Intra-Asia container rates doubled by June 2026, Drewry index shows
15 Jun 20264 min read
Summary
- Drewry's Intra-Asia Container Index rose 2% to US$959 per 40ft container in the week to 22 May 2026, nearly 75% above its level before the Iran conflict.
- The index reached a record US$1,114 in the week reported on 8 June 2026, then eased 1% to US$1,100 by 11 June, twice its pre-conflict level, according to Drewry.
- Drewry linked the rise to bunker costs, rerouting, Strait of Hormuz disruption and Christmas cargo shipped early.
Freight rates on container routes within Asia rose 2% to US$959 per 40-foot container in the week to 22 May 2026, according to Drewry’s Intra-Asia Container Index figures carried by Hellenic Shipping News, a Greece-based shipping news site. Drewry put the index nearly 75% above its level before the conflict involving Iran and tied the rise to elevated bunker costs, vessel rerouting, tighter effective capacity and continued disruption around the Strait of Hormuz.
UK maritime research consultancy Drewry builds the Intra-Asia Container Index (IACI) from weekly spot rates on 18 container routes within Asia, such as Shanghai to Busan and Shanghai to Singapore, quoted in US dollars per 40-foot container. A spot rate is the price of a single shipment booked now, as opposed to a contract rate fixed for months ahead. The lanes carry semi-finished goods and components between Asian factories, so the IACI is a direct read on what it costs to move parts around the region’s manufacturing networks.
The climb was under way by late April. The IACI rose 2% to US$890 in the week to 24 April 2026, 26% higher than a year earlier, according to Drewry’s figures for that week, which linked the strength to the US-Israel conflict with Iran. Between the two prints the index gained about 8% in four weeks.
UK maritime research consultancy Drewry builds the Intra-Asia Container Index (IACI) from weekly spot rates on 18 container routes within Asia, such as Shanghai to Busan and Shanghai to Singapore, quoted in US dollars per 40-foot container. A spot rate is the price of a single shipment booked now, as opposed to a contract rate fixed for months ahead. The lanes carry semi-finished goods and components between Asian factories, so the IACI is a direct read on what it costs to move parts around the region’s manufacturing networks.
The climb was under way by late April. The IACI rose 2% to US$890 in the week to 24 April 2026, 26% higher than a year earlier, according to Drewry’s figures for that week, which linked the strength to the US-Israel conflict with Iran. Between the two prints the index gained about 8% in four weeks.
Why a Gulf crisis moved regional rates
Drewry named elevated bunker costs, the industry’s term for ship fuel, first among the pressures behind the May rise. Every ship on the index buys that fuel, whether its route runs between Shanghai and Busan or out to the Middle East. VCA reads rerouting and tighter effective capacity as a second channel: vessels and slots absorbed by longer diversions elsewhere leave less capacity for regional loops.
Demand added a third force in June. The IACI jumped 10% to a record US$1,114 per 40ft container in the week reported on 8 June 2026, after strengthening in 11 of the previous 12 weeks, according to Drewry’s figures for that week. Drewry said the index had more than doubled since the US/Israeli attack on Iran. It attributed the jump to Western importers advancing shipments of Christmas goods and to a peak season that arrived earlier than usual, which brought more semi-finished goods and components across Asia. The same early buying showed up on long-haul lanes, where VCA reported front-loading on Asia–Europe ocean routes.
Demand added a third force in June. The IACI jumped 10% to a record US$1,114 per 40ft container in the week reported on 8 June 2026, after strengthening in 11 of the previous 12 weeks, according to Drewry’s figures for that week. Drewry said the index had more than doubled since the US/Israeli attack on Iran. It attributed the jump to Western importers advancing shipments of Christmas goods and to a peak season that arrived earlier than usual, which brought more semi-finished goods and components across Asia. The same early buying showed up on long-haul lanes, where VCA reported front-loading on Asia–Europe ocean routes.
Where the increase landed
The June gains were uneven across the 18 routes. In the 8 June print, Shanghai to Jawaharlal Nehru Port in India rose 35% to US$2,367 per 40ft container and Shanghai to Laem Chabang in Thailand rose 15% to US$1,277, according to the same Drewry figures. The return leg from Laem Chabang to Shanghai fell 7% to US$232.
Southbound and westbound boxes out of Shanghai became dearer while the northbound leg became cheaper. VCA’s reading is that cargo was flowing out of China towards assembly plants and consumer markets faster than it was flowing back. For a sourcing team moving components from Shanghai to a Thai assembly plant on spot terms, the 15% rise applied to the next booking; contract cargo is priced at the rate agreed when the contract was signed.
Southbound and westbound boxes out of Shanghai became dearer while the northbound leg became cheaper. VCA’s reading is that cargo was flowing out of China towards assembly plants and consumer markets faster than it was flowing back. For a sourcing team moving components from Shanghai to a Thai assembly plant on spot terms, the 15% rise applied to the next booking; contract cargo is priced at the rate agreed when the contract was signed.
What to watch after mid-June
The index eased 1% to US$1,100 per 40ft container in the week reported on 11 June 2026, according to Drewry’s figures published by the American Journal of Transportation, a US trade publication. Drewry said softer rates on Middle East and Singapore routes caused the dip. Port congestion at transhipment hubs and early peak-season demand for Christmas goods supported the rest of the market, and the index remained twice its pre-conflict level.
VCA’s assessment, as at mid-June 2026, is that the two forces point in different directions. If the early peak is pulling Christmas cargo forward, regional volumes should ease earlier than usual in the third quarter. If fuel costs and the Hormuz disruption persist, the fuel element of the rate will not ease with the peak. The next Drewry prints will show which of the two is setting the price of a Shanghai-to-Laem Chabang box in July.
Correction, 27 September 2026: This article was revised to correct the cause of the May 2026 rise in Drewry’s Intra-Asia Container Index. Drewry attributed it to bunker costs, vessel rerouting, tighter effective capacity and disruption around the Strait of Hormuz; an earlier version said carrier capacity discipline, separate from the Hormuz disruption, was the main driver. Unsourced statements about consecutive weekly increases, a multi-year high and named carriers holding back capacity were removed, and figures to 11 June 2026 were added.
VCA’s assessment, as at mid-June 2026, is that the two forces point in different directions. If the early peak is pulling Christmas cargo forward, regional volumes should ease earlier than usual in the third quarter. If fuel costs and the Hormuz disruption persist, the fuel element of the rate will not ease with the peak. The next Drewry prints will show which of the two is setting the price of a Shanghai-to-Laem Chabang box in July.
Correction, 27 September 2026: This article was revised to correct the cause of the May 2026 rise in Drewry’s Intra-Asia Container Index. Drewry attributed it to bunker costs, vessel rerouting, tighter effective capacity and disruption around the Strait of Hormuz; an earlier version said carrier capacity discipline, separate from the Hormuz disruption, was the main driver. Unsourced statements about consecutive weekly increases, a multi-year high and named carriers holding back capacity were removed, and figures to 11 June 2026 were added.