French container transportation and shipping company CMA CGM S.A. has decided to stop all spot rate increases effective immediately, from September 9, 2021, to February 1, 2022.
"The Group is prioritizing its long-term relationship with customers in the face of an unprecedented situation in the shipping industry," the company stated in a press release.
CMA CGM noted that since the beginning of 2021, container shipping spot freight rates have continued to rise due to port congestion and the major imbalance between demand and maritime container transport effective capacity.
"Although these market-driven rate increases are expected to continue in the coming months, the Group has decided to put any further increases in spot freight rates on hold for all services operated under its brands (CMA CGM, CNC, Containerships, Mercosul, ANL, APL)."
CMA CGM added that it is investing heavily to strengthen its service offering. "The Group has increased the capacity of its operated fleet by 11% since December 31, 2019, through the addition of new vessels and the purchase of second-hand vessels. Over the last 15 months, the Group has also increased its container fleet by 780,000 TEUs."
CMA CGM advises its clients to contact their usual CMA-CGM sales representative for more information.