Asia-US Spot Rates Climb in December as Retailers Brace for Disruptions

Container spot rates for imports from Asia to the United States surged in the final weeks
of 2024, as retailers scrambled to get ahead of a potential strike at the US East and Gulf
Coasts in January and dealt with a condensed post-holiday shipping schedule.

The spike brought spot rates to levels nearing those seen during the pandemic-induced rush in
mid-December 2021. Spot rates from Asia to the US West Coast jumped from $2,500 on
November 29 to the mid-$4,000s per forty-foot equivalent unit (FEU), according to forwarders
cited in a Journal of Commerce (JOC) report.

This surge followed general rate increases (GRIs) implemented by carriers, amounting to about
$2,000 per FEU. Similarly, spot rates for the US East Coast saw an increase, rising to the mid-
$5,000s to low $6,000s per FEU from $4,367 two weeks earlier, coupled with GRIs ranging from
$1,500 to $1,600 per FEU.

According to the JOC report, the December increase was driven by a combination of factors: the
potential for a second strike by the International Longshoremen’s Association in January, the
earlier-than-usual Lunar New Year in 2025, and concerns over large tariffs on imports being
considered by President-elect Donald Trump.

These elements prompted retailers and importers to front-load merchandise ahead of
anticipated disruptions.

“Spot rates on the West Coast are expected to stay high through January 2025 as vessels
remain fully booked until the end of the month,” said Rachel Shames, CV International’s vice
president of pricing and procurement, in a statement to the JOC.

Kurt McElroy, executive vice president of NVO Kerry Apex, echoed this sentiment, noting that
carriers “may well seek another GRI” as long as elevated import volumes persist, particularly in
the lead-up to the closure of Asian factories for the Lunar New Year beginning January 29.