Ocean freight spot rates surged up to 30% over the past month following the five-week Strait of Hormuz closure, impacting all major East-West trade lanes. Xeneta data shows Far East–North Europe rates at USD 2,904/FEU (+31%) and Far East–Mediterranean at USD 4,333/FEU (+30%). Congestion has rippled to Singapore, Port Klang, and Tanjung Pelepas. Bunker prices in Singapore remain ~2x pre-crisis levels. Shippers are locking in capacity amid fears of peak-season shortages, echoing lessons from the 2024 Red Sea crisis. Carriers are evaluating slow steaming, rerouting, or blank sailings.
According to indiashippingnews.com, ocean container shipping spot rates have risen 30% over the past month, driven by the ongoing closure of the Strait of Hormuz — now in its fifth week — with cascading effects across all major East-West trade lanes.
Sharp Rate Increases Across Key Trade Lanes
Xeneta data for 1 April 2026 shows steep increases from Far East origins:
- Far East to US West Coast: USD 2,430 per FEU (40ft container), up 29% since end-February
- Far East to US East Coast: USD 3,382 per FEU
- Far East to North Europe: USD 2,904 per FEU, up 31% since end-February
- Far East to Mediterranean: USD 4,333 per FEU, up 30% since end-February
- North Europe to US East Coast: USD 1,775 per FEU
Capacity Adjustments and Market Behavior
Offered capacity rose week-on-week across all routes as of the week commencing 30 March 2026: +12.1% on Far East–US West Coast; +12.5% on Far East–North Europe; +6.5% on Far East–Mediterranean; +2.9% on Far East–US East Coast; and +3.4% on North Europe–US East Coast.
Operational Ripple Effects
The disruption has extended beyond direct Middle East exposure. Port congestion in the region has propagated to key Asian transshipment hubs — including Singapore, Port Klang, and Tanjung Pelepas — all critical nodes feeding goods toward the US. Bunker fuel prices at Singapore remain roughly double pre-crisis levels, though trending slowly downward after an initial ~200% spike. In contrast, Rotterdam bunker prices continue rising, and ship-to-ship fuel transfers in the Far East are adding cost and operational complexity.
Strategic Booking Patterns
“Five weeks into the Strait of Hormuz closure and spot rates on every major East-West trade lane have risen sharply, showing this is a conflict with global repercussions for ocean supply chains.” — Peter Sand, Xeneta Chief Analyst
“No shipper is insulated from financial or operational risk. […] The position of carriers is unambiguous – the cost of uncertainty sits with the shipper, even on trades with no direct exposure to the Middle East.” — Peter Sand, Xeneta Chief Analyst
“Shippers booking capacity today are paying a premium for certainty, but it is a calculated risk against being caught short in peak season three months from now and paying even higher rates. Shippers who wait for conditions stabilize are placing a bet with no clear evidence behind it.” — Peter Sand, Xeneta Chief Analyst
Market memory from the 2024 Red Sea crisis second wave — when Singapore port congestion caused already elevated rates to double — is shaping behavior: shippers are proactively securing capacity despite premiums, prioritizing reliability over cost savings in anticipation of peak-season volatility.
Carrier Contingency Planning Underway
With no visible end to the crisis, carriers are almost certainly developing new contingency plans. Xeneta notes that the coming weeks will determine whether measures such as slow steaming and alternative routing can sustain service levels — or whether blank sailings become the next recourse.
Source: indiashippingnews.com
Compiled from international media by the SCI.AI editorial team.
