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International Shipping and Logistics Market Update Week 2/2026 | Phaata

The international logistics marketplace platform Phaata provides an update on the international container shipping and logistics market for routes from Asia to North America, Europe, and more for Week 2 (from January 4 - 11), 2026.

International shipping and logistics market update - Week 2/2026

International shipping and logistics market update - Week 2/2026

Download International Logistics Market Update Report Week 2 here

1. World Container Index Week 2/2026

Drewry’s World Container Index (WCI) for Week 2/2026 (January 4–11, 2026) surged dramatically by 16% compared to the previous week, reaching $2,557/FEU, driven by rate hikes on Transpacific and Asia-Europe trade lanes.

Drewry's World Container Index Week 2/2026 (Photo: Phaata)

2. Asia-North America Ocean Freight Rates

Freight rates from Asia to the US in Week 2 of 2026 (Jan 5–11) recorded a sharp increase of 20–30% week-on-week, fueled by pre-Lunar New Year cargo rushing and carrier pricing adjustments.

According to Xeneta data, Ocean Freight rates from Asia to the US West Coast in Week 2/2026 spiked by 29.8% compared to last week, reaching $2,814/FEU. This represents a 45.43% increase month-on-month.

The sharp rate hike in early 2026 compared to late 2025 reflects both seasonal factors and carrier pricing strategies.

Cause: A surge in Asia → US container demand due to pre-Tet cargo consolidation, combined with carriers implementing General Rate Increases (GRI) and reducing capacity via blank sailings to control supply.

Capacity: Vessel capacity on this route has been slightly adjusted downwards (approx. 3%), creating upward price pressure amidst the early-year peak season.

GRI Strategy: Carriers continue to announce new GRIs effective from January 15. This is an effort to capitalize on the real peak before Chinese/Asian factories close for the Lunar New Year holidays.

Forecast: Phaata predicts a "tug-of-war" on rates throughout the Tet period. Carriers will attempt to push rates up, the market will resist, and the actual closing rates will likely settle somewhere in between. Post-Tet, with Asia-US volumes expected to drop and capacity becoming excessive, Phaata forecasts rates will correct downwards, though this week remains a short-term peak.

PSS Update: With some carriers announcing the postponement of the Peak Season Surcharge (PSS) to February 1, it is highly likely that PSS will be effectively cancelled for January. This is welcome news, reducing cost burdens for shipments departing this month.

Stay tuned to Phaata International Logistics Marketplace for in-depth and fast market updates.

asia-north-america-freight-rate-update-week-2-2026

Asia-North America Freight Rates | Week 2/2026 (Photo: Phaata.com)

US Tariff Updates:

Week 2/2026 witnessed escalating legal tension in Washington. The US Supreme Court is poised to issue a ruling that could overturn the entire IEEPA tariff landscape. Meanwhile, furniture importers received good news regarding a tariff hike postponement, while businesses using Mexico as a springboard (transshipment) officially face a 50% "tariff wall."

1. Legal Spotlight: The Fate of IEEPA Tariffs at the Supreme Court

This is the most critical legal event of the year for the import community. Tomorrow (Jan 9), the US Supreme Court is expected to release opinions on pending cases. It is highly probable that the IEEPA tariff lawsuit (litigated since November) will see a result.

Scenarios & Impacts:

If the US Government Loses: CBP would stop collecting duties immediately and trigger the refund process. This would be a massive cash flow boost for businesses. However, the risk remains that the Trump Administration could re-impose tariffs via other statutes (Section 301, 232...) to fill the gap.
If the US Government Wins: The case could be remanded to lower courts, and tariffs would remain in place.
Partial Ruling: The Court could uphold some tariffs while striking down others.

Note: Justices have expressed skepticism over the Government's argument that these tariffs are to "regulate imports" rather than essentially being a "revenue-generating tax" (which the Executive Branch lacks the authority to impose unilaterally). The complexity of refunding the massive collected amounts is also a significant concern for the Court.

2. Good News for the Furniture Industry: 1-Year Tariff Hike Delay

President Trump signed a proclamation postponing tariff hikes on upholstered furniture, kitchen cabinets, and vanities. The increase (to 30% for furniture and 50% for cabinets) will be pushed back from Jan 1, 2026, to Jan 1, 2027. Thus, importers have an additional 12 months to stabilize pricing and source alternatives. Goods remain eligible for drawback and are exempt from other retaliatory tariffs (such as the 40% on Brazil or 25% on India).

