Container Rates Rise for First Time in Months as Carriers Push November Increases

By Gavin van Marle (The Loadstar) – Container spot freight rates on the main east-west trades reversed months of consecutive declines this week with a series of general rate increases (GRIs) and new FAK [Freight All Kinds] rate levels on Wednesday.

In percentage terms, the largest rate rises were seen on the Asia-North Europe trade. The Shanghai-Rotterdam leg of Drewry’s World Container Index (WCI) gained 6% on the previous week, to end at $1,669 per 40ft, while today’s Shanghai Containerised Freight Index’s (SCFI) Shanghai-North Europe base port leg, which is often an indicator of what will happen in the forthcoming week, gained 7%, to end $2,290 per 40ft.

Meanwhile, Xeneta’s XSI short-term index, saw its average Far East-North Europe spot rate record the biggest average spot rate increase in the past week, up 13.9% to reach a 24-day high, after “carriers successfully push through a few hundred dollars of announced GRIs”.

“Carriers have cut 13% of capacity from Far East to North Europe since end of August against a backdrop of strong demand, possibly due to frustrated cargo that was originally intended for the US,” said Peter Sand, Xeneta’s chief analyst .

“Something has to give in this situation and that is freight rates – with the spot market increasing 14% in the past week.

“It is likely average spot rates will continue to climb into Europe before peaking and heading south towards the end of the month,” he added.

However, many freight buyers expect rates to decline after this week’s push and also to see further price hike attempts in the coming weeks.

“I expect [rates] to slide quickly but they’re all wanting to go aggressively for a 1 November increase,” one told The Loadstar. “Rumours are that Maersk’s spot rate will be $2,500 per 40ft high-cube, but I think it will probably be lower once it comes around,” he added.

This week, MSC announced new FAK levels to be applied on 1 November, of $2,700 per 40ft high-cube, from the Far East to North Europe; $3,000 to the East Mediterranean and $3,200 to the West Mediterranean.

The WCI’s Shanghai-Genoa leg was 2% up week on week, to end at $1,821 per 40ft, while the XSI was up 7.3% and has nearly recovered to its level at the end of September.

Meanwhile, Asia-Europe forwarders and shippers are now preparing their tenders for the 2026 annual contract negotiating season – contracts on the route typically run from January to December – and carriers are desperate to establish higher spot rate levels to use as a guide for contract rates.

“All the carriers are wanting and needing to push through increases as we enter the Far East westbound negotiation season,” our source added.

“Carriers are only just getting their tender for the ones that close the end of the calendar year. They’re hoping to extend this year’s rates but the reality is it’s likely to be softer, although I’m not sure at this stage how much,” he explained.

Spot rates also increased this week on the transpacific trades, the WCI’s Shanghai-Los Angeles leg gaining 1% on the previous week, to end at $2,195 per 40ft, and its Shanghai-New York route also up 1%, to $3,236 per 40ft.

Stronger week-on-week growth was seen on the XSI, which recorded a 7% rise into the US west coast, attributed to the partial success of a 15 October GRI. A further GRI of between $1,000 per 40ft and $3,000 per 40ft, depending on carrier, is scheduled for 1 November, which Xeneta’s Peter Sand predicted could see some success.

“There is a lot on shippers’ minds in Q4, trying to look ahead and procure freight for 2026, while also dealing with the here and now,” he said.

“Carriers may take the opportunity of shippers occupied by 2026 planning to try to push up the short-term market, even if it is to a limited extent.

“We have USTR port fees coming into force this month, and China responding with port fees of its own, so there is plenty of uncertainty for shippers and plenty for carriers to latch on to to try and justify the mid-month GRIs,” he explained.

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