The Drewry World Container Index (WCI) has reported a 5% increase this week, reaching $2,279 per 40ft container. This marks the fourth consecutive week of rising rates, driven by significant hikes across Asia, Europe, and Transpacific trade routes as geopolitical instability continues to pressure global supply chains.
The Asia–Europe trade route saw the most aggressive gains, largely fueled by ongoing tensions in the Middle East. Shipping costs from Shanghai to Genoa jumped by 12% to $3,474 per 40ft container, while rates to Rotterdam saw a more modest 3% increase to $2,552.
Despite the price volatility, capacity remains relatively stable. Drewry’s Container Capacity Insight reports only three blank sailings announced for the upcoming week on the Asia–Europe route. However, major carriers, including CMA CGM, have already signaled further increases by announcing Freight All Kinds (FAK) rates of approximately $3,500 per FEU effective April 1.
Growth was also steady on Transpacific routes:
-
Shanghai to New York: Increased 3% to $3,393 per 40ft container.
-
Shanghai to Los Angeles: Increased 4% to $2,686 per 40ft container.
Six blank sailings are scheduled for the next week across the Transpacific East and West Coast routes. Drewry analysts anticipate that spot rates will continue their upward trajectory as uncertainty lingers.
A critical driver behind the sustained rate elevation is the disruption in the Strait of Hormuz, a transit point for nearly 20% of the world’s oil. This has led to:
-
Tightened Bunker Fuel Availability: Supply is shrinking in major hubs like Singapore and China.
-
Operational Shifts: Carriers are resorting to “slow steaming” and alternative refueling strategies to manage costs.
-
Surcharges: The introduction of emergency fuel surcharges is expected to keep freight rates elevated in the short term. “With carriers aggressively pushing for rate increases and fuel costs rising, we expect spot rates to continue to climb in the coming weeks,” according to Drewry’s latest outlook.
