“Tariff shockwave” causes sharp decline in global container shipping bookings

The ‘tariff shockwave’ from the US and China has caused a sharp decline in container shipping bookings, forcing businesses to re-evaluate their entire global supply chain strategies.

container shipping

Container shipping (Photo: The DCN)

After a strong start to 2025, following a recovery that began in 2023, bookings for containerized imports into the US have fallen 20% from their peak in January, although they are still 30% higher than the same period in 2024.

This sudden change is believed to be directly related to concerns about tariff increases, according to analysis from container data company Vizion. Shippers, reacting to information about tariff increases, rapidly frontloaded shipments to beat potential cost hikes. However, as tariff uncertainty escalates, the impact on trade flows is becoming more apparent.

In the period from March 24–31 to April 1–8, the global logistics industry saw a dramatic decline across many sectors, in what Vizion calls a “tariff shockwave”:

• Global container volumes in TEUs fell 49%.
• Total imports into the US fell 64%.
• Exports from the US fell 30%.
• Imports from China to the US fell 64%.
• Exports from the US to China fell 36%.

These numbers coincide with the Trump administration announcing new tariffs on April 4, followed by China’s retaliatory actions on April 5. The result was a widespread freeze in shipping bookings as shippers paused to reassess their logistics and trade strategies.

major-week-over-week-drop-in-ocean-bookings

Source: Vision

Taking a closer look at individual product groups, the impact is stark. Comparing the two weeks of March 24–30 and March 31–April 6, several sectors saw sharp declines in US import orders:

• Apparel and accessories: down 59%
• Wool, fabrics and textiles: down 57%

As reported, these are seasonal and non-essential industries, which are often the first to respond to economic and policy changes. Their sensitivity to price and consumer demand fluctuations makes them an early indicator of broader trade trends.

The impact on manufacturing inputs from China has been equally severe, especially in key commodities such as:

• Plastics: down 45.4%
• Copper: down 31.1%
• Wood: down 24%

These are important materials in industrial and manufacturing supply chains that are already under heavy pressure from tariffs. The situation became even more tense when on April 10, the White House announced new tariffs on Chinese goods of up to 145%, including the previously announced 125% tariff plus a 20% import surcharge.

Vizion said data showed that shippers initially increased shipping to “avoid tariffs,” then quickly stopped as the situation worsened.

Looking ahead, the remainder of 2025 is likely to be dominated by uncertainty. With other trading partners enjoying 90-day tariff deferrals, Vizion warns that importers and exporters should brace for continued volatility — reflected in erratic demand, shortened order cycles, and a major reshuffling of global sourcing strategies.

See more: