July 2023
Below you will find a link for GCP’s July 2023 Trade Report, which provides on-going background and context around the many trade and cost pressures we are facing together.
Take a look at the notes below to get a sneak peek into the report:
- The ISM® Prices Index dropped to 41.8% in June, down 2.4 points from May, indicating a second consecutive monthly decrease in raw materials prices.
- Ocean rates have mostly been at or below 2019 levels, likely due to excess capacity rather than weak demand, as import volumes surpassed those of 2018 and 2019 in May and June.
- Truckload spot rates, excluding estimated fuel costs, have increased by approximately 13% since early May, while truckload tender volumes have risen by 7% since the beginning of the year, although they remain significantly lower than in 2021.
- Our manufacturing lead times have remained stable, and we were fortunate that the recent strike at the British Columbia port had minimal impact on them.
- Cooler-than-expected U.S. inflation boosted crude prices, fueling hopes of the Federal Reserve nearing the end of rate hikes. Furthermore, China’s crude imports surged to a three-year high, showing robust demand amid a broader economic slowdown.
- BCMEA and ILWU Canada reached a tentative agreement, ending the strike. Operations are expected to resume promptly and securely. Currently, 63,000 shipping containers remain on vessels awaiting unloading at B.C. ports, per the Greater Vancouver Board of Trade.
- The Consumer Price Index (CPI) increased by 0.2% in June, below the expected consensus of +0.3%. The CPI has risen by 3.0% compared to a year ago.
- Small business confidence in the U.S. reached a seven-month high in June as concerns about the economic outlook diminished significantly and sales expectations improved. However, concerns persist due to the tight labor market.
- U.S. Treasury Secretary Janet Yellen became the second high-profile U.S. diplomat to visit China. During her trip to Beijing, she aimed to clarify and possibly reduce the rhetoric further.
For a deeper look into all these topics and more open the full report in the link below.
This months report is 2751 words, 9 minute read.
