Container Shipping Rates Surge Amid U.S.–China Tariff Pause, But Analysts Predict a Cooling Ahead

Spot rates soar on transpacific routes following a temporary easing of trade tensions, though market momentum may taper in coming weeks

Global container shipping rates have surged sharply in recent weeks, driven largely by a temporary suspension of U.S. tariffs on Chinese goods, igniting a short-term spike in cargo volumes across trans-Pacific routes. However, industry experts caution that the upward momentum may soon slow as demand shows early signs of moderation.

According to the latest data from maritime consultancy Drewry, its World Container Index rose 41% this week alone, reaching $3,527 per 40-foot equivalent unit (FEU). Since early May, the index has jumped nearly 70%, a surge closely linked to the May 12 U.S.–China trade truce, which rolled back steep tariffs and momentarily revived trade flows between the world’s two largest economies.

The Shanghai–Los Angeles route, one of the most critical trans-Pacific lanes, has seen spot freight rates skyrocket, up 57% in the past week to $5,876 per FEU, marking a 117% increase since May 8. While these levels remain below the pandemic-era highs of over $10,000 per container, they still represent a significant shift in market conditions.

Despite the dramatic climb, shipping analysts suggest the trend may not hold. Jefferies analyst Omar Nokta noted that quoted rates for late June bookings are already trending downward, with average offers hovering between $5,000 and $5,500 per container.

Looking ahead, Drewry forecasts a softening in global demand in the second half of the year, which could prompt another correction in rates. Ongoing policy developments, including potential new port fees and unresolved trade uncertainties, are expected to keep the market volatile and reactive.

XPO Logistics Renews Long-Standing Tour de France Partnership Through 2030

The extended agreement highlights over 40 years of trusted logistics support, with a growing focus on sustainable transport solutions

XPO Logistics has reaffirmed its enduring partnership with the world’s most prestigious cycling events, extending its role as the Official Transport Partner of the Tour de France and Tour de France Femmes avec Zwift through 2030. This marks the continuation of a logistics collaboration that has been in place since 1980.

Every summer, XPO’s expert teams are tasked with the transport and setup of key race infrastructure—including barriers, finish line structures, signage, timing systems, and broadcast equipment. These operations span multiple locations each day, often in remote or mountainous regions, and are executed under tight schedules, demanding flawless coordination and on-the-ground adaptability.

As the events grow in scale and visibility, sustainability has taken centre stage in XPO’s operations. The company will expand its use of LESS HVO, its proprietary biofuel that slashes CO₂ emissions by up to 90% compared to conventional diesel. In addition, XPO plans to deploy fully electric trucks on selected stages by 2025, complementing its already Euro 6-compliant fleet.

This logistical effort not only supports the men's race but ensures the Tour de France Femmes avec Zwift receives equal treatment in terms of service quality and environmental commitment. Since its return in 2022, the women’s race has rapidly gained prominence, and XPO’s continued support is essential to its growth.

Leadership from both organisations has hailed the renewed agreement as a symbol of shared values—efficiency, innovation, and sustainability—as well as a showcase of what world-class event logistics can look like in a decarbonising future.

U.S. and Vietnam Reach New Trade Deal Ahead of Tariff Deadline

The agreement grants the U.S. full market access to Vietnam while setting new import tariffs, including penalties for transshipping

Just days before the expiration of a 90-day tariff pause, the U.S. and Vietnam have finalized the framework of a new trade agreement, according to a statement from President Donald Trump on Truth Social. The deal is part of ongoing negotiations to reshape the U.S. trade landscape through country-specific reciprocal tariffs.

Under the terms outlined, the U.S. will impose a 20% tariff on imports from Vietnam, replacing the previously paused 46% rate. In return, Vietnam will open its markets to U.S. goods with zero tariffs, effectively granting American exporters unrestricted access.

The agreement also introduces a 40% transshipment tariff, aimed at curbing the practice of rerouting goods through Vietnam to avoid tariffs on products from other nations. While Trump did not elaborate on how this measure will be enforced, it signals a tougher U.S. stance on trade route manipulation.

This deal comes just ahead of the July 9 deadline, when the temporary suspension of reciprocal tariffs is set to expire. Vietnam is now the third country, alongside the United Kingdom and China, to finalize new terms with the U.S. under this revised trade framework.

According to the U.S. International Trade Commission, Vietnam represented nearly 3% of U.S. trade in 2024, exporting approximately $137 billion in goods to the United States while importing around $13 billion in return.

Trump described the agreement as a major win for U.S. manufacturers, stating the deal would "open their market to the United States" and allow American goods to enter Vietnam duty-free.