Container rates up on heels of smaller, more frequent GRIs

The Drewry World Container Index (WCI) rose seven per cent to US$1,927 per 40-ft container for the week of Dec. 1-5, mainly due to rate hikes on Transpacific and Asia–Europe trade routes.

Following three weeks of declines that pushed spot rates to their lowest level since January 2025, rates on the Transpacific headhaul recovered this week. Spot rates from Shanghai to Los Angeles climbed eight per cent to US$2,256 per 40-ft container, while those to New York rose six per cent to US$2,895.

Shifting away from traditional two-week adjustments, some carriers have adopted a weekly strategy for general rate increases (GRIs). Drewry said instead of announcing large hikes that tend to erode quickly, carriers are now introducing smaller, more frequent increases to maintain consistent upwards pressure on spot rates. The strategy appears to have been effective this week, leading Drewry to forecast stable rates in the week ahead.

Spot rates on the Shanghai–Genoa route increased in double digits, rising 15 per cent to US$2,648 per 40-ft container, while rates from Shanghai to Rotterdam edged up four per cent to US$2,241. In contrast to the Transpacific trade route, Asia–Europe has successfully sustained rate levels for three consecutive weeks, leveraging freight-all-kinds increases to support spot rates before annual contract talks begin.

The uncertainty surrounding the Suez Canal is adding volatility to the Asia–Europe trade lanes since carriers continue to view the Suez as the natural route between the two regions. A full resumption of transits would return significant capacity to the market and exert downwards pressure on rates, although the effect would likely be gradual due to the possible congestion at ports following the realignment of East–West networks.