- Asia–US container spot rates rose notably last week, prompting carriers to redeploy and expand capacity ahead of a surge in bookings driven by recent US–China trade developments.
- Freightos data shows a 3% uptick to both US coasts, while Drewry records a 2% increase from Shanghai to Los Angeles and 4% to New York, with further general rate increases (GRIs) planned through mid-June.
- Carriers are reinstating blank sailings and redirecting capacity to Pacific Northwest gateways, aiming to ship peak-season volumes by mid-July before the August tariff deadline.
Last week, online freight marketplace Freightos reported a 3% jump in spot rates to both the US East and West Coasts, while Drewry’s indices rose 2% on Shanghai–Los Angeles and 4% on Shanghai–New York lanes. In light of evolving US–China trade measures, Drewry anticipates another round of spot-rate hikes next week as carriers adjust sailings to absorb increased booking volumes. Mid-month GRIs of $1,000–3,000 per 40-foot container have already been announced, with further GRIs slated for June 1 and June 15, targeting an $8,000/FEU rate level last seen in July 2024, according to ICIS.
Reactivation of Services and Port Shifts
During a recent Flexport webinar, Kyle Beaulieu noted that out of ten China–US strings previously blanked or canceled, six are scheduled to resume between Weeks 22 and 24. The Pacific Northwest has emerged as a major beneficiary, offering the shortest transit to US markets and attracting rerouted sailings as carriers scramble to restore capacity.
Tariff Deadlines and Shipping Windows
Carriers are racing to move cargo ahead of the 14 August tariff deadline, effectively setting a mid-July cutoff for departure to ensure arrival in time. However, confusion remains over whether deadlines refer to loading dates at origin or arrival dates in the US. If arrivals must occur by early July, the available low-tariff window shrinks, forcing shipments to depart within the next week or two to beat a potential 9 July cutoff.
Relevance to the Chemical Sector
Although bulk chemicals often travel via tankers, many polymers, such as polyethylene and polypropylene pellets, along with solid pigments like titanium dioxide, rely on container shipping. Isotanks also move liquid chemicals in containers, making these rate shifts and capacity adjustments directly pertinent to chemical exporters and importers.
Steady Liquid-Tanker Freight Rates
According to ICIS, US Gulf–Asia liquid-tanker rates held firm last week despite upward pressure. The temporary tariff suspension spurred spot interest in monoethylene glycol and methanol, but the rush will likely subside once cargoes meet the 90-day expiry. US Gulf–Rotterdam rates remained stable amid tight space, while US Gulf–South America rates saw flat activity and occasional inquiries for methanol and ethanol. Meanwhile, lower energy costs have softened bunker prices, easing operational expenses across trades.
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Source: ICIS
