Container rates fall after six-week surge as U.S. demand cools

Category: SERVICES

Country: China

Spencer Musick -Senior Editor
24th June, 2025

London: For the first time in more than a month, global container shipping rates declined, with shipping analytics firm Drewry’s World Container Index (WCI) falling 7% to $3,279 per 40-foot container this week.

The drop follows six consecutive weeks of gains and is largely attributed to softening demand for U.S.-bound cargo.

Freight rates on the Shanghai–New York route dropped 10% week over week to $6,584, while rates from Shanghai to Los Angeles declined 20%.

Despite these declines, rates to both ports remain significantly higher than six weeks ago, up 81% and 73%, respectively, since May 8.

In contrast, transatlantic and Asia–Europe routes saw continued increases. Shanghai–Rotterdam rates rose 12% to $3,171, and Shanghai–Genoa rates edged up 1% to $4,075 per container.

Drewry Supply Chain Advisors noted that the recent import spike to the U.S. — driven by temporary relief from higher tariffs — appears to be losing momentum. Looking ahead, Drewry’s Container Forecaster expects the market to soften in the second half of 2025, as the balance between capacity and demand weakens.

Future rate volatility will depend on unresolved legal challenges to U.S. tariffs and potential shipping capacity changes tied to penalties on Chinese vessels.

Courtesy: hometextilestoday.com