The Relationship Between Freight Rate and Shipping Cost: Key Connections and Market Impacts

The Relationship Between Freight Rate and Shipping Cost: Key Connections and Market Impacts

This article explores the definitions of freight rates and shipping costs and their interrelationship. It indicates that the freight rate represents the price of transportation labor, which directly influences the supply and demand dynamics of the shipping market. In contrast, the shipping cost is the compensation paid by the shipper to the carrier for completing the transportation of goods. The calculation of shipping costs relies on the product of freight rates and transportation volume.

07/21/2025 Logistics Encyclopedia
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Shipping Giants Merger Triggers Market Restructuring: Future Trends of Global Shipping Alliances

Shipping Giants Merger Triggers Market Restructuring: Future Trends of Global Shipping Alliances

The merger between global shipping giants China COSCO Shipping Group and China Shipping is gaining approval and may reshape the shipping market landscape. Meanwhile, France's CMA CGM is planning to acquire Neptune Orient Lines, seeking regulatory approval. As the dynamics among the four major shipping alliances change, market competition is expected to intensify, especially on Asia-Europe routes. Overall, the shipping industry remains in a downturn, and the outlook is not optimistic.

07/21/2025 Logistics
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Ebay Sellers Gain Edge with Strategic Product Selection

Ebay Sellers Gain Edge with Strategic Product Selection

This article provides an in-depth analysis of key techniques for eBay product selection, covering factors such as product quality, logistics strategies, store authority enhancement, eBay algorithm mechanisms, and profit margins. By mastering these product selection methodologies, sellers can accurately identify market demands, create potential bestsellers, and ultimately achieve profitable growth on the eBay platform. The article emphasizes a holistic approach to selecting products that resonate with customers and align with eBay's platform dynamics.

01/04/2026 Logistics Encyclopedia
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Amazon Sellers Adopt Datadriven Tactics for Peak Season Success

Amazon Sellers Adopt Datadriven Tactics for Peak Season Success

This article addresses the challenges faced by Amazon sellers in preparing for peak season inventory and proposes a data-driven FBA inventory strategy. It outlines three key strategies: diversifying logistics channels to mitigate risks, reserving a safety margin to handle unexpected situations, and closely monitoring market dynamics to enhance logistics coordination. By implementing these strategies, sellers can accurately prepare inventory, reduce risks, improve efficiency, and succeed in the year-end sales promotion.

01/07/2026 Logistics
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Matson Clippers October Shipping Schedule Aids Ecommerce Sellers

Matson Clippers October Shipping Schedule Aids Ecommerce Sellers

This article provides an in-depth analysis of the Matson Clipper's sailing schedule for weeks 41-43 of October. It compares planned versus actual departure and arrival times, revealing capacity variances and terminal information. The analysis offers cross-border e-commerce sellers accurate shipping references and suggestions for optimizing their logistics strategies. By understanding these dynamics, sellers can gain a competitive edge in the market and make informed decisions about their freight forwarding needs.

01/06/2026 Logistics
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Prologis Reports Surge in Logistics Real Estate Demand

Prologis Reports Surge in Logistics Real Estate Demand

The Prologis IBI index indicates a rebound in logistics real estate demand. Market activity recovered in Q3, with increases in net absorption, new lease signings, and project pipeline. Companies are responding to trade uncertainties by increasing supply chain investments, leading to improved utilization rates and market conditions. Vacancy rates are stabilizing in the short term, but construction is slowing, potentially accelerating rental growth. Businesses should closely monitor market dynamics and develop flexible logistics strategies.

01/08/2026 Logistics Industry Insights
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Air Freight Demand Slows As Supply Chains Stabilize

Air Freight Demand Slows As Supply Chains Stabilize

The air freight market is moving away from past periods of 'crazy price increases' and demonstrating a more mature landscape. Thanks to refined management, e-commerce driven demand, and rational responses from market participants, freight rate increases are stabilizing. Foreign trade enterprises should pay attention to market dynamics, flexibly adjust logistics strategies, choose reliable partners, and utilize digital tools to cope with the opportunities and challenges of the future air freight market.

01/08/2026 Logistics Industry Insights
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Alixpartners Advises on Freight Logistics Challenges Opportunities

Alixpartners Advises on Freight Logistics Challenges Opportunities

In an interview, AlixPartners' Marc Iampieri delves into critical factors influencing freight logistics, including peak season challenges, consumer delivery expectations, port labor dynamics, potential Fed rate cuts, freight pricing, and tariff impacts. He emphasizes the need for businesses to optimize supply chains, embrace digitalization, and strengthen risk management to navigate these challenges and capitalize on opportunities for sustainable growth. This requires a proactive and adaptive approach to ensure resilience in a dynamic market.

01/07/2026 Logistics Industry Insights
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Alixpartners Advises on Freight Logistics Amid Supply Chain Strains

Alixpartners Advises on Freight Logistics Amid Supply Chain Strains

AlixPartners expert Marc Iampieri provides insights into key factors impacting freight and logistics, including peak season challenges, consumer expectations, port labor dynamics, potential Fed rate cuts, rate pricing, and tariff policies. He emphasizes the importance of proactive planning, inventory optimization, monitoring policy changes, and fostering strong partner relationships to navigate the complex environment and achieve sustainable growth. Businesses should prepare in advance to mitigate risks and capitalize on opportunities within the evolving landscape.

01/07/2026 Logistics Industry Insights
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Logistics Firms Adapt Supply Chains Amid Eco Rules Demand Shifts

Logistics Firms Adapt Supply Chains Amid Eco Rules Demand Shifts

The EPA's reassessment of the 'Clean Trucks Plan' raises concerns about rising logistics costs. Policy changes, demand fluctuations, and supply chain disruptions pose challenges to logistics management. Companies should enhance transparency, strengthen collaboration, embrace digital transformation, and closely monitor policy trends to reshape their supply chains and address future challenges. This proactive approach is crucial for mitigating potential cost increases and ensuring supply chain resilience in the face of evolving environmental regulations and market dynamics.

01/07/2026 Logistics
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