Global Freight Rates Surge to Two-Year High Amid Geopolitical Instability and Supply Chain Disruptions

Global maritime freight rates have reached their highest level in two years, driven by geopolitical instability, shifting trade policies, and disruptions to key maritime corridors. Shipping costs for a 40-foot container from China to the U.S. East Coast have increased by 62% in a month, and to the Mediterranean by 47%. Rerouting vessels around the Cape of Good Hope due to Red Sea security risks is a major contributing factor, reducing effective shipping capacity and increasing transit times.