Ocean charges proceed to lower as order ebook grows – August 26, 2025 Replace

Weekly highlights

• Asia-US West Coast costs (FBX01 Weekly) fell 10% to $1,744/FEU.
• Asia-US East Coast costs (FBX03 Weekly) fell 21% to $2,733/FEU.
• Asia-N. Europe costs (FBX11 Weekly) fell 6% to $3,071/FEU.
• Asia-Mediterranean costs (FBX13 Weekly) fell 1% to $3,091/FEU.

• China – N. America weekly costs elevated 2% to $5.57/kg.
• China – N. Europe weekly costs stayed stage at $3.52/kg.
• N. Europe – N. America weekly costs fell 1% to $1.72/kg.

Evaluation

Even because the tariff panorama on the nation stage appears to be solidifying, commerce probes on particular items like prescribed drugs, semiconductors, and lumber – together with furnishings – requested by President Trump earlier within the yr at the moment are concluded or nearing completion, and will imply further sectoral tariffs quickly. 

For some nations which have reached commerce agreements with the US, tariffs meant to be diminished or eliminated on many kinds of items are nonetheless being collected as implementation circumstances nonetheless must be fulfilled or particulars of the offers are nonetheless being hammered out. These implementation lags imply it can take longer to see if the tariff modifications impression freight volumes and charges.

China is sending a high commerce negotiator to Washington following the recently-announced 90-day extension of 30% baseline US tariffs on Chinese language exports first rolled out in Might.  Although there are some experiences of some enhance in China-US ocean demand because the extension announcement, general volumes and charges – helped on by rising capability ranges – proceed to pattern downward. 

Transpacific container arrivals possible peaked in July, as many peak season shipments have been pulled ahead to beat the August China-US tariff expiration date.  Asia – N. America spot charges have fallen 60% – 70% in an virtually uninterrupted slide since that early rush. Charges to the West Coast decreased 10% to $1,744/FEU final week – the bottom stage for this lane since December 2023. East Coast costs fell 21% to $2,733/FEU for a 34% slide to this point in August.

Transatlantic charges have been stage at $2,284/FEU final week, and although not a lot freight impression is predicted from the current US – EU commerce deal, auto tariff reductions have but to take impact, and to this point alcohol exports won’t be exempted. In different commerce associated developments, carriers are persevering with to regulate providers and shift vessels to attenuate publicity to US port name charges for Chinese language vessels and operators that can begin in mid-October. 

Peak season quantity power might have peaked for Asia – Europe lanes as prolonged lead occasions from Purple Sea diversions imply items should be moved earlier than the top of September. Even with sturdy demand and port congestion carriers have struggled to push charges up or hold them from falling via a lot of this yr’s peak season. 

Asia – N. Europe spot costs fell 6% final week to about $3,100/FEU and again to ranges seen in late June. Asia – Mediterranean charges eased 1% to $3,100/FEU as properly, the bottom stage since late Might for this commerce.  Costs on these lanes are 60% decrease than final yr, with transpacific costs 70% decrease, reflecting rising overcapacity within the container market even because the new vessel orderbook dimension not too long ago hit a brand new report.

The US will finish de minimis exemptions for all low worth imports beginning this Thursday. An absence of readability as to how new tariff guidelines for low-value postal parcels will apply is main a number of European publish providers to droop dealing with some shipments for now.   

The White Home suspended de minimis eligibility only for Chinese language imports again in early Might, resulting in experiences of as a lot as a 50% drop in B2C e-commerce shipments to the US from China since then. However nonetheless, general Chinese language e-commerce export volumes have continued to develop, as Chinese language platforms shift their focus to different markets, particularly Europe the place e-commerce imports have doubled by worth throughout this identical interval. The expansion of e-commerce volumes from China to Europe and the UK is intensifying native opposition to competitors from a majority of these imports, with requires an ending of de minimis exceptions in these nations as properly.

Even with these experiences of e-commerce cargo drops from China to the US and will increase to Europe, air cargo charges have been secure general, possible reflecting a major shift of freighter capability between markets. Freightos Air Index China – Europe charges have been stage at $3.52/kg final week and costs to N. America elevated 2% to $5.57/kg.