China Freight Rates Drop: Is Now the Right Time to Import?

After two years of record-high shipping costs, I've seen many importers put their orders on hold. But here's what I tell my clients: the freight rate drop we're seeing now is a rare window of opportunity. At the end of 2021, rates began to stabilize and decline — and if you've been waiting to import from China, this is the moment to act before Chinese New Year pushes prices back up.

Shipping from China – in the past and now

International shipping cost from China (or any country for that matter), regardless of the mode of transportation, has been high for many months. That is why shipping lines gained astronomical profits in 2020 and 2021. Since freight rates were high, importers were holding off placing orders, waiting for the situation to normalize. The moment has come; we can see freight rates decline at the end of 2021.

Here we have some freight rates comparison as of 2021:

1. Ocean freight LCL, Shenzhen – Warszawa, 20 CBM
   • July: transit time 41 days; 4120 USD
   • October: transit time 40-45 days; 3800 USD
2. Ocean freight LCL, Ho Chi Minh – Seattle, 2 CBM
   • transit time 30 days; 800-900 USD
3. Ocean freight FCL, Tianjin – Gdansk, 40’HC
   • July: transit time 44 days; 18510 USD
   • October: transit time 43 days; 16110 USD
4. Ocean freight FCL, Izmir – Amsterdam, 40’HC
   • transit time 28 days; 13100 USD
5. Ocean freight FCL, Busan – Hamburg, 40’HC
   • transit time 31 days; 14090 USD
6. Rail freight LCL, Shanghai – Zielona Góra, 13,14 CBM/780 kg
   • July: transit time 23 days; 4600 USD
   • October: transit time 24-25 days; 3500 USD
7. Rail freight FCL, Jing’ an – Gdansk, 40’HC
   • July: transit time 20 days; 17000 USD
   • October: transit time 19-20 days; 15900 USD
8. Airfreight, Yiwu – Cracow, 200 kg
   • July: transit time 10 days; 7090 USD
   • October: transit time 10-12 days; 6900-7090 USD

These examples prove that shipping costs fell and fluctuate between a thousand to a dozen or so thousand USD. It should be noted that they will not plunge to the 2019 level anytime soon. There are still some disruptions in the chain supply, like short-staffed ports and distribution centers. Freight rates are even 20 times higher than before; fortunately, the situation is getting better.

Freight rates drop; is it a good time to import?

The drop in freight rates is due to China’s coming off-season and a reduction in manufacturing because of the power crunch. Since manufacturers in many provinces halt production, speculators sell their shipping spots, and prices drop. There are more boxes available, but the ports are still congested. Even if the situation gets on track, we can expect the prices to drop even more.

Don't wait for rates to hit 2019 levels — that's not happening anytime soon. Take advantage of the current dip to place orders, but make sure your supply chain is solid. Before you commit, let China-Check verify your suppliers and inspect your goods. We'll help you avoid costly surprises while shipping costs are in your favor.