Shipping Industry: Container Freight Rates to Europe and US Rise in July, Strong Demand on US East Coast

Taipei, June 26 – Bolstered by peak season restocking, container shipping rates continue to rise. Industry sources report that July freight rates to Europe and the US remain elevated, though the pace of growth in European routes is moderating. Meanwhile, demand for the US East Coast remains strong, while market reception for US West Coast routes continues to be monitored.

According to the Shanghai Containerized Freight Index (SCFI), rates have risen for nine consecutive weeks across the four major global trade routes. Europe routes have seen a double-digit percentage increase, while US routes have increased by over 6%.

Regarding the European market, shipping operators noted that while rates remain at a high level, the intensity of price hikes on July 1st has slowed compared to previous surges. Market prices currently hover around $5,500 per 40-foot equivalent unit (FFE).

For US routes, carriers have announced a $1,500 GRI effective July 1st. Analysts suggest that the Pacific Northwest (PNW) and US East Coast (EC) routes are more likely to fully reflect these increases. Conversely, rates for the Pacific Southwest (PSW) route remain flexible despite the announcement.

Market data indicates that post-GRI posted rates are approximately $7,600 for PSW, $7,800 for PNW, and $9,100 for EC. Yang Ming Marine Transport previously highlighted that the rate rally is fueled by rising oil prices, front-loading ahead of US tariff deadlines, and exacerbated global port congestion. The third quarter is expected to build on the momentum from the second quarter, with tight capacity and steady demand supporting high freight rates.