Container shipping costs to Middle East extend gains in August amid conflict

In August, the costs of shipping containers from Korea to the Middle East continued their upward trend, extending gains amid the ongoing geopolitical conflict in the region, reported the Korea Customs Service on Tuesday. The average shipping charge for a 40-foot container from Korea to the Middle East increased by 1.7 percent to 8.83 million won ($6,544) compared to the previous month. This upward trend has been consistent since March.

The upward trend in shipping costs was also observed for containers heading to the U.S. west coast, where the average shipping charge rose by 0.5 percent to 8.58 million won. However, the average shipping charge for containers bound for the U.S. east coast experienced a significant surge of 24.8 percent to 9.97 million won.

Contrastingly, shipping costs to the European Union experienced a notable decline of 9.4 percent to 5 million won. The reported figures encompass freight rates, commissions, and other charges provided by local exporters, as per the agency.