Global container shipping rates have fallen for the sixth week in a row, dipping 1% to $1,919 per 40-foot container. This downward trend reflects an atypical market condition, as the expected rush of cargo before the Lunar New Year has not materialized. According to the Drewry World Container Index, rates have consistently decreased since early January, defying the usual seasonal spike where exporters rush shipments before factory closures.
Transpacific routes are experiencing notable strain, with spot rates from Shanghai to New York down 1% to $2,782 per FEU. Meanwhile, rates to Los Angeles have remained stable at $2,219. In response to this pressure, carriers have announced 31 blank sailings for the upcoming week on these routes—significantly more than typical for this season. Drewry analysts indicate that the sustained drop in container spot rates signals a weak market, contrasting with the anticipated demand surge before the Lunar New Year.
Similar trends are apparent in Asia–Europe trade, where rates from Shanghai to Rotterdam fell by 1% to $2,109 per FEU. The ongoing declines reflect a broader shift in the market. In January alone, rates had already seen a sharp decline of 7%. With carriers already canceling numerous sailings, the situation points towards a cautious market response in terms of capacity management amidst fluctuating demand and regional uncertainties.
Going forward, analysts predict that global freight rates could decrease by up to 25% in 2026 as new vessel deliveries coincide with reduced demand. Although the Suez Canal aims to return to normal traffic by mid-2026, the current market indicates a turbulent path ahead for shipping rates, with carriers planning numerous blank sailings to address ongoing softness in cargo demand.
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