Asia–Europe container freight rates are easing, with prices for 40-foot containers on both the Shanghai–Genoa and Shanghai–Rotterdam routes recording declines.
According to Drewry’s latest World Container Index update, the rate to Genoa fell by 7% this week to 3,491 US dollars per 40-foot container, while the rate to Rotterdam dipped by 2% to 3,384 US dollars.
The downward shift marks a return to correction territory for the main Asia–Europe corridors, which had seen prices surge earlier this year due to frontloading and broader uncertainty in global trade flows. Since peaking in late spring, freight rates on these routes have steadily retreated, with carriers now under renewed pressure to adjust capacity and stabilise prices.
A volatile 2025
Drewry expects the softening trend to continue in the short term, citing persistent overcapacity and weakening demand across East–West lanes. However, the outlook for the second half of 2025 remains highly uncertain.
The consultancy warns that price movements are likely to remain volatile in the months ahead, with geopolitical factors—particularly those related to US-China trade policy and potential restrictions on Chinese carriers—likely to play a significant role in shaping fleet deployment and market dynamics.
Asia-Europe rollercoaster
Freight rates between Asia and Europe have been susceptible to shifting trade patterns since late 2023. Whereas in H2 2023, container shipping prices from Shanghai to Genoa and Rotterdam were just above 1,000 US dollars per 40-foot container, in July 2024, they skyrocketed to an all-time high of approximately 7,614 and 8,048 US dollars per 40-foot container, respectively.
One year later, those same routes are priced at 3,491 and 3,384 US dollars, respectively. Of course, those price changes have a substantial impact on overland, and specifically, rail container transportation. In 2023, with such low sea shipping rates, the rail industry was feeling the strain of increased competition since it is traditionally more expensive. The 2024 prices arguably worked to the rail’s benefit, especially in light of sea shipping disruptions.
This year appears to be more balanced compared to the two preceding years, although it has not necessarily positively impacted rail’s competitiveness. In any case, 2025 alone has already seen substantial price fluctuations. Whereas prices were close to the current level at the beginning of the year, they noted a significant decline between January and May. In June, those figures started rising relatively sharply, and after a brief stabilisation, are now following a moderate downward trajectory.
