Forklift loading container

Asia–UK ocean market faces volatile October as capacity shifts

UK importers face an unusually volatile October as falling Asia–Europe freight rates collide with excess scheduled capacity, returning Suez services, short-notice blank sailings and continuing disruption across Asian ports.

Ocean carriers are attempting to halt a 12-week decline in Asia–Europe rates with increases planned for the second half of October. However, the traditional slowdown following China's Golden Week (1–7 October) could make those increases difficult to sustain unless carriers withdraw significant capacity.

For shippers, lower underlying demand may therefore bring temporarily cheaper freight but not necessarily more reliable supply chains.

Golden Week creates a capacity imbalance

Asia–North Europe scheduled capacity is unusually high. Around 1.5m TEU is scheduled across the four-week Golden Week period, 27% more than last year and 60% above pre-pandemic averages.

But those figures overstate the amount of genuinely new capacity entering the market.

Typhoon disruption and severe congestion at Chinese ports have pushed vessels significantly behind schedule. As delayed ships return to service alongside their normally scheduled counterparts, 12 double sailings are expected across Asia–Europe and Mediterranean services during the first two weeks of October.

At the same time, Golden Week factory closures will reduce export volumes.

The result could be a rapid shift from constrained effective capacity to temporary oversupply as delayed vessels return and cargo volumes fall.

Carriers are likely to respond with significant blank sailings, potentially announced at relatively short notice. That could leave mid-to-late October schedules particularly vulnerable to cancellations, rolled cargo and departure changes.

Suez return adds more effective capacity

The gradual return of Asia–Europe services to the Suez Canal adds another variable.

Faster Suez routings effectively release vessel capacity because ships can complete round voyages considerably faster than when sailing around the Cape of Good Hope.

Asia–North Europe services remain cautious, but the shift is gathering pace. Around 30% of backhaul capacity was using Suez during September, with this expected to reach approximately 40% in October.

Several additional services are now moving back to the canal, primarily to return delayed vessels to Asia more quickly following severe port congestion.

For UK importers, increased Suez utilisation could eventually support shorter transit times and greater capacity. In the immediate term, however, changing vessel rotations and the possibility of further network adjustments add even more uncertainty to schedules.

Security conditions in the Red Sea also remain fluid, meaning carriers retain the option of reverting to Cape routings if their risk assessments change.

Reliability remains the bigger concern

Freight rates from Asia to North Europe have been under pressure for some time, which is why carriers have announced increases for the second half of October in an attempt to reverse that trend.

But price is only part of the equation. Multiple typhoons in seven weeks created severe disruption at Shanghai, Ningbo-Zhoushan and Yantian, with berthing delays extending up to 14 days, with on-time performance on services falling to just 62% in August, while average delays for late Asia–Europe vessels reached five days.

Residual disruption is expected to continue through October as vessel bunching, accumulated container backlogs and post-Golden Week capacity adjustments work through the network.

The immediate risk for UK importers is therefore less about a shortage of nominal vessel capacity and more about whether booked capacity operates when expected.

European disruption adds another risk

Conditions at destination also require attention. German port workers are currently voting on authorisation for indefinite strike action after rejecting the latest employer wage offer. The ballot closes on 1 October, with Hamburg, Bremen, Bremerhaven and other major German ports potentially affected if industrial action follows.

German freight interests are already preparing for possible restrictions affecting terminal handling and pre- and on-carriage.

While this does not directly affect UK ports, significant disruption at major North European gateways could create wider network effects as carriers adjust rotations and cargo moves through alternative ports.

The transatlantic market is moving differently. Europe–US East Coast spot rates remain substantially above last year's levels, while carriers are managing winter capacity through blank sailings. This makes early allocation planning particularly important for exporters relying on North Atlantic services.

Flexibility will matter through Q4

October therefore presents an unusual combination for Asia–UK shippers.

Underlying rates are soft, substantial scheduled capacity is entering the market and shorter Suez routings are gradually restoring effective vessel supply. Yet congestion, poor schedule reliability and likely carrier capacity management mean the operational environment could remain unpredictable, with rates likely to harden.

Shippers should consequently avoid interpreting softer rates as a signal that the market has normalised.

