Chinese shipping container rates surge to 2-year peak amid US tariff fears

Posted on June 7, 2024   |  

Shipping rates from China are increasing as exporters rush shipments ahead of the holiday season.

Last week, the Shanghai Containerized Freight Index (SCFI) rose by 12.6%, surpassing 3,000 points for the first time since August 2022.

Exporters are booking more vessel slots to the US and Europe to meet orders amidst concerns about US tariff hikes and Red Sea disruptions.

President Joe Biden's announcement of tariffs on Chinese goods, including electric vehicles and solar cells, has heightened exporter concerns.

Despite tariffs not being implemented yet, the cost of shipping a 20-foot container from Shanghai to Europe has risen to over US$7,000, up by about US$1,000 from the previous month.