While shipments from China crater in President Donald Trump’s ongoing trade war, ocean container rates have yet to fully reflect the collapse in trans-Pacific volumes.
Freight rates from Shanghai, China’s busiest container port complex, to Los Angeles, the largest U.S. import gateway, fell 2% to $2,617 per 40-foot container, according to analyst Drewry’s latest World Container Index of spot rates released Thursday.
Shanghai to New York decreased 3%, or $95, to $3,611.
Rates from Los Angeles to Shanghai remained stable.
The modest retreat comes in the face of U.S. tariffs of as much as 245% on some Chinese exports that have cratered U.S.-bound exports as shippers cancel factory orders, carriers increase blank sailings and importers scramble to realign supply chains.
Drewry said it expects rates to continue to decline in the coming week due to uncertainty stemming from reciprocal tariffs.
Similarly, rates from Rotterdam, Netherlands, to Shanghai decreased 2% to $481 per FEU, while Rotterdam to New York fell 1% to $2,109 per FEU. New York to Rotterdam increased 1% or $8 to $825 per FEU.
Rotterdam and other major European ports have been dealing with recent severe congestion.
The Drewry WCI composite index decreased 2% to $2,157 per FEU, 79% below the previous pandemic peak of $10,377 in September 2021. That was still 52% higher than the pre-pandemic average of $1,420 in 2019.
The average year-to-date composite index closed at $2,854 per FEU, $38 lower than the 10-year average of $2,891 (inflated by the exceptional 2020-22 Covid period).
Find more articles by Stuart Chirls here.
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