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Trans-Pacific Rates Hold $1,000 Premium Despite Weak Demand Outlook

Benchmark Asia-U.S. shipping rates remain elevated approximately $1,000 per FEU above pre-war levels, driven primarily by carrier capacity reductions rather than rising demand. West Coast prices increased 4% to $2,828 per forty-foot equivalent unit for the week ended May 8, while East Coast rates rose 1% to $4,340 per FEU. The pricing premium reflects strategic blank sailings and container rollovers designed to support rate levels during a period of soft demand. Asia-North Europe spot rates stood 10% higher at $2,850 per FEU but are trending downward. Maersk reported the Strait of Hormuz closure is costing approximately $500 million monthly, with expenses largely passed to shippers. According to the National Retail Federation, industry forecasts point to muted peak season volumes. June volumes are projected 2% below May levels and July only 4% higher, signaling importer caution and potential carrier headwinds through the second half.