Excess Capacity of Container Lines Leads to Decline of Spot Rates

Container lines continue to add capacity to shipping services, although demand appears to be declining.

Carrying capacity on the main westbound Asia-Europe route increased much more than usual for this time of the year after the Chinese New Year, according to new analysis from Sea-Intelligence.

In eight weeks since the start of the Chinese New Year, average carrying capacity on Asia-Europe routes among all carriers in 2025 is about 27% higher than in eight weeks after the holiday in 2024. This is probably why spot freight rates have fallen so sharply in recent weeks.

According to experts, the rate war initiated by Donald Trump will in any case lead to a further shift in the global balance of supply and demand towards overcapacity. If shipping lines want to deliver improved financial results in April and beyond, they will have to cancel more scheduled sailing trips.

Source: theloadstar.com