NAVIGATION

News

Industry Update – May 2026

Attention: Shipping Manager

 

Middle East Conflict

As previously noted, we are monitoring developments from Freight & Trade Alliance (FTA) and the Australian Peak Shippers Association (APSA) on the ongoing conflict in the Middle East.
The situation has resulted in severe disruption to global air cargo and containerised sea cargo, with flow-on consequences for Australian supply chains.

While some regional ports, bookings, and limited flight operations have resumed, the overall operating environment remains highly unstable.

  • The strait remains operationally restricted and highly unstable with shipping movements restricted by both Iran and the US. Transits are continuing at a fraction of normal levels despite intermittent political announcements of reopening. The situation continues to present material risk to global freight, energy markets, and Australian importers and exporters.
  • Container lines are still operating only limited and carefully managed transits, with many carriers:
    • Suspending bookings
    • Declaring end of voyage or voyage cancellations
    • Discharging cargo at alternative ports outside the Gulf
    • Applying Emergency Fuel, War Risk and Emergency Conflict Surcharges
  • Iranian forces have seized and fired upon container vessels including MSC operated ships, reinforcing carrier reluctance to resume normal service patterns.

Network disruption is extending well beyond the region, with knock-on delays across other trade lanes, placing pressure on already fragile schedules.

Despite periodic political statements suggesting reopening, shipping through the Strait of Hormuz remains restricted in practice, heavily militarised and unpredictable. Industry guidance continues to emphasise that “open on paper” does not equate to safe or commercially viable transit.

 

(Source: Freight & Trade Alliance)

 

General Rate Increase from Asia to Australia and New Zealand

We received notifications this month from a number of shipping lines in regards to a General Rate Increase (GRI) from Asia to Australia and New Zealand, details as follows:

This will come into effect from 1 May 2026, affecting North East and South East Asia to Australia and New Zealand.

 

USD 300/20’

USD 600/40’

LCL will increase accordingly.

 

Due to the current global situation, we believe these increases may not eventuate. However, because shipping lines have announced them, we want to keep you informed.
If you need further clarification on pricing on these trade lanes, please contact your sales representative.

 

Peak Season Surcharge from Asia to Australia and New Zealand

We received notifications this month from a number of shipping lines in regards to a Peak Season Surcharge (PSS) from Asia to Australia and New Zealand, details as follows:

This will come into effect from 15 May 2026, affecting North East and South East Asia to Australia and New Zealand.

 

USD 200/20’

USD 400/40’

 

Destination Port Charges

Dieterle & Victory has held its destination charges at the same level for the past 2 years.  Within the same time period, shipping lines’ port charges have increased by up to 47%. Unfortunately, cost pressures existing in the current market cannot be ignored any longer and we need to increase our charges accordingly. Therefore, effective immediately, the following increases will apply:-

 

Delivery Order Fee                                        $15.00

Sea Cargo Automation                                  $15.00

Destination Clearance Charges                    $  5.00

Destination Port Charges: 20ft                     $35.00

40ft                     $45.00

 

We have endeavoured to keep these increases as low as possible.

 

Destination Timeslot Booking Fee:

Depots around Australia are now charging a timeslot booking fee for all LCL and airfreight shipments, which we have no choice but to pass on at cost.
The introduction of the Destination Timeslot Booking fee for LCL and airfreight shipments into Australia will be AUD 50 per LCL or airfreight delivery.

 

Destination Fuel Surcharge Increase:

The situation in the Middle East is causing significant disruption to international energy markets, directly affecting Australian domestic freight costs through fuel pricing.
As container transport logistics in Australia are reliant on diesel fuel, diesel prices affect the entire container freight supply chain.
At this stage, we are receiving changing fuel notices hourly in some cases, which highlights the fluidity of the situation. Due to this instability, frequent monitoring and adjustment is necessary.
Please note that any increasing fuel surcharges do not represent an increase in margin for our business, but reflect the rapidly rising costs being passed through by our suppliers, and it is necessary for us to ensure our operating costs are covered so we can continue to move cargo to its destination and maintain efficient service for our customers.

With the Government announcing a 3-month excise reduction, we have seen reductions of up to 35% in fuel surcharges from Australian truckers, which should provide some relief to the elevated costs as of late. Note that if you have a regional delivery, the fuel surcharge will be higher than metro as per usual.

The updated decreased fuel surcharges as of today are given below:

Sydney Fuel surcharge = 36%

Melbourne Fuel surcharge = 32%

Brisbane Fuel surcharge = 37%

Adelaide Fuel surcharge = 45%

Fremantle Fuel surcharge = 36%

LCL and airfreight Fuel surcharge for all ports = 40%

The fuel surcharges will continue to be applied based on the applicable rate during the period in which the transport movement takes place. Where services span multiple days, the surcharge may be adjusted to reflect the rate in effect on each day of the movement.
Given the volatility of the price of fuel, we will continue to assess these surcharges and keep you updated. However, if you would like to clarify the latest updates, please contact your sales representative.

D&V Socials

Dieterle & Victory is live on social media via LinkedIn and Facebook, where we post info, news, explainers, and anything of interest for our audience.
If you wish to like or follow, we would really appreciate your support.
You can find links below.

D&V LinkedIn

D&V Facebook

 

We will keep you updated with any further information.