Freight Cost Increase: GRI Update, April 2025
The shipping industry is bracing for a fresh wave of cost adjustments as major carriers, including Hapag-Lloyd and MSC, announce new General Rate Increases (GRIs) for April 2025.
These hikes, which could reach up to $400 per container, will impact critical trade lanes across South America, the Mediterranean, and Asia, amid strong demand and rising operational costs. International shipping routes connecting North America, Latin America, Europe, the U.S., and Canada will also feel the effects of these increases.
General Rate Increase Announcements by Major Shipping Companies
From April 8, 2024, according to the official release from Hapag-Lloyd, “A General Rate Increase (GRI) from Latin America East Coast to North America, Central America and Caribbean for cargo transported in Dry and Reefer containers is coming up ” This GRI is applicable to all containers from May 05, 2025, and is valid until further notice.
Source: Hapag-Lloyd offcial website
Detail | Value |
|---|---|
GRI Amount | US$400 per container |
Effective Date | 5 May until further notice |
Applicable Regions | Latin America East Coast to North America, Central America, and the Caribbean |
In addition to Hapag-Lloyd, the Mediterranean Shipping Company (MSC) has announced a new General Rate Increase (GRI) for trade routes in the East Mediterranean and Black Sea, effective April 1, 2025, and lasting until further notice, but not extending beyond April 14, 2025. This adjustment will impact all container types, with increases of up to $400 for 20-foot dry containers and $800 for 40-foot high-cube containers.
Source: MSC official website
On April 3rd, Ocean Network Express (ONE) has also announced a General Rate Increase (GRI) for all kinds of cargo moving from Asia to the Latin American East Coast (LEW) and Caribbean (CSE), effective April 15, 2025.
Container Type | GRI (USD) |
20' | 1000 |
40' | 1000 |
40'HC | 1000 |
40'NOR | 1000 |
CMA's GRI for America (BRAZEX Service)
CMA CGM has introduced a General Rate Increase for its BRAZEX service, effective April 2025. This adjustment reflects a 115% rise in spot rates observed in March, driven by increased demand and service reliability challenges. The BRAZEX service connects key ports in Brazil with North America, facilitating critical trade flows. Historical trends indicate that such rate increases are necessary to sustain operational efficiency and meet customer expectations.
Time Period | Spot Rate Change | Service Reliability |
|---|---|---|
December | N/A | N/A |
March | +115% | N/A |
February | N/A | 34% |
In the short term, the GRI increase may push freight rates up slightly on routes to North America, Latin America, and the Middle East. While the overall rise isn’t dramatic yet, it’s a sign that the market is warming up. Still, with ongoing tariffs and trade tensions, shipping prices are likely to stay unpredictable for now.
The latest GRI updates highlight the ongoing volatility in the shipping industry, with significant implications for stakeholders. Shippers must prioritize strategic planning and leverage credible data to navigate rising freight costs effectively. If you want to get more first-hand info, send a quote to info@yqn.com.
FAQ
What is a General Rate Increase (GRI)?
A General Rate Increase (GRI) refers to the periodic adjustment of freight rates by shipping companies to address rising operational costs and maintain service quality.
How do GRIs affect export cargo?
GRIs increase shipping costs for export cargo, impacting businesses' profit margins. Companies must adjust pricing strategies or optimize logistics to mitigate these effects.
Why are GRIs implemented across multiple regions simultaneously?
Shipping companies implement GRIs regionally to address global cost pressures, including fuel price hikes and capacity constraints, ensuring consistent service levels worldwide.
See Also
Freight Trends in China's Market for March 2025
February 2025 Updates on China's Ocean Freight Market
2024 Shipping Industry Growth: Insights and 2025 Predictions
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