Transpacific container rates expected to climb

Drewry’s World Container Index (WCI) increased six per cent to US$3,533 per 40-ft container the week of Dec. 2-6 after declining during the month of November.

The WCI composite index is now 66 per cent below the previous pandemic peak of US$10,377 in September 2021, but 149 per cent above the average US$1,420 in 2019.

The average year-to-date composite index is US$3,958 per feu, which is US$1,104 higher than the 10-year average of US$2,854, which was inflated by the 2020-22 COVID-19 period.

Freight rates from Shanghai to Genoa surged 22 per cent, or US$1,006 to US$5,496 per feu, and those from Shanghai to Rotterdam spiked 19 per cent or to US$4,775. Likewise, rates from New York to Rotterdam inched up two per cent to US$807 per feu while those from Shanghai to Los Angeles decreased 12 per cent to US$3,719 per feu.

Rates from Rotterdam to Shanghai and Rotterdam to New York dropped one per cent to US$514 and US$2,649 per feu, respectively, whereas those from Los Angeles to Shanghai and Shanghai to New York remained stable.

Drewry expects an increase in rates on the Transpacific trade in the coming week due to the looming ILA port strike in January 2025 and the anticipated rush to ship goods before the strike begins.