Ocean Freight Rates Expected to Drop as Middle East Ceasefire Takes Effect

Ocean container freight rates are set to decline further in February, influenced by the Middle East ceasefire and Lunar New Year slowdown, despite carriers’ attempts to manage capacity.

According to data from Xeneta, spot rates from the Far East to North Europe currently stand at $3,795 per FEU, while Mediterranean routes command $5,085 per FEU, marking significant drops of 22% and 13% respectively since January 1. The freight rate benchmarking firm says early indicators suggest an additional 5-10% decrease in spot rates for both trades at the start of February.

US-bound rout…