As per Xeneta, an Oslo-based freight platform, the spot rate for a 40-foot container from Asia to northern Europe rose to $3,649 as of Friday, marking a 27% increase from the previous week. Rates from Asia to the US West Coast climbed 20% to $3,933.
Xeneta’s data showed that container rates from Asia to the US have increased 109% since the US war with Iran began on February 28, while Europe-bound container charges have risen by more than 50%.
Carriers have started adding fuel surcharges, passing on higher costs linked to the energy crisis to importers. The disruption has also been worsened by rerouted shipments due to the blockage of the Strait of Hormuz, causing congestion at key Southeast Asian hubs, including Singapore and Malaysia’s Port Klang.
Bloomberg reported that the surge in freight rates comes as carriers deal with tighter capacity ahead of the July and August restocking period, when inventory demand typically rises.
Peter Sand, chief analyst at Xeneta, said port disruptions at major transshipment hubs are putting pressure on global supply chains and driving sharp increases across trade routes, Bloomberg reported.
He added that if concerns over elevated oil prices continue into the second half of the year, freight rates could rise further as shippers may bring forward imports and carriers push prices higher.
The increase in freight costs has also extended beyond ocean shipping, with US transport costs recording their fastest expansion in the history of the monthly Logistics Managers’ Index report.
Shares of A.P. Moller-Maersk A/S, the world’s second-largest container line, rose about 13% during the week.
