NEWS & BLOG

Freight Rates Continue to Decline! All Four Major Shipping Routes Slide Further

Views: 0 Author: Site Editor Publish Time: 2026-02-09 Origin: Site

As the container shipping market in Asia enters the final phase of pre-Lunar New Year shipments, the oversupply of shipping capacity on major routes from Asia to the US and Europe has further widened in February. Consequently, shipping companies have accelerated their shift to a response model combining freight rate cuts, capacity control, and cargo roll - offs, leading to a generally weak market trend. The latest Shanghai Containerized Freight Index (SCFI) dropped 3.81% to 1266.56 points, marking the fifth consecutive week of decline, with freight rates on all four major shipping routes falling across the board.

Route - specific Performance (as of the latest SCFI release on February 6)

Route	Weekly Change	Current Spot Price Range	Key Notes
West Coast US	-3.53%	1650-1750 USD/FEU	Stable compared with last week; carriers focus on capacity control to prevent sharp price drops
East Coast US	-2.88%	2350-2500 USD/FEU	Some carriers plan to raise rates to 3000 USD/FEU on March 1, but implementation is uncertain
Europe	-1.06%	2000-2200 USD/FEU	Weak demand; rate cut slows down
Mediterranean	-5.49%	-	Largest weekly drop among major routes
Southeast Asia	-4.55%	-	Demand remains sluggish
Japan	Stable for four consecutive weeks	-	Strong resistance to decline
Manzanillo (Central and South America)	Rebounded after falling	-	Regional differentiation emerges

It should be noted that the rate decline on each route has narrowed compared with the previous week, indicating a slowdown in the downward pace of freight rates. Freight forwarders in the industry point out that affected by the Lunar New Year flight schedules and the demand for early stockpiling, the routes from Asia to the US and Europe in February are still in a state of obvious oversupply, and the freight rate trend is dominated by consolidation and weakness. At present, the spot market rates are roughly the same as last week.

Market Drivers and Countermeasures

Supply - Demand Imbalance: The pre - Lunar New Year shipment peak appeared as early as December 2025, and the market demand faded rapidly in January 2026, resulting in insufficient momentum for freight rate rebound. The delivery of newly - built container ships has intensified the pressure of oversupply.
Carrier Responses: Shipping companies have adopted measures such as sailing cancellations, capacity control, and roll - offs to avoid price wars, but this does not mean a significant recovery in demand. Some carriers plan to promote a General Rate Increase (GRI) in the second half of February, with a planned increase of several hundred US dollars per 20 - foot container, especially on the West Coast South America route. Large forwarders report that some carriers have proposed a rate increase plan on March 1, intending to raise the West Coast US rate to 2200 USD/FEU and the East Coast US rate to 3000 USD/FEU.
Post - Holiday Outlook: Most factories are expected to resume work in early March, and the real recovery of market demand may not be clear until mid - to late March. The progress of long - term contract negotiations between some carriers and direct customers on US routes may be delayed, reflecting the market's cautious attitude towards the future market.

Recommendations for Shippers and Forwarders

Lock in long - term contract prices properly to hedge against spot market volatility.
Communicate with carriers in a timely manner to obtain the latest sailing schedules and adjust shipment plans according to capacity control arrangements.
Reserve a 7-14 day transportation buffer for shipments before and after the Lunar New Year to deal with possible delays.
Pay close attention to the GRI notices of shipping companies and the resumption of production after the holiday to grasp the timing of rate rebound.

Container freight rate decline SCFI consecutive decline US - Europe route rate Lunar New Year shipping market Asia - US container freight rate forecast post - Lunar New Year shipping market trend