The sea freight market continues to face seasonal pressure, with high demand and ongoing capacity management influencing conditions on major trade routes. A 90-day extension to the US-China tariff truce offers short-term stability but ongoing uncertainty.
Demand Remains Strong as Carriers Manage Capacity
Demand for sea freight remains high across major trade lanes, particularly between Asia and Europe and on Transpacific routes. To manage available space and maintain service reliability, carriers are continuing to implement blank sailings, with this capacity management remaining a focus throughout August. On Asia–Europe routes, blank sailings are being used to align supply with seasonal demand, helping to balance supply and demand, though also keeping pressure on space and contributing to sustained elevated freight rates.
These adjustments are resulting in some short-notice schedule changes that may affect certain planned shipments. However, service reliability is improved compared to earlier in the year, with schedules generally more consistent across major trade lanes.
All UK ports are currently operating normally, including London Gateway, following the resolution of recent operational issues.
Tariff Truce between US and China Extended
The US and China have agreed to extend their tariff truce by a further 90 days, pushing back planned increases that were due to take effect this week. The existing tariff levels will remain in place until 10 November 2025, giving both sides more time to negotiate.
While the extension offers some short-term relief, it does not resolve the underlying dispute. Analysts caution that the situation remains volatile, with the risk of renewed escalation later in the year if talks fail to reach agreement.
The delay may provide a brief window of stability for trade flows, but some businesses are continuing to diversify their routes and markets to reduce exposure to potential tariff shocks in Q4.
We will continue to monitor developments closely and keep customers updated as the November deadline approaches.
If you have any questions or concerns regarding your shipment, please don’t hesitate to contact our Customer Service Team at 01376 533039 or email [email protected].
