LOS ANGELES — Container shipping rates from Shanghai to Los Angeles rose sharply this week, climbing 17% to $3,738 per 40-foot container, according to data from supply chain analytics firm Drewry.
That marks a 38% increase since May 8 and the steepest weekly jump in nearly a year. The uptick follows a rebound in U.S.-bound traffic after President Donald Trump temporarily paused certain China tariffs, reversing a collapse in transpacific shipping volumes that followed the administration’s imposition of levies on most U.S. trading partners, including especially punitive rates on China.
Spot rates to New York also surged 14% this week, bringing the three-week increase to 42%. Rates from Shanghai to Rotterdam and Genoa were up 6% and 3%, respectively. Drewry’s World Container Index has climbed 21% over the past three weeks, ending a five-month trend of steady rate declines.
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Shipping analysts attribute the recent gains to an unexpectedly strong but short-term correction in the supply-demand balance.
Uncertainty remains after a federal appeals court on Thursday temporarily reinstated Trump’s broad tariffs under the International Emergency Economic Powers Act. The ruling temporarily paused a trade court’s block on the levies, casting doubt over future container volumes and pricing stability.
Adding to the volatility, Trump on Friday accused China of “totally” violating its preliminary trade agreement with the U.S., suggesting he would respond with further action. “So much for being Mr. NICE GUY!” he wrote on his Truth Social account, claiming China had not upheld its side of the tariff pause.
U.S. Trade Representative Jamieson Greer echoed the accusation in a CNBC interview Friday morning, saying China was “slow rolling” its compliance. “That’s completely unacceptable and has to be addressed,” Greer told the outlet, contributing to a drop in stock futures and further muddying the near-term outlook for global trade and shipping demand.