Analysts do not expect tariffs to be eliminated, regardless of what happens in the coming three months, and this could continue weighing on US import volumes
Even after securing another 90-day tariff truce with the US, China’s trade-diversification efforts are expected to continue reshaping shipping routes for the rest of the year, as transpacific routes remain under pressure following an initial front-loading phase.
“Despite ongoing negotiations between the two countries, we believe it is unlikely that tariffs will be completely eliminated, which will continue to weigh on US import volumes,” said Jarl Milford, a maritime analyst at Veson Nautical.
“We expect a full-year decline in volumes on this trade lane, which will apply further pressure on freight rates,” he told the Post.
The Shanghai Containerised Freight Index, which is updated every Friday and tracks spot freight rates for containerised cargo, specifically from Shanghai to major global destinations, has declined for nine consecutive weeks.
