· Fuel prices are always a concern with US shippers, and during the current instability in the market many are bracing for what may be ahead. Soaring fuel costs are quickly becoming a budget blowing problem. These costs were already rising however since the Russian invasion into Ukraine an added volatility and a level of uncertainty that has impacted the market greatly.
· These rising expenses have caused an uptick in bunker cost, as well as impacting fuel surcharges that shippers are paying to truckers and railroads. This level of instability will continue to be a factor ahead for shippers and ultimately consumers.
· Fuel prices hit a high in early March and although a price decrease was seen in mid-March the fluctuations are having major impacts to shippers’ budgets. This increase was unprecedented and even with the slight decline in overall cost per barrel to $96.44 on March 15, 2022, this is still a substantial increased compared to fuel prices seen in February. The continued Russia-Ukraine war will undoubtedly affect fuel prices as well as impact the world in the days to weeks ahead.
Thursday March 24, 2022
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