The freight rates have started to slide down due to the drop in business from China.
Freight companies now have space to fill on their vessels and have reduced freight for the first time in over 12 months.
The drop in exports is a combination of power outages in China and a drop in trade caused by the high freight rates for the last 12 months as business look elsewhere to manufacture their products.
The general feeling is that rates will stabilise at this current level in early 2022 ahead of Chinese New Year and then drop 2-3 weeks after the China national holiday.
Freight rates dropped by move than USD4,500.