Drewry’s Intra-Asia Container Index (IACI) fell 1% this week to $978 per 40ft container, marking the fourth consecutive weekly decline as early peak-season demand begins to wane and upward pressure on ocean freight rates eases across key regional trade lanes.
Spot rates connecting main export hubs in China to destinations in Southeast Asia and South Asia experienced notable downward adjustments. The sharpest drops were recorded on routes from Shanghai to Jawaharlal Nehru Port, which slid 7% to $1,742 per 40ft container, followed by Shanghai to Manila (down 5% to $472) and Shanghai to Jakarta (down 3% to $1,540).
Despite the cooling spot market, operational disruptions and broader geopolitical shifts continue to shape regional logistics strategies:
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Weather Disruptions: Typhoon Bavi impacted port operations across North Asia on 12 July, leading shippers to temporarily divert time-sensitive cargo through South China gateways such as Yantian and Shekou.
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Supply Chain Diversification: Ongoing US-China trade friction continues to accelerate manufacturing diversification across Asia. To support changing trade flows, ocean carriers are expanding capacity. Evergreen recently announced its new China-Philippines Express (CPX) service launching on 31 July, offering direct connections between China, Hong Kong, and the Philippines.
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Network Expansions: Carriers are actively adding intra-regional loops. CU Lines expanded its Southeast Asian coverage with three new services: Malaysia–Vietnam 1 (MV1), Malaysia–Indonesia 1 (MI1), and Indonesia–Port Klang 1 (IP1).
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Geopolitical Headwinds: Security risks in the Middle East—particularly around the Strait of Hormuz following recent attacks on commercial vessels like the 7,000 TEU GFS Galaxy—keep overall market sentiment cautious.
While the market is showing signs of moderate softening, the intra-Asia container freight sector remains fundamentally resilient overall. Year-to-date, the IACI stands 50% higher year-over-year, bolstered by an earlier-than-usual peak season and sustained supply chain premium costs linked to global geopolitical friction.
Looking ahead, Drewry projects container freight rates across major intra-Asia trade lanes to remain broadly stable in the coming weeks as market supply and regional demand reach a mid-season equilibrium.
Drewry’s Intra-Asia Container Index (IACI) reports weekly spot container freight rates for 18 major intra-Asia routes along with a composite index, all measured in USD per 40ft container. The index serves as a trusted benchmark for global procurement, logistics, and supply chain teams.
Tracked Routes Include:
Busan–Shanghai | Ho Chi Minh City–Shanghai | Jakarta–Shanghai | Jawaharlal Nehru Port–Shanghai | Kaohsiung–Shanghai | Laem Chabang–Shanghai | Shanghai–Busan | Shanghai–Ho Chi Minh City | Shanghai–Jakarta | Shanghai–Jawaharlal Nehru Port | Shanghai–Jebel Ali | Shanghai–Kaohsiung | Shanghai–Laem Chabang | Shanghai–Manila | Shanghai–Singapore | Shanghai–Tanjung Pelepas | Shanghai–Yokohama | Yokohama–Shanghai
