Logistics Cost Increases are Being Passed On

Aug 20, 2024 8:53:07 AM / by Supplyframe

Expanding logistics costs, particularly freight rates, are leading component manufacturers and distributors to raise part pricing and, in some cases, additional service fees. For example, Avnet added service fees for new shipments in June. The Drewry World Container Index has more than doubled since January, rising just over $3,000 per 40-foot equivalent (FEU) container. Drewry indicates that just one of the eight key East-West trade routes has experienced an annual spot pricing decline; the average annual increase was over 140% across all eight.

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