July 10, 2026 - Global shipping consultancy Drewry published the weekly Intra-Asia Container Index (IACI) report on July 10, reflecting obvious cooling momentum across Asia short-sea shipping market.
After months of strong early peak demand driven by RCEP regional trade and supply chain shift, cargo pre-loading momentum gradually weakened in July. The IACI benchmark index fell for three straight weeks, with major export lanes witnessing obvious spot price corrections. The freight rate from Shanghai to Manila dropped 10% week-on-week to USD 497 per 40FT container; Shanghai to Ho Chi Minh slipped 6% to USD 858 per 40FT, while Shanghai to JNPT in India declined 13% within a single week.
The improvement of port operation efficiency is one key factor easing market tension. Congestion pressure at Manila Port has been greatly relieved, with average vessel waiting time reduced by 7.8 hours week over week. Major terminals in Vietnam, Thailand and Malaysia also optimized berth scheduling and container yard management, lowering the risk of vessel delays and blank sailings. Even so, analysts emphasized that current intra-Asia freight rates are still nearly 90% higher than pre-conflict levels, and the market has not entered a sustained downward cycle.
Industry participants pointed out that this round of price adjustment belongs to a short-term correction after rapid rises rather than long-term trend reversal. As manufacturers launch year-end holiday inventory preparation from September onwards, cargo volume is expected to rebound again. Many shipping carriers have reserved space for potential peak demand and may implement general rate increases once cargo momentum recovers.
Freight forwarding companies issued targeted operational suggestions for exporters engaging in ASEAN and South Asian trade. Firstly, make full use of the current stable market environment to lock medium-term space agreements and avoid sharp price swings later. Secondly, continue to pay close attention to port schedule changes in the Philippines, Vietnam and Indonesia. Thirdly, properly allocate shipments among multiple loading ports to disperse logistics risks. In addition, enterprises can combine sea-truck multimodal transportation schemes to improve the flexibility of cross-border delivery to inland Southeast Asian cities.
