The container shipping sector is navigating a period of consolidation. Drewry’s composite index, tracking all major routes, slipped by 2% to 2,157 dollars per 40-foot container. The figure marks a 79% plunge from the peak of 10,377 dollars reached in September 2021. Rates from Shanghai to New York fell 3%, down 95 dollars to 3,611 dollars per 40-foot unit. Shanghai-Los Angeles and Rotterdam-Shanghai routes each dropped 2%, to 2,617 and 481 dollars respectively. Shanghai to Rotterdam declined by 1% to 2,312 dollars, while Rotterdam to New York slid to 2,109 dollars, also down 1%. Bucking the trend, the New York to Rotterdam route edged up by 1%, or 8 dollars, reaching 825 dollars. Rates on Shanghai-Genoa and Los Angeles-Shanghai remained flat.
Despite the recent falls, average rates still stand 52% above pre-pandemic levels of 2019, when the average was 1,420 dollars. This suggests the market has not reverted to pre-crisis conditions, but is seeking a new equilibrium amid uncertain demand and supply dynamics. Drewry warns that rates may soften further in the coming days, as fears over retaliatory tariffs between major economies weigh on trade prospects.
