases of US$50 per 40-foot container and $40 per 20-foot container to take effect on September 1 for port-to-port as well as intermodal shipments.

In April, the WTSA proposed an increase of $100 per FEU. As a discussion group, the WTSA issues voluntary guidelines for its members, and the lines are free to deviate from the proposed rate actions in their confidential contract negotiations with exporters.