A late-year freight surge has kept ocean container rates elevated on trans-Pacific routes to the United States.
Routes from Asia to the U.S. West and East coasts showed narrow increases for the week ending Dec. 20, according to shipping data analyst Freightos, and are about 15% higher than at the start of December, on midmonth general rate increases by carriers.
Asia-U.S. West Coast prices increased 4% to $4,452 per forty-foot equivalent unit for the week. Asia-U.S. East Coast prices were up 2% to $5,932 per FEU.
“Rate increases and reports of full vessels this far ahead of Lunar New Year [in China] probably reflect shippers continuing to pull forward volumes ahead of President-elect Trump’s promises of tariff increases next year,” Freightos research chief Judah Levine wrote in a weekly update, “with Trump this week proposing the U.S. should reclaim the Panama Canal in response to growing Chinese influence there.”
Levine noted liner operators are hoping the addition of pre-Lunar New Year demand in January will support further rate hikes to start the new year on GRIs of $1,000 to $3,000 per FEU.
“Despite strong volumes and some signs of strain on rail, operations at U.S. ports remain smooth and operators report being prepared for further volume increases,” Levine wrote.
Prospects of a strike at U.S. East Coast ports in January could boost trans-Atlantic rates, which have been stable since mid-October.
“Some carriers have announced disruption surcharges for mid-month in anticipation of an International Longshoremen’s Association strike,” wrote Levine. “Some are also expecting the February alliance reshuffle to cause some disruptions, with MSC announcing a $2,000 per FEU disruption charge starting Jan. 18 for trans-Atlantic containers.”
Asia-Europe and Mediterranean container rates eased 3% to 7% from early December GRIs, “with no noticeable mid-month increases despite schedule disruptions from recent bad weather leading to some moderate congestion at some European hubs.”
Asia-North Europe prices fell 2% to $4,971 per FEU, and Asia-Mediterranean rates decreased 1% to $5,721 per FEU.“For all these lanes though, Red Sea diversions are still the biggest contributor to rates that remain at least double their level a year ago,” Levine added. “And though no military intervention has succeeded in restoring security for passing vessels yet, both Israel and the U.S. have increased direct strikes on Houthi positions in recent days.”
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