Latest News and Insights by Rulewave

Container Rates

Container rates averaged $2,169 in May, showing a slight decrease compared to April’s levels. This overall dip was primarily driven by softer pricing during the first half of the month, as market conditions adjusted to shifting demand and supply factors. However, the trend reversed in the last two weeks of May, with rates climbing back up to an average of $2,276. This late-month uptick suggests that container rates may continue to rise in the coming month. The bounce-back highlights ongoing volatility in the shipping market, influenced by factors such as seasonal demand fluctuations, port congestion, and evolving trade dynamics. Additional upward pressure is expected as carriers implement new surcharges and rate hikes on key trade lanes. From May 23, a Peak Season Surcharge applies to shipments from Asia and Oceania to East Africa (including Kenya and Tanzania), while a General Rate Increase takes effect from June 1 on routes from the Far East to South America’s East Coast. These adjustments underscore the tightening capacity out of Asia and suggest that rates may continue to rise into June.

‍

Air freight Rates

Average airfreight prices in May edged up slightly to $2.28 per kilogram, maintaining the steady trend observed throughout 2025. While the overall market remains relatively stable, certain trade lanes continue to experience significant volatility. This instability is largely driven by shifting regulations, fluctuating demand patterns, and regional disruptions that affect capacity and pricing. As a result, some routes face sharp price swings even as the broader market shows consistent performance. Stakeholders should stay alert to these variations, as they can impact shipping costs and logistics planning.

‍

Deep Dive: Port congestion in Antwerp, and beyond?

The port of Antwerp is facing growing challenges as the current limited terminal capacity meets a complex number of global disruptions. From geopolitical conflicts and shifting container alliances to labor strikes and natural constraints, these factors collectively strain Antwerp’s operations and echo across Europe and beyond.

Limited capacity and rising container dwell times

One of the core issues is the persistent shortage of available terminal capacity in Antwerp’s container yards. “We have been seeing longer container dwell times for quite some time now, which further increases the pressure on terminal capacity,” explains Lennart Verstappen, spokesperson for Port of Antwerp-Bruges. This limited surplus capacity means vessels often face delays before they can berth and unload.

Geopolitical conflicts and the ripple effect on shipping lanes

Global disruptions play a key role in Antwerp’s congestion. Geopolitical conflicts, particularly around critical chokepoints like the Red Sea, have unsettled established shipping routes and schedules.Combined with a shortage of vessels and two operational strikes in Belgium, this has created a bottleneck that impacts the entire port’s logistics chain.

Shifting alliances shake up established sailing schedules

A shake-up in container shipping alliances is also impacting port operations. Earlier this year, Maersk ended its alliance with MSC and formed a new partnership with Hapag-Lloyd. These alliances, designed to optimize fleet usage and reduce costs, are not mergers but agreements to share vessel capacity. Such a fundamental change disrupts long-standing fixed sailing schedules, forcing ports worldwide, including Antwerp, to reorganize and adapt rapidly to new service patterns.

Labor strikes worsen congestion

Adding to these pressures, Belgium experienced two significant port strikes recently, first on April 29 and again on May 20, 2025. These work stoppages halted operations at critical points, causing vessel backlogs and delays that take weeks to resolve. Antwerp’s port operations also face a shortage of sea and river pilots, further complicating vessel movements.

Broader European congestion: a multi-factorial challenge

Antwerp’s challenges mirror wider congestion across northern European ports, where vessel waiting times currently range from several days up to two weeks. Factors contributing to this include:

- Low water levels on the Rhine, reducing inland barge capacity

- High yard utilization rates at container terminals

- Some terminals limiting the acceptance of empty containers to manage space effectively

This European congestion situation is estimated to persist at least until July 2025, with no immediate relief in sight.

Early peak season and global trade dynamics

Adding to the issue is an early peak season for transpacific trade, driven partly by a temporary pause in US-China tariffs. Shippers are accelerating cargo movements ahead of tariff reinstatements scheduled for July, further pressuring already strained port capacities.

Similar congestion patterns are appearing in major ports in China and the United States, including Shanghai, Shenzhen, Los Angeles, and New York, reflecting the global scale of these logistical challenges.

Conclusion: navigating a complex and uncertain landscape

The port of Antwerp’s congestion is the result of limited terminal capacity meeting a perfect storm of global disruptions, from geopolitical tensions and alliance shifts to labor strikes and environmental constraints. This situation underscores the fragility of international supply chains and highlights the urgent need for flexible, resilient logistics strategies.

As congestion is expected to continue into the summer months, supply chain stakeholders must remain vigilant and adaptable to mitigate delays and rising costs.

Rulewave Monthly Insight May 2025

Are you ready for the Rulewave experience?

About

Services

Industries

Social Media