- The U.S. and China temporarily suspended reciprocal port fees for a year following high-level talks.
- The pause in port charges and tariff adjustments is expected to restore confidence among exporters.
- Freight rates on major Far East routes remain steady but show gains since early October.
- Market analysts anticipate a potential uptick in container movements in the coming weeks.
After weeks of reciprocal port fees targeting each other’s linked vessels, the United States and China have now agreed to suspend these charges for a year. The decision followed a meeting between President Donald Trump and Premier Xi Jinping, where both leaders committed to easing trade frictions and revisiting broader tariff structures, reports Baltic Exchange.
This temporary truce is seen as a positive signal for exporters, likely encouraging renewed trade flows between the two nations. Market observers expect this move to provide support for freight rates and possibly trigger a rebound in container volumes as shippers regain confidence.
Freight Rates Show Modest Gains Across Major Routes
Freight indices from the Far East remained largely stable during the week, though all major routes recorded steady increases compared to the start of the month. According to the Freightos Baltic Index (FBX):
- FBX01 (China/East Asia – U.S. West Coast): up by $477
- FBX03 (China/East Asia – U.S. East Coast): up by $345
- FBX11 (China/East Asia – North Europe): up by $422
- FBX13 (China/East Asia – Mediterranean): up by $190
Although weekly movements remain modest, the upward trend suggests a gradual strengthening of trade confidence in response to easing tensions and stabilized policy signals.
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Source: Baltic Exchange