Metro's established carrier relationships and extensive global network give our teams access to multiple services, routings and consolidation options across the Asia–UK trade. By monitoring capacity, schedules and gateway conditions, we can identify alternatives when blank sailings, congestion or network changes threaten planned movements.

Talk to Metro about your Q4 Asia–UK requirements and how alternative carriers, routings and consolidation options can provide greater flexibility as the market adjusts.

Aircraft and moon

Airfreight market strengthens as peak season nears

Global air cargo demand and rates are strengthening ahead of the traditional peak season, with rising volumes, firm pricing and higher fuel costs creating a more robust market as October begins.

The latest TAC Index and WorldACD data point to increasing momentum as the industry moves towards its busiest months, although conditions continue to vary significantly by trade lane.

The global Baltic Air Freight Index gained a further 0.6% in the seven days to 28 September, extending a series of modest weekly increases and leaving rates nearly 22% above the same point last year.

Meanwhile, WorldACD recorded a fourth consecutive weekly increase in global chargeable weight in week 38, with tonnages rising 2% week on week and 8% year on year.

Demand builds across major origin markets

The underlying demand picture is increasingly positive. Asia Pacific remained one of the strongest contributors, with origin tonnages 11% higher year on year. North American volumes increased 14% week on week following the Labor Day dip and were 8% above last year's level, while European origin volumes were 6% higher year on year.

Rates are also substantially above 2025 levels. WorldACD's average worldwide full-market rate was 24% higher year on year in week 38, while average spot rates were 33% higher.

Asia Pacific spot rates were 30% above last year, with Europe up 29% and North America 34%.

TAC Index data for the following week suggests that firmness continued into the end of September, with its global index extending its year-on-year increase to 21.7%.

The backdrop is being reinforced by significantly higher fuel costs. TAC reported that jet fuel prices were 106% above their level a year earlier by 25 September, adding another source of upward pressure as the market approaches peak.

Asia markets gather momentum

Asia is likely to be central to the developing peak-season picture. TAC recorded a 3% weekly increase in its Hong Kong outbound index during the week to 28 September, taking it 20.6% above last year. Rates from India also increased strongly, while China-Europe pricing continued to firm as the market adjusted following changes affecting low-value parcel traffic.

WorldACD similarly recorded further increases in Asia Pacific-Europe spot rates during week 38, including gains from mainland China, Hong Kong, Japan and South Korea.

The transpacific remains particularly strong. Asia Pacific-US demand was 13% higher year on year, including significant growth from South Korea, Japan and China. Average spot rates on the trade were broadly stable week on week but approximately 40% above their level a year earlier.

The picture towards Europe is more mixed. China and Hong Kong volumes have yet to recover fully from the disruption that followed the removal of the EU de minimis exemption in July, but pricing has begun moving higher on several key origins.

Golden Week adds to peak-season pressure

Attention is now turning to China's National Day Golden Week (1–7 October), which follows closely behind the Mid-Autumn Festival (25–27 September) and compresses production, export handovers and freight planning into a short period.

Metro’s local partners are already reporting stronger general cargo demand from North China as shippers move goods before the holiday, while transpacific demand from Southern China is also increasing.

Available capacity and additional charter operations have so far helped contain more dramatic rate movements. However, the combination of recovering volumes, firm year-on-year pricing, higher fuel costs and the traditional Q4 uplift creates the potential for conditions to tighten further as October progresses.

Worldwide international capacity was only 4% higher year on year in week 38, compared with an 8% increase in tonnage. Capacity also remains constrained in some markets affected by geopolitical disruption, particularly the Gulf.

Early planning for the Q4 peak

The latest figures do not point to a uniform capacity squeeze, but they do suggest that the airfreight market is entering peak season from a considerably stronger position than a year ago.

With demand building, rates already elevated year on year and conditions varying sharply between origins and trade lanes, access to the right capacity at the right time will become increasingly important through the final quarter.

Metro's global airfreight network, carrier relationships and flexible routing options help customers secure capacity and respond quickly as market conditions change. 

If you have time-critical, high-value or peak-season shipments planned for Q4, talk to our airfreight team about protecting capacity and keeping cargo moving.

The Suez strikes back

Suez returns as Middle East shipping risks intensify

Container lines are restoring services through the Red Sea and Suez Canal, promising shorter Asia–Europe transits and more effective capacity. But the security picture around the Middle East’s critical shipping chokepoints is becoming more complicated, not less.

