The latest Drewry WCI composite index of $3,489 per 40ft container is 66 per cent lower than the pandemic peak of $10,377 in September 2021, though it remains 146 per cent higher than the 2019 pre-pandemic average rate of $1,420.

The year-to-date average composite index stands at $4,097 per 40ft container, which is $1,269 higher than the 10-year average rate of $2,828 (inflated by the extraordinary 2020-22 COVID period).

Freight rates from Shanghai to Genoa decreased by 9 per cent, or $364, to $3,848 per 40ft container. Similarly, rates from Shanghai to Rotterdam fell by 8 per cent, or $342, to $3,815 per container. Rates from Shanghai to Los Angeles dropped by 4 per cent, or $232, to $5,258 per 40ft container. Rates from Shanghai to New York and Rotterdam to Shanghai also fell by 2 per cent, to $5,922 and $590 per FEU, respectively.

Meanwhile, rates from New York to Rotterdam, Rotterdam to New York, and Los Angeles to Shanghai remained stable.

Drewry anticipates rate increases for routes from China and Europe to the US East Coast in the coming weeks due to the ILA port strike. The escalating conflict in the Middle East may also contribute to higher freight charges, as shipping vessels could be forced to take longer routes between Asia and Europe due to heightened tensions in the region.

Fibre2Fashion News Desk (KUL)