1. European routes have been significantly affected by the Red Sea crisis, with ships detouring around Africa. The capacity of African shipping lanes is unknown, but the number of ships has increased significantly this year. Longer voyages and increased transshipment ports result in more ships to operate. Long journeys and port congestion mean many containers cannot return. This is also the key to finding containers in the near future.

2. The price increase in South America is mainly due to Brazil and Mexico’s plans to impose additional tariffs on Chinese electric vehicles from July. Many automakers are rushing to ship to these areas without actual orders. According to sources, BYD has shipped more than 100,000 vehicles! Electric vehicle companies already capture the majority of transportation resources. Many shipping companies have withdrawn ships to West Africa for these large orders, resulting in a general increase in freight rates in West Africa! These EV manufacturers not only compete for shipping resources but are reportedly quickly filling up space at destination ports.

3. The U.S. election is coming soon, and there are voices saying that 50-60% future tariffs will be imposed on Chinese goods, which has led some Chinese companies to increase their investment in South America! In addition, many importers stock up in advance, making the peak season arrive earlier.

This is the real reason. Shipping giants use the above reasons to actively and tacitly raise prices together!


Therefore, export companies need to plan shipping schedules in advance because everyone is competing for containers. The estimated time of arrival (ETA) is also unstable, and profits are already low.