Container rates down since mid-June

Drewry’s World Container Index (WCI) decreased three per cent to US$2,350 per 40-ft container for the week of Aug. 11-15, marking the ninth consecutive week of declines.

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

Transpacific spot rates fell this week, as rates on Shanghai–Los Angeles fell two per cent to US$2,494 per 40-ft container, while those on Shanghai–New York five per cent. Since the big rush to ship cargo before the tariff increase is now over, Drewry expects spot rates to be less volatile in the coming week.

Drewry’s container forecaster expects the supply-demand balance to weaken again in 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.