As the logistics industry heads into the middle of 2025, the freight market update for June 2025 reveals a fast-moving landscape shaped by shifting rates, rising demand, and infrastructure changes. Global air and sea freight are adjusting to capacity fluctuations, while regional disruptions and policy changes continue to influence the flow of goods. Whether you’re managing international imports or exports, the trends this month underline the importance of agility in supply chain planning.
Air Freight Overview
According to IATA, Global air cargo volumes rose 4 per cent in May, reversing a 7 per cent drop in April. This rebound followed a temporary easing of tensions in US-China trade, which had previously caused a drop in transpacific movements. The Asia-Pacific region, including Australia, posted a 7 per cent year-on-year increase, highlighting strong demand. Despite that, average air freight rates fell 4 per cent month-on-month and 3 per cent compared to May 2024.
Cargo space grew 6.3 per cent year-on-year, with belly-hold capacity up 6.9 per cent and freighter space up 7.1 per cent. However, the load factor dropped slightly to 43.9 per cent, showing that supply outpaced demand. Asia-Pacific and Latin America led regional growth, with 10 and 12.5 per cent gains respectively, while other markets showed more modest improvements.
Spot rates from China and Hong Kong to the US rose slightly in late May, averaging $4.49/kg from China and $4.76/kg from Hong Kong, though still below last year’s levels. China and Hong Kong to Europe rates also increased, reaching $3.95/kg and $4.54/kg respectively. While weekly volumes fell 5 per cent, demand remains 13 per cent higher than the same time last year. April’s global demand was up 5.8 per cent year-on-year, driven by fashion and retail shipments and accelerated US imports ahead of tariff changes.
Sea Freight – Australia
The DCN reported that Brisbane has launched its Vision 2060 roadmap, planning electrified port operations, smarter cargo coordination, and expanded infrastructure to support Queensland’s growing trade. In a potential industry shift, MSC’s TiL is seeking to acquire Hutchison Ports Australia, a move that may challenge the current independent terminal structure. The ACCC is reviewing the deal for impacts on competition.
Also reported by The DCN, Port Botany is undergoing a $400 million upgrade in partnership with DP World, adding longer rail sidings and new cranes to double its rail terminal capacity to 1 million TEUs.
Terminal Conditions – June 2025
- Patrick Terminals: Brisbane, Fremantle, and Melbourne are experiencing minor delays, while Sydney faces moderate delays of 1 to 2 days
- DP World: Brisbane and Sydney are seeing delays up to 2 days due to equipment constraints. Fremantle and Melbourne are operating with minimal issues
- VICT Melbourne and FACT Adelaide report delays around 0.5 day
- AAT terminals in Brisbane and Melbourne are running smoothly, though Port Kembla expects berth congestion through early June
Sea Freight – USA & Canada
The June 1 General Rate Increase and Peak Season Surcharge have taken effect. Carriers are holding West Coast rates steady while applying GRIs to East Coast services. Demand continues to rise while capacity remains tight, especially on the Trans-Pacific Eastbound trade. Shanghai to Los Angeles rates jumped 57 per cent in a week to $5,876. Rates to New York are up 39 per cent to $7,413. Spot airfreight from China to the US has surged past $9.00/kg. FCL spot rates are now approaching USD 10,000 per FEU.
Capacity Trends
Ocean carriers have added 397,000 TEUs to the Asia–NAWC corridor across June and July, reflecting a 12 to 16 per cent increase from earlier levels. Utilisation has topped 85 per cent. Blank sailings are declining, down to 13 per cent this week and projected to drop to 9 per cent next week. Southeast Asia is experiencing strong demand ahead of the July 9 tariff pause deadline, reducing available space. In Houston, exporters are facing extended delays for cargo moving to Central America due to regional port congestion and equipment shortages. Transit times are doubling in some cases, and bookings are increasingly limited.
Terminal Reliability
New York and New Jersey terminals are struggling with appointment congestion and difficulty returning empty containers. Los Angeles and Long Beach report average cargo dwell times of 3.4 to 4.7 days. Savannah dwell times have reached nearly 6 days. Norfolk is experiencing delays up to 12 hours, and Seattle-Tacoma terminals are reporting variable wait times with slow empty returns.
Sea Freight – Asia to Australia
Although June is normally a quiet month for China–Australia trade, carriers have removed up to 20,000 TEUs of capacity through blank sailings and vessel changes. This led to a General Rate Increase pushing rates from $600–700 to $800–900 per TEU, with premium carriers pricing as high as $1,200.
Key Drivers Behind the Rate Rise
Rates in May fell below cost, prompting carriers to raise prices. Carriers are aiming to improve spot market benchmarks before contract renewals begin in July
Effective Rate Dates
- North and East China: Rate changes effective June 15
- South China: New pricing starts June 22
Rate Breakdown
- Competitive services: $850 per TEU from North China to Australian east coast ports
- Limited-sailing services: $950 per TEU with low availability
- Premium carriers: Holding firm at $1,100 to $1,200 per TEU
- Rates in South China hold at $750 until June 21
GRI Announcements
OOCL, COSCO: USD 300 from June 15
ANL: USD 300 from July 1 for Asia-Pacific exports
Capacity Outlook
MSC has pulled four sailings and downgraded one vessel from 9,000 to 6,500 TEUs. These changes will remove nearly 20,000 TEUs from the lane. CMA CGM, Maersk, and Hapag Lloyd are reporting equipment shortages. Carriers are prioritising Transpacific routes due to stronger returns. Southeast Asia is becoming heavily constrained, with many services fully booked through June. Shippers should aim to book at least four weeks in advance.
Sea Freight – Europe
Southbound pricing into Australia remains stable at about USD 950 per TEU. Shanghai to Rotterdam and Genoa rates rose 32 and 38 per cent respectively in late May. Direct space with MSC and CMA CGM remains tight. Some services are skipping Rotterdam in favour of Antwerp to avoid congestion. European ports are under strain due to vessel realignments, capacity injections, and labour disputes. Ports like Hamburg, Rotterdam, and Antwerp are experiencing chronic congestion, extending transit times and driving up costs.
Global Freight Trends
Drewry’s World Container Index rose 70 per cent in four weeks, fueled by a US tariff pause that triggered a wave of transpacific bookings. The Shanghai Containerised Freight Index rose 487 points on May 30, its second-highest gain ever. However, the outlook is uncertain. Over 25 per cent more capacity is expected to enter the Far East market in June, which could curb rate momentum. Around 8 per cent of the global fleet is now impacted by congestion, down from a high of 11 per cent earlier this year. Visibility into future conditions remains limited.
Final Thoughts
This freight market update for June 2025 highlights a dynamic global shipping landscape shaped by rising rates, tightening capacity, and shifting infrastructure. The freight market update June 2025 shows that while strong demand is driving current pricing trends, market stability remains uncertain. As additional capacity comes online and global trade policy continues to shift, volatility is likely to resurface.
With Q3 on the horizon, now is the time for logistics teams and freight forwarders to take proactive steps. Careful planning, data-driven forecasting, and strong partnerships will be essential to navigating the months ahead. If you’re looking to secure capacity, manage risk, or optimise your supply chain, reach out to TFG Global today to discuss how we can support your Q3 requirements.
Our team is ready to help you stay ahead of the curve.
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