More Asia–Europe services are returning to Suez after almost three years of widespread diversions around the Cape of Good Hope. Yet a successful Houthi land offensive has expanded the group’s control along Yemen’s Red Sea coastline and the Bab el-Mandeb Strait.

At the same time, the Strait of Hormuz remains effectively closed to regular container services, conflict continues across the region and alternative Gulf supply chains are operating at significantly higher cost.

For shippers, this is not a straightforward return to normal. It is a more fragmented Middle East shipping environment in which routes can reopen, tighten or change at short notice.

Suez is reopening but the risk has not gone away

Container lines have steadily increased their use of the Red Sea during 2026. Almost a quarter of deep-sea capacity originally diverted around southern Africa has returned to Suez, with around 213,000 TEU of weekly capacity now moving through the waterway.

The shift is particularly advanced between Asia and the Mediterranean. More than a third of September headhaul capacity on this trade is expected to use the Red Sea, compared with around 6% between Asia and North Europe.

That transition is accelerating. Maersk and Hapag-Lloyd are moving another four Gemini Cooperation services from the Cape route to Suez during September, while other major carriers have also restored selected services.

The attraction is clear. Suez cuts substantial distance from Asia–Europe voyages, shortening transit times and allowing carriers to use vessels more efficiently. A widespread return could ultimately release the equivalent of 8% of global containership capacity currently absorbed by longer Cape routings.

That additional effective capacity is already contributing to softer Asia–Europe pricing, particularly into the Mediterranean.

However, the strategic picture at the southern entrance to the Red Sea has changed.

Recent Houthi advances have extended the group’s territorial control along Yemen’s Red Sea coastline and include Mayyun Island, which sits in the Bab el-Mandeb Strait. This gives the Houthis an even stronger position around the gateway connecting the Gulf of Aden with the Red Sea.

For now, the group has indicated that international traffic can continue unimpeded, with its restrictions focused on Saudi shipping. Container vessels have also largely avoided direct attacks for more than a year, allowing carriers to conclude that selected Red Sea transits are currently viable. 

So Suez normalisation continues. But the underlying vulnerability has arguably increased. The Houthis have retained and potentially strengthened their ability to interfere with traffic through Bab el-Mandeb should their intentions or the wider conflict change.

Shippers forum question the return

That contradiction is causing concern among cargo owners, with The Global Shippers Forum questioning whether carriers are returning too quickly given the continuing instability and the Houthis’ close relationship with Iran.

GSF director James Hookham described the increasing number of Red Sea transits as potentially a “reckless gamble”, arguing that shippers need more information about the security assessments underpinning carriers’ decisions.

Carriers maintain that safety remains the determining factor and that decisions to transit the Red Sea follow extensive security assessments informed by international and regional security organisations, with a commitment to stop transiting if there were indications that container vessels were again being targeted.

The absence of attacks on container ships for more than a year provides some reassurance. But a renewed threat could quickly send services back around the Cape, absorbing vessel capacity and extending transit times. A sudden reversal during the September and October shipping period could also disrupt cargo moving ahead of Black Friday and Christmas.

Further east, the picture is very different

The Strait of Hormuz remains severely restricted for container shipping after more than six months of disruption. Container ships have represented only around 6% of recorded inbound and outbound vessel transits during the conflict, with regular liner services largely avoiding the waterway.

Recent developments have added to the uncertainty. Iran has expanded a vessel blacklist that can potentially expose designated ships to fines, detention or confiscation, while vessels involved in transhipment with listed tonnage could also face restrictions.

Attacks on vessels have reinforced the risks, while diplomatic efforts to establish a framework for future shipping through Hormuz have stalled.

For Gulf importers, this has already reshaped supply chains.

Cargo is increasingly using alternative gateways such as Jeddah and Khor al Fakkan before moving overland. Demand for these alternatives has pushed China–Jeddah spot rates around 256% higher than before the conflict, while China–Khor al Fakkan rates have increased almost 480%.

Overland transport is consequently becoming a more important part of regional logistics. Greater use of the TIR trucking system through Iraq is opening additional options for upper Gulf markets, with some journeys between Europe, Turkey, Iraq and the Gulf dramatically reducing transit times compared with disrupted maritime routes.

