Container rates continue to stabilize after volatile period

Drewry’s World Container Index (WCI) dropped another three per cent to US$2,424 per 40-ft container for the week of Aug. 4-8, continuing to stabilize prices after a volatile period.

The unpredictability began after U.S. tariffs were announced in April, which caused rates to surge from May through early June. Subsequently, the market saw a heavy decline until mid-July, after which the downward trend lost momentum and the rate of decrease slowed considerably.

Transpacific spot rates fell this week, as rates for Shanghai–Los Angeles were down four per cent to US$2,534 per 40-ft container and those from Shanghai–New York also slid seven per cent to US$3,826. Since the rush to ship cargo before the tariff increase has ended, Drewry expects spot rates to remain less volatile in the coming week.

Drewry’s container forecaster expects the supply-demand balance to weaken again during the second half of 2025, which will cause spot rates to contract. The volatility and timing of rate changes will depend on U.S. President Donald Trump’s future tariffs and on capacity changes related to the introduction of U.S. penalties on Chinese ships, which are uncertain.