Freight rates between Asia and Europe rose sharply in May as attacks by Yemen’s Houthi rebels on shipping in the Red Sea intensified, reaching their highest levels on some routes.
According to the World Container Index (WCI), on the route Shanghai (China) – Rotterdam (Netherlands) the cost of a 40-foot container this Thursday was $5,270 (more than 4,800 euros at the current exchange rate). ) .
This is the highest price since September 2022, according to data from the financial agency Bloomberg.
Prices on the Shanghai-Rotterdam route rose 5.4% over the past week, but were up 70% in May.
On this route, freight rates increased by 19.5% in the first week of May, by 12.5% in the second, by 19.8% in the third, and by 5.4% for the current week.
The cost of transporting a 40-foot container from Shanghai to Genoa (Italy) also increased sharply in May – by more than 50%.
The price reached $5,693 (over 5,250 euros), the highest since early February.
On this route, freight rates increased by 15.5% in the first week of May, 11.2% in the second, 15% in the third and 3.6% in the current week.
Rising prices on routes between China and Europe had an impact on the dynamics of global indicators, according to data also published by the Spanish agency EFE.
The global WCI index grew by 55% in May to about $4,226 (more than €3,900).
Yemen’s Houthis carried out attacks on ships in the Red Sea in mid-November 2023 to inflict economic damage on Israel, in response to the war in the Gaza Strip.
These actions caused serious disruption to global maritime trade, prompting the United States and Britain to intervene militarily in Yemen with the help of other countries in the region.
The Iran-backed Shiite rebel group, which controls large swaths of central and western Yemen, recently announced it was expanding its operations in the Indian Ocean.
The rebels’ actions forced many shipowners to suspend passage through the shipping routes of the Red Sea.
Before the war between Israel and Hamas, between 12% and 15% of global traffic passed through the Red Sea, according to the European Union.
Yemen, at war for more than a decade, is considered the poorest country on the Arabian Peninsula.
Author: Lusa
Source: CM Jornal
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