3. Compliance: Mandatory CPSC eFiling

Deadlines:

General Imports: July 8, 2026.
Foreign Trade Zones (FTZ): January 8, 2027.

Requirement: Mandatory electronic filing for consumer goods regulated by the CPSC at the time of entry.

Action: Major logistics providers are beta-testing the system; businesses should register accounts on the CPSC portal early to avoid clearance bottlenecks when the regulation officially takes effect.

4. Geopolitical Restructuring: Indonesia Friendly, Mexico Closing, China Tightened

US - Indonesia: "Mending Fences": After near-collapse risks, both sides reached an agreement on core issues on Dec 23, 2025. Signing is expected in late Jan 2026. The US will eliminate tariffs on Indonesian goods that the US does not produce (palm oil, cocoa, coffee). This is a positive signal for the food and raw materials sectors.

Mexico - China: The 50% Tariff Wall: From Jan 1, 2026, Mexico officially imposes tariffs of up to 50% on goods from countries without FTAs (targeting China directly). The goal is to block the "backdoor" route that Chinese goods (especially autos and components) use to enter the US via USMCA. The "China Plus One" strategy via Mexico faces unprecedented challenges.

US - China: Long-term Semiconductor War: The US announced new tariffs on Chinese semiconductors starting June 23, 2027. "Tariff on Tariff" Mechanism: New rates will stack on top of the current 50%. This sends a clear message: The US is determined to completely remove Chinese semiconductors from the technology supply chain in the long run.

Week 2/2026 shows clear divergence in trade policy. Barriers are being raised higher against China (directly and indirectly via Mexico), while "escape routes" are opening for strategic partners (Indonesia) and essential sectors (furniture).

Stay tuned to articles on the Phaata International Logistics Marketplace for rapid and in-depth market updates.

3. Asia-Europe Ocean Freight Rates

The Asia - North Europe market in Week 2 (Jan 4 - 11, 2026) is heating up rapidly. With the Lunar New Year falling on Feb 17, shippers are aggressively executing "front-loading" strategies to avoid factory closure risks. However, this effort is meeting severe operational hurdles at both port ends (Asia and Europe) alongside the full 100% implementation of EU ETS costs. Carriers currently hold the upper hand in pricing.

On supply and demand:

Demand: The market is experiencing the traditional pre-holiday peak. Shippers are scrambling for bookings to ensure goods depart before factories in China and Vietnam cease production. Consequently, vessel utilization rates are very high across all major services.

Supply: To prevent post-Tet rate erosion, carriers have announced a new wave of blank sailings for late Jan and early Feb. Due to bad weather and congestion, many vessels are off-schedule, reducing actual supply. Tight space conditions will become acute for sailings in late January.

On Operations and Container Equipment Situation:

Congestion is occurring simultaneously in both hemispheres, strangling the supply chain:

Far East:

Shanghai & Ningbo: Pressure is mounting. Heavy fog and a surge in export cargo have increased berthing wait times to 2 to 4 days. Vessel bunching is disrupting schedules.
Equipment Shortage: A worrying signal has returned—a shortage of empty containers, especially 40' High Cubes (HC) at key North China ports. This is a "nightmare" for apparel and furniture shippers.

Europe:

Hamburg & Rotterdam: Winter storms and high yard density are causing severe delays. Berthing delays are reaching 5 to 7 days for some services.
Inland Connectivity: Barge and rail connections remain strained, slowing cargo release and the return of empty containers to Asia.

Freight Rate Developments:

Freight rates from Asia to Europe in Week 2/2026 continued to surge by 12.88% to $2,839/FEU. This is a 19.39% increase month-on-month, according to Xeneta data.

The early January FAK hike was successfully implemented.

Carriers continue to announce a second round of hikes for late January. The goal is to establish a high baseline for the entirety of 2026.

Negotiation leverage is peaking in favor of carriers. Amidst tight space and pre-Tet pressure, shippers have virtually zero ability to negotiate rate reductions.

New Regulatory Factor: The 100% EU ETS "Shock"

Crucial Change from Jan 1, 2026: The EU Emissions Trading System (EU ETS) has entered its full implementation phase. Carriers now bear 100% of compliance costs (up from 70% in 2025).

