Drewry Intra-Asia Container Index - June 11

The Drewry Intra-Asia Container Index (IACI), the benchmark widely referenced by procurement teams, softened 1% to $1,100 per 40ft container.

The fall in rates on the Middle East and Singapore dragged down the index, while freight rates remained strong on other intra-Asian corridors. See detailed commentary below.

Intra-Asia Container Index (US$/40ft)

Intra-Asia spot freight rates by major route ($USD/40ft)

Freight rates softened, but IACI remains twice its pre-conflict level

• The Drewry Intra-Asia Container Index (IACI), the benchmark widely referenced by procurement teams, softened 1% to $1,100 per 40ft container. The fall in rates on the Middle East and Singapore dragged down the index, while freight rates remained strong on other intra-Asian corridors.

• Spot rates on trade lanes connecting China with South Asia and Southeast Asia contracted slightly this week. Rates from Shanghai to Kaohsiung fell 4% to $1,560 per 40ft container, while those from Shanghai to Laem Chabang slipped 3% to $1,237 per 40ft container. Port utilisation at major transhipment hubs such as Singapore remained critical, with large volumes of displaced containers disrupting network flows and limiting the repositioning of empty equipment into South Asian markets. At the same time, concerns over rising costs and potential supply chain disruptions are encouraging cargo owners to bring forward shipments of Christmas goods. The early peak season has led to an increased volume of semi-finished goods and components transported across Asia, especially between China and Southeast Asia. Drewry expects freight rates to rise in the coming weeks as demand remains strong and port congestion persists.

• On trade routes originating from Southeast Asia, spot rates remained stable during the week. Rates from Laem Chabang to Shanghai and from Ho Chi Minh City to Shanghai held steady at $232 and $65 per 40ft container, respectively. TS Lines will launch a new Far East–Malaysia-West India service, CWX2, by joining a revamped joint loop with Emirates Shipping Line (ESL), Evergreen, and KMTC. The six-week rotation will connect major ports in China, Malaysia, and Western India using six vessels of 5,500–9,500 teu, with the first sailing scheduled on 12 June. The move highlights carriers’ ongoing network adjustments across intra-Asia trades as they respond to changing demand patterns, congestion at key gateways such as Nhava Sheva, and the need to maintain service reliability in a tight and volatile freight market.

• Overall, the Intra-Asia container freight market remains strong, supported by an early peak season demand surge, persistent tight capacity and growing port congestion across the region. Meanwhile, ongoing geopolitical tensions in the Middle East continue to influence market sentiment, putting upward pressure on freight rates through higher bunker fuel costs and fuel surcharges. These developments are also contributing to rising raw material costs, as reflected by China's PMI Prices of Purchased Materials Index, which has remained elevated since the conflict began and currently stands at 60.5 points.