Container market players looking for partnerships

Uncertainties around tariffs are reshaping global trade flows, forcing container logistics players to rethink sourcing strategies and market access.

A recent survey (January 2025) revealed that 81 percent of container logistics businesses are actively building new partnerships beyond traditional trade routes, according to the latest update from Container xChange. "However, 78 percent of respondents struggle to establish reliable partnerships due to increasing geopolitical risks and supply chain disruptions."

Christian Roeloffs, Co-Founder and CEO, Container xChange says: "The trade war is set to intensify in 2025, creating major challenges for global supply chains. A key consequence will be rising shipping costs and transit times, which will particularly strain smaller container trading and leasing businesses. In the short-term, leasing companies may see higher profits but in the long run, increased costs will trickle down to consumers, dampening demand. Strategic partnerships across multiple geographies are now critical for businesses to remain resilient against mounting trade, economic and demand pressures."

Historically, trade uncertainty has led to frontloading, where importers rush shipments ahead of new tariffs. The trend has sustained demand through H22024 and into early 2025, the update added.

* Short-term: U.S. importers are expected to frontload cargo until the tariffs are fully enforced; and

* Long-term: Demand contraction remains a risk as higher costs curb consumer spending and accelerate supply chain diversification efforts.

Role of partnerships in 2025
As U.S. President Trump announces new tariff measures, nations are likely to take pre-emptive steps to build resilience against potential economic disruptions, the update added. "This could lead to the formation of strategic alliances among countries facing common threats from U.S. tariffs. Such partnerships could trigger collective strategies to counterbalance the impact of tariffs and strengthen their trade networks in an increasingly polarised global economy.

"For example, increased regional collaboration could lead to greater reliance on non-U.S. markets, creating new opportunities along emerging trade lanes (e.g. intra-Asia or South-South trade). Businesses will need to adapt quickly to changing trade patterns. Flexibility in container positioning, supply chain networks and partnerships with local operators will be critical to capturing these shifts."

Uncertainty ahead in 2025
On a year-on-year basis, Asia recorded a significant increase in average container prices in February 2025.

In Asia, average container prices jumped by 82 percent YoY in February 2025 in Vietnam. These were $1,310 in February 2024 and stand at $2,390 in February 2025 (as of February 7, 2025). Other locations like India, Middle East, Taiwan, Thailand and Malaysia have registered more than 50 percent increase in hike prices, the update added.

"As tariffs and trade tensions push suppliers and manufacturers to reconfigure their supply chains, these regions will continue to rise in importance. We expect container prices in these areas to remain stable, and in some cases, the intensifying trade wars will only further solidify their critical role in global trade. As U.S. buyers look beyond Mexico and Canada for imports, there could be increased demand for alternative suppliers in Asia, South America and Europe, reshaping traditional container routes," adds Roeloffs.

With heightened uncertainty, container traders should prioritise flexibility, diversify sourcing strategies and stay attuned to policy shifts that could redefine the global logistics landscape, the update added.