Data highlights:
- Average spot rates from Far East to US East Coast and US West Coast are flat during April to stand at USD 3951 per FEU (40ft container) and USD 2910 per FEU respectively.
- Average spot rates from Far East to North Europe increased 4.8% on 15 April to stand at USD 2457 per FEU.
- Average spot rates from Far East to Mediterranean increased 6.8% on 15 April to USD 3270 per FEU.
- Average spot rates from North Europe to US East Coast remain flat during April at 2158 per FEU.
- Average spot rates on all fronthaul trades are down from 1 January:
- Far East to US East Coast: -43%
- Far East to US West Coast: -50%
- Far East to North Europe: -49%
- Far East to Mediterranean: -44%
- North Europe to US East Coast: -20%
- Container shipping capacity on trades from Far East to North Europe set to hit all-time high in week commencing 14 April (capacity data based on four week rolling average).
- Previous record set during Covid-19 disruption in November 2021 when 336,800 TEU of capacity was offered from Far East to North Europe.
Xeneta analyst insight – record capacity from Far East to North Europe
Peter Sand, Xeneta Chief Analyst:
“We are looking at record-breaking container shipping capacity leaving the Far East for North Europe this week, which means carriers know something is boiling.
“At the same time as record capacity, we are seeing an uptick in spot rates from the Far East to North Europe. This suggests a nervous market, but the demand must also be there to put upward pressure on rates.
“The question is whether this record capacity and rate increase is a consequence of the tariff threat if shippers are redirecting goods from the Far East to Europe instead of the US. What we can say is that this is usually a slack time of year for container shipping, so an uptick in pressure is likely related to the tariffs in some way.
Xeneta analyst insight – congestion in North Europe ports
Peter Sand, Xeneta Chief Analyst:
“We are seeing heavy port congestion in North Europe including Antwerp, Le Havre, London Gateway and Hamburg, but the main cause is likely weather, crane maintenance, labor unrest and strikes, rather than tariffs.
“However, if we are seeing record levels of capacity leaving the Far East this week, there could be carnage by the time these ships arrive in North Europe, if congestion is still high.
“Average transit time from the Far East to North Europe is 55 days, so there could be serious issues on the horizon in June. As we saw in 2024, congestion is toxic for ocean container shipping and can quickly spread across global supply chains.”
Ends
Xeneta’s Media Contacts:
Philip Hennessey
Director of External Communications
Xeneta
+44 7830 021808
press@xeneta.com