But landbridges are not a direct substitute for ocean capacity. They add handling, road transport and border requirements, while growing demand is putting pressure on available trucking capacity and costs.

The wider conflict also matters far beyond Middle East cargo. Rising oil and bunker prices have the potential to feed into fuel surcharges and shipping costs across global trade lanes.

For shippers, the question is no longer simply whether a particular route is open. It is how dependable that route will remain, what alternatives exist if conditions change and how quickly cargo can be switched when they do.

Metro monitors carrier networks, regional gateways and changing conditions across the Middle East to identify emerging risks before they reach your supply chain. 

With global ocean freight expertise, alternative routing options and joined-up origin-to-destination management, we can help you balance cost, transit time and resilience, to keep your cargo moving when routes or risk change.

Cathay tailfins 1440x1080 1

Asia air freight enters autumn with momentum intact

Air cargo’s traditional summer slowdown has failed to significantly loosen the market, with resilient demand, constrained capacity and renewed growth on key ex-Asia lanes keeping pressure on space and pricing as autumn begins.

Global air cargo volumes were 6% higher year on year in August, following 5% growth in July. More recent data shows that momentum continuing into September, with worldwide chargeable weight in week 36 still 7% above the same period last year.

Asia remains central to that strength. High-tech exports, AI and data-centre equipment, manufacturing activity and e-commerce continue to support demand, while available lift has struggled to grow at the same pace.

The result is an ex-Asia market that is increasingly defined by individual origins and trade lanes rather than a single regional trend.

Capacity remains the critical constraint

Global air cargo capacity was flat year on year during August, pushing capacity utilisation three percentage points above August 2025 levels. Dedicated freighters are carrying much of the additional demand, with freighter traffic having increased almost 14% year on year in July.

Adding substantial new lift remains difficult. Delayed new aircraft deliveries and passenger-to-freighter conversion programmes are restricting expansion, while carriers have been quick to redeploy freighters towards stronger markets.

That flexibility became particularly visible following changes to European low-value import rules. Falling e-commerce traffic initially weakened China and Hong Kong–Europe volumes, prompting some freighter capacity to move towards the stronger transpacific market.

However, the European picture is now showing signs of stabilisation. China–Europe volumes returned to modest week-on-week growth during August, while Hong Kong–Europe traffic increased 6% in week 36, its third consecutive weekly rise. Mainland China volumes have also been growing by low single-digit percentages since early August.

This recovery is significant as the market moves beyond the summer period and towards the traditional fourth-quarter peak.

Ex-Asia pricing reflects a tighter market

Although global spot pricing has gradually eased from its earlier highs, it remained 24% above last year during August. The latest weekly figures also point to renewed upward pressure from Asia.

In week 36, Asia Pacific spot rates increased 3% week on week to Europe and 2% to the US. China and Thailand to Europe both rose 6%, while Taiwan increased 7%.

Across Asia Pacific as a whole, pricing to Europe stood 15% above last year, while rates to the US were 40% higher.

High-tech manufacturing hubs remain particularly firm. Recent year-on-year increases included around 25% from South Korea and Taiwan, 22% from Vietnam, 32% from Thailand and 42% from Malaysia.

The transpacific remains especially strong. AI-related equipment and other technology exports continue to support demand from Northeast and Southeast Asia, while China and Hong Kong volumes to the US have remained resilient despite significant changes to low-value import rules.

There are also signs that the initial shock from Europe's new e-commerce rules may be passing. China’s low-value exports to Europe fell sharply after the July changes, but the subsequent improvement in China and Hong Kong tonnage suggests the market is beginning to find a new balance.

That does not necessarily mean a conventional peak season is developing. Instead, shippers face a more fragmented market in which capacity can move quickly between corridors and individual origins can tighten independently.

Further pressure could come from fuel. Rising oil prices are increasing aviation fuel costs, creating the prospect of higher surcharges just as autumn demand begins to build.

For businesses moving time-sensitive cargo from Asia, the combination of resilient demand, limited capacity growth and rapidly changing trade-lane conditions makes early planning increasingly important.

Metro combines local expertise across Asia with global air freight buying power and real-time market intelligence to identify pressure before it reaches your supply chain. 

Whether you need secured capacity, alternative gateways, flexible routings or support through the autumn peak, our air freight specialists can build the right solution around your priorities and keep critical cargo moving.