Container rates at highest level in nearly two years

The Drewry World Container Index (WCI) rose two per cent to reach US$4,639 per 40-ft container for the week of July 6-10. This climb, largely driven by higher rates on the Asia–Europe trade route, pushed the index to its highest level since September 2024.

On the Transpacific trade route, rates from Shanghai to Los Angeles increased two per cent to US$6,482 per 40-ft container, while rates from Shanghai to New York remained stable at US$7,904. According to Drewry’s Container Capacity Insight, only three blank sailings have been announced on the Transpacific trade route for the next week, reflecting tight capacity. A few carriers have announced general rate increases (GRIs) in the range of US$2,000–US$3,000 per 40-ft container on the Transpacific trade route, effective July 15. Drewry expects rates to remain elevated in the coming weeks.

On the Asia–Europe trade route, spot rates continue to increase this week. Freight rates from Shanghai to Genoa rose two per cent to US$6,463 per 40-ft container, and those from Shanghai to Rotterdam increased five per cent to US$4,933. According to Drewry’s Container Capacity Insight, only four blank sailings have been announced on the Asia to Europe trade route for the next week, reflecting constrained capacity. Carriers are attempting to support freight rates through higher freight-all-kinds (FAK) levels, with CMA CGM announcing FAK rates of US$7,000 per 40-ft container on Asia–Europe and US$7,900–US$8,500 per 40-ft container on Asia–Med, effective from July 15. Drewry expects rates to stay firm in the coming weeks.

The East–West container freight market remains volatile as U.S.–Iran tensions have reignited uncertainty in the Middle East. Heightened security concerns around the Strait of Hormuz continue to disrupt shipping operations. While the seasonal demand peak is expected to ease from late July into early August, carriers are seeking to sustain freight rates through surcharges.