2 days ago
Tariffs, capacity crunch strain global freight market: Dimerco
The global freight landscape is shifting as policy changes, regional bottlenecks, and trade realignments reshape logistics strategies, according to the June 2025 Asia-Pacific Freight Market Report by Dimerco Express Group. The report highlights ongoing impacts of US–China tariffs, rising air and ocean freight rates, and tightening capacity at key export hubs, signalling a potentially volatile summer shipping season.
The report notes that US tariffs on Chinese goods, combined with China's temporary suspension of tariffs on US semiconductors, have triggered a sharp increase in shipments. Businesses are rushing to move goods before the 90-day reprieve ends in August, leading to shipping surges from Vietnam, Taiwan, and South China. This urgency is placing additional strain on already limited air and ocean freight capacity.
Ocean freight rates are climbing sharply as carriers cancel sailings to manage capacity. In May, 8 per cent of East-West sailings were cancelled, and peak season surcharges are being applied in June. As a result, US-bound spot rates could reach as high as $8,000 per FEU in June.
Dimerco's June 2025 Freight Market Report highlights rising freight rates, tight capacity, and shifting trade flows due to USâ€'China tariffs and China's temporary semiconductor tariff pause. Surging demand from Vietnam, Taiwan, and South China is already straining air and ocean freight. Port congestion in Europe and North America adds pressure.
On the air side, airfreight capacity remains tight, especially in Southeast Asia and Taiwan. Airlines are diverting resources to transpacific and Latin American routes, while increased order volumes and revised flight schedules are further squeezing space from North Asia to the US.
Meanwhile, European ports continue to face congestion due to labour shortages, strikes, and disruptions along inland waterways. In North America, summer shipments of perishables and limited flight availability—due to tariff-related airline adjustments—are creating added pressure at key ports, as per the report.
Finally, the semiconductor sector is seeing notable realignment, as China's temporary easing of tariffs boosts chip-related exports. With the 90-day window set to close in August, logistics providers are closely monitoring developments, as changes could again shift sourcing patterns and freight flows.
"Demand is shifting quickly, and the market is recalibrating week by week," said Alvin Fuh, vice president of ocean freight at Dimerco . "Shippers are accelerating bookings to stay ahead of volatility, but capacity remains tight and unpredictable."
'We're seeing increased US demand across sectors, but most of it is still moving by ocean. We expect airfreight to pick up mid-June as lead times tighten and spot options shrink,' Kathy Liu, vice president of global sales and marketing , said.
The June report offers lane-level snapshots and updated space forecasts for all major Asia-Pacific, North America, and Europe trade lanes, with insights designed to help shippers stay agile in a shifting policy and capacity environment.
Fibre2Fashion News Desk (RR)
