China: Shanghai Containerized Freight Index rises w-o-w on transpacific strength

• US West Coast leads gains amid strong demand, Asian port congestion
• Europe, Mediterranean rates fall as Suez capacity returns, demand softens

The Shanghai Containerized Freight Index (SCFI) rose 2.3% w-o-w to 3,590.05 points on 4 September from 3,509.53, marking its sixth consecutive w-o-w gain. However, the rise was driven by stronger US-bound rates, while Europe and Mediterranean trades corrected.

Asia-US West Coast rates increased, the strongest gain among the major tracked routes, while Asia-US East Coast rates also rose moderately. Persistent congestion at major Asian ports, particularly Shanghai and Ningbo following successive typhoons, has tightened effective capacity and caused cascading schedule disruptions.

The firm transpacific market was supported by sustained US import demand and carrier capacity management, including blank sailings and adjusted vessel rotations. In contrast, Asia-Europe rates and Asia-Mediterranean rates declined w-o-w. The correction reflects softer demand and improving capacity prospects as carriers increasingly resume Suez/Red Sea services.

Outlook

Transpacific rates are likely to remain firm in the near term, supported by congestion, strong US-bound demand, and constrained effective capacity. However, the normalisation of Asian port operations could limit further upside. Meanwhile, Europe and Mediterranean markets are likely to remain under downward pressure as Suez capacity returns and carriers compete for softer cargo volumes.