May 2024 kicks off with a sharp rise in spot freight rates for container shipping from Shanghai to European and US ports. The average rates, released by Drewry on May 9, 2024, have grown substantially within a week. From the Chinese port to Genoa, there has been a jump of 16%, pushing the rate well over $4,000 per FEU (forty-foot equivalent unit) to $4,295, up from $3,717 the previous week. The increase from Shanghai to Rotterdam reached 20%, settling at $3,709 per FEU. Conversely, the only negative values were noted for containers shipping from Rotterdam to Shanghai, decreasing by 6% to $695, and from Rotterdam to New York, which fell by 2% to $2,160.
Similarly, transport rates from China to the United States have shown comparable figures. The average freight rate for a 40-foot container from Shanghai to Los Angeles rose by 18% within a week to $3,988 per FEU, while the rate from the Chinese port to New York increased by 16%, reaching $5,089. The rate from Los Angeles to Shanghai remained stable at $699, compared to $700 the week before. The composite index, which encompasses all considered routes, rose by 16% to $3,159.
This surge has also driven up the annual percentage increase, with the rate from Shanghai to Rotterdam skyrocketing by 131%. Although smaller, the annual increase from the Chinese port to Genoa was still substantial at 95%. A similar trend was observed from Shanghai to Los Angeles (+118%) and to New York (+80%). In the annual comparison, rates from Los Angeles to Shanghai remained down by 31%, and those between New York and Rotterdam (-29%) as well as between Rotterdam and New York (-52%) also showed declines.