Financial Impact: Carriers are strictly enforcing new surcharge mechanisms. This complicates shipper cost structures and pushes all-in rates higher, regardless of supply-demand fluctuations.

Stay tuned to Phaata International Logistics Marketplace for in-depth and fast market updates.

Asia-Europe Freight Rates | Week 2/2026

Asia-Europe Freight Rates | Week 2/2026 (Photo: Phaata.com)

4. North America - Asia Ocean Freight Rates

Freight rates from North America (West Coast) to Asia in Week 2/2026 continued to decrease by 3.18% compared to the end of 2025, falling to $608/FEU. This represents a 7.6% decline month-on-month, according to Xeneta data.

North America (West Coast) - Asia freight rates | Week 2/2026

North America (West Coast) - Asia freight rates | Week 2/2026 (Photo: Phaata.com)

5. Northern Europe - Asia Ocean Freight Rates

Freight rates from North Europe to Asia in Week 2/2026 continued to rise sharply by 12.95%, reaching $157/FEU compared to the end of 2025. This is a 20.77% increase month-on-month, according to Xeneta data.

Container Freight rates from Northern Europe to Asia | Week 2/2026

Container Freight rates from Northern Europe to Asia | Week 2/2026 (Photo: Phaata.com)

6. Conclusion and Recommendations from Phaata

The international logistics market in Week 2/2026 is entering a phase of "forced acceleration" characterized by three core features:

1. Early-Year Rate Shock: WCI up 16%, US rates up ~30%, and Europe rates up ~13% in just one week. This confirms that the era of cheap rates has ended. Carriers hold absolute control via capacity management tools (Blank sailings) and shippers' pre-Tet panic.

2. Divergence in Rate Drivers:

US Trade (TPEB): Increases primarily due to seasonality (pre-Tet rush) and short-term supply tightening. Thus, a post-Tet cooldown is highly likely.
Europe Trade (FEWB): Increases are structural. Beside seasonality, 100% EU ETS compliance costs and port congestion/equipment shortages are long-term factors that will keep rates at a high baseline even post-Tet.

3. North American Tariff Wall: Mexico's 50% tariff on Chinese goods and the impending US Supreme Court ruling on IEEPA create the riskiest regulatory environment in a decade. "Transshipment" supply chains are officially blocked.

Recommendations from Phaata

This period demands maximum agility: "Fast Attack" on Tet cargo and "Tight Defense" on legal matters.

1. Strategy for US Trade:

Leverage Postponed PSS: With news that PSS may be pushed to Feb 1, focus all efforts on shipping in the first 3 weeks of January. This is the last chance to save costs before the market hits the holiday break.

Delay if Not Urgent: Rates are heating up (~$2,800), but are forecast to drop post-Tet. If cargo is not urgent (non-seasonal Tet goods), consider pushing shipments to late February to enjoy better rates when demand drops and excess capacity returns.

2. Strategy for Europe Trade (FEWB):

Red Alert on Equipment: The shortage of 40'HCs in North China is a testing signal. Request Forwarders to pick up empties 5-7 days early. Accept detention charges if necessary to secure equipment.

Accept ETS Surcharges: Don't waste time negotiating the removal of ETS surcharges. Instead, focus negotiations on Free Time at destination ports in Europe, where congestion is severe (5-7 day berthing waits).

3. Legal Risk Management (Act Now):

IEEPA Ruling (Jan 9): Have accounting/legal departments prepare import records from past years. If the Court rules against the Government, you need to file a refund claim immediately. This is an opportunity to recover massive cash flow.

Furniture Industry: Utilize the 1-year tariff delay (until 2027) to optimize 2026 profits, but it is mandatory to source alternatives (Vietnam, India) to be ready for next year.

4. Mexico Supply Chain Restructuring:

Businesses using Mexico as a transshipment hub for Chinese goods to the US must stop immediately. The 50% tariff and strict USMCA monitoring will make this model heavily unprofitable. Switch to direct imports or find sources with true North American/Southeast Asian origin.

5. eFiling Compliance (CPSC):

Do not wait until the July 2026 deadline. Register for a CPSC eFiling account this January to run tests. Smooth clearance will be a major competitive advantage when the new regulation causes bottlenecks for slow-moving competitors in the middle of this year.

Stay tuned to articles on Phaata.com or Phaata fanpage for rapid and in-depth market updates.