Yang Ming Marine Transport Corp. said freight rates climbed in June above April and May levels, as the temporary reduction in U.S. tariffs on Chinese goods spurred cargo volumes on trans-Pacific routes.
The relief comes after Trump’s administration cut tariffs on Chinese imports to 30% from 145% for a 90-day period following trade negotiations in May. Yang Ming business director Li Ming-hui told investors that the National Retail Federation and Hackett Associates forecasts of increased U.S. container imports through August supports their optimistic outlook for the traditional peak Europe-America shipping season.
Yet uncertainties cloud the horizon. Iran’s threats to close the Strait of Hormuz have prompted some shipping companies to exercise greater caution, though Yang Ming reported no signs of actual blockade. The Taipei-based carrier, which operates 101 container ships, said its PA Alliance partners are monitoring potential disruptions to the critical waterway.
Yang Ming expects oil prices to trend higher due to geopolitical tensions and policy uncertainty. The company maintains no plans to resume Red Sea operations, where Houthi attacks have largely collapsed commercial maritime traffic.
Industry capacity pressures may ease despite peak new ship deliveries in 2024-2025, as vessel diversions and stricter carbon regulations limit effective supply growth. European port infrastructure constraints and labor shortages continue creating periodic congestion that could support rate stability.
