Low Rates: Window of Opportunity or Shipping Trap?

Container shipping rates from Asia have dropped sharply, now falling below 2024’s lowest levels. Freightos data shows Asia–Europe rates down to $2,740 per FEU (–14%), and Asia–Mediterranean below $3,800 (–9%). Trans-Pacific routes are also slipping: $2,400 to the U.S. West Coast, $3,500 to the East Coast (–18%).

Behind the drop: early shipments ahead of Lunar New Year, oversupply from alliance reshuffles and new vessel deliveries, and weak post-holiday demand. Although some carriers attempted to raise rates in March, the market pushback was strong — and April pricing remains uncertain.

Adding pressure are policy risks. The U.S. is considering new tariffs on Chinese goods, and reviewing trade terms with Canada and Mexico. At the same time, the FMC is investigating whether disruptions like Red Sea diversions are politically influenced.

This is no longer a market driven purely by supply and demand. Pricing is now shaped by inventory cycles, regulatory risk, and geopolitics.

So is this a buying opportunity or a warning sign? That depends on whether your supply chain is built to flex — not just to chase low rates.

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