Supply Chain Secrets

Transpacific spreads are tightening as the summer rally flattens, while risk in the Strait of Hormuz climbs.
In this episode, Lars Jensen and Rich Heath cover:
Why the narrowing Asia-USWC spread, now about $1,500 per 40-foot, points to growing certainty on price
How carriers prioritizing China loads squeeze space for Korea and Japan cargo, driving sharp swings on Northeast Asia to USEC
Four container ships hit near Hormuz, one sunk, as Gemini’s new Suez service moves Red Sea routings closer to normal
HMM’s new order lifting its orderbook to 32% of fleet, still one of the smallest among the top 16 carriers
Plus: tariff whiplash, an FMC proposal targeting Spanish imports, and a hacker group’s extortion claims against 34 maritime organizations.

Transpacific rates appear to have peaked, Asia to North Europe keeps sliding toward a floor, and the risk picture across the Middle East is getting harder to plan around.
In this episode, Lars Jensen and Rich Heath cover:
Signs of a Transpacific peak, with USWC easing and USEC flattening, and the steady Asia to North Europe decline since July
August demand data: Asia-Europe down 1.7% year on year while the Transpacific grew 10.8%, and why neither trade fits a simple weak or strong label
Iranian attacks well beyond the Strait of Hormuz, Houthi strikes deep into Saudi Arabia, and what shippers can do when rerouting is out of their control
Africa's import growth, OOCL's Q3 results, Asia to East Coast South America service changes, and El Niño risk at the Panama Canal

Asia to North Europe rates are still falling, Transpacific rates keep climbing, and the gap between the two lanes is at a record high. With the data and the market narrative pointing in different directions, the new NYFI options contracts on Asia to North Europe and Asia to USWC arrive at the right moment.
In this episode, Lars Jensen and Rich Heath are joined by Peter Stallion of Clarksons to cover:
Why the port congestion story doesn't fit low blank sailing levels or falling Asia to North Europe rates
The record arbitrage between the two lanes, and a USWC 10 to 90% spread hovering near $2,000 per 40'
How call and put options work, how they differ from futures, and who sells them
Using options and futures in 2027 European tenders, and why going unhedged is the real gamble
Plus: Red Sea normalization, escalating Hormuz attacks, and the stalled Hapag-Lloyd and ZIM deal.

Port congestion is now absorbing 8.5% of the global container fleet, roughly four times the pre-pandemic norm, and it may not clear before the Chinese New Year peak. On NYFI, Asia to US East Coast rates sit at an all-time high, with rates to both US coasts still climbing.
In this episode, Lars Jensen and Rich Heath cover:
Why congestion could push Asia-Europe rates up just as shippers negotiate 2027 contracts in the European tender season
What last week's upward shift in NYFI futures says about how long the market expects tight capacity to last
The October 5 launch of NYFI options contracts on ICE Futures Europe, with a deeper dive next week alongside Peter Stallion of Clarksons
How an orderbook approaching 43% could bring more consolidation and more competition at the same time
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Pacific rates on both U.S. coasts are near 2024 levels, and the data Lars Jensen reviews points to carrier capacity management as the driver.
In this episode, Lars Jensen and Rich Heath cover:
How Pacific vessel utilization has shifted upward since before the pandemic, and what that means for rates
More Gemini and MSC services returning to Suez routing, and who carries the risk if the Red Sea situation deteriorates
Hormuz, where container cargo is moving by land-bridge corridors while bunker fuel prices climb
Maersk's order for 26 vessels and the carrier positioning game heading into the 2030s
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