ports

Intra-Asia Rates Hit Two-Year Peak as Shippers Front-Load Orders

Container freight rates across intra-Asia lanes have climbed to their highest levels in two years as peak season demand arrives early. Drewry's Intra-Asia Container Index recorded rates of $939 per 40ft on May 15, up from $918 a fortnight earlier and 43% higher year-over-year. Shanghai-South-east Asia routes averaged $570 per teu, up 31% annually. Oil prices remain the primary cost driver, according to Drewry MD Philip Damas. The closure of the Strait of Hormuz sustains upward pressure, with the index now 70% higher than pre-conflict levels. Rather than reflecting genuine demand growth, Drewry's senior consultant Stijn Rubens attributes the surge to shippers front-loading orders amid rate uncertainty. Carriers are responding by expanding capacity. X-Press Feeders and OOCL launched the South China Java X-Press (SCJX)/China-Indonesia Service 3 (CIS3) with three 2,900-teu vessels on a 21-day rotation. CMA CGM's CNC Line added fortnightly calls at Kuala Tanjung to its BBX3 service.