This week, the Drewry World Container Index (WCI) went up by 2%, reaching $2,172 for a 40-foot container. This marks the third week in a row that the index has increased, thanks to strong demand on Transpacific routes.

Rates from Shanghai to New York saw a significant jump of 7%, now costing $3,310 per FEU. Meanwhile, rates from Shanghai to Los Angeles rose by 4%, bringing the total to $2,591. These changes are due to limited shipping capacity and six blank sailings announced for the East and West Coast routes. Drewry anticipates that prices will keep rising in the short term, influenced by supply chain uncertainties related to tensions in the Middle East.

For Asia-Europe routes, the rates remained quite stable. The cost from Shanghai to Rotterdam increased slightly by 1%, reaching $2,478 per FEU, while the rate from Shanghai to Genoa stayed the same at $3,108. With only three blank sailings scheduled for next week, there seems to be a balance in shipping capacity. However, carriers like MSC and CMA CGM are starting to push for higher Freight All Kinds (FAK) rates, ranging from $6,200 to $6,400, beginning March 22.

Increasing geopolitical tensions are also affecting transport costs. Disruptions in tanker traffic through the Strait of Hormuz, which carries about 20% of the world's oil, have caused crude prices to rise. This has led shipping companies to introduce or increase emergency fuel surcharges. For instance, CMA CGM has raised its surcharge to $265 per TEU, and other companies like Maersk, OOCL, and COSCO are implementing similar increases.

Drewry predicts that rising fuel costs and continued pricing discipline from carriers will lead to higher spot rates in the upcoming weeks.