Ocean freight rates continue to climb. Shipping industry sources note that rising oil prices, port congestion, and peak season restocking demand are jointly underpinning the market, with freight rate momentum remaining robust.

The Shanghai Containerized Freight Index has now risen for seven consecutive weeks, with weekly gains on the four major European and US routes all exceeding 10%. The index closed at 2,985.22 points on June 13, representing a weekly increase of 9.5%. This followed a 6% rise in the week ending June 5 and a substantial 16% jump in the week ending May 29.

The Drewry World Container Index also continued its upward trajectory, rising to **US$3,549 per FEU** on June 11, a weekly gain of 3%, following a sharp 23% surge in the seven-day period ending June 4. While there remains, as is typical, a degree of asynchronicity between the weekly movements of the SCFI and the WCI, both indices display a strong overall upward trend. Drewry data shows that freight rate increases on the Asia-Europe trade are outpacing the broader WCI: rates on the Shanghai to Rotterdam route rose 5% to US$3,768 per FEU. Transpacific route gains were broadly in line with the overall WCI, with Shanghai to Los Angeles rates rising 3% to US$4,683 per FEU.

In terms of Transpacific demand, Drewry noted: "Importers are booking space ahead of anticipated potential US tariff adjustments expected to take effect in July. This, together with additional cargo demand related to the 2026 FIFA World Cup, is supporting market demand."

Looking at the broader Asia-Europe and Transpacific east-west trades, the peak season is considered to have arrived early this year, with the continued diversion of major liner services around the Cape of Good Hope remaining a contributory factor. Drewry stated: "The continued rerouting away from the Red Sea has extended transit times, prompting importers to place orders earlier to ensure goods arrive before the traditional peak season."

Retail trends represent another factor. The analytics firm noted: "Retailers are also restocking inventories earlier than usual in preparation for major sales events, including Amazon Prime Day and TikTok's mid-year promotions in June and July."

Geopolitical tensions in the Middle East, together with the closure of the Strait of Hormuz to most vessel traffic, have pushed up bunker costs and bunker surcharges, which in turn are elevating freight rates.

Shipping industry sources indicate that space remains relatively tight and supply limited on routes to the US Pacific Northwest and the US East Coast. Carriers are clear in their intent to raise rates, with the June 15 rate increase largely confirmed; further developments will depend on space availability.

Overall, shipping industry players believe the market will remain firm through the end of June, with no obvious near-term easing in sight for the tight conditions in both freight rates and space.