Seoul
Container shipping costs from South Korea to the United States and Europe fell in August, reflecting uncertainties in global trade caused by Washington’s tariff measures, the Korea Customs Service reported on Monday.
Shipping rates for two twenty-foot equivalent units (TEUs) bound for the U.S. west coast dropped 3.9 per cent from the previous month to 5.28 million won ($3,802). Costs to the U.S. east coast fell even more sharply, down 7.5 per cent to 5.84 million won. The agency noted that freight rates to both regions have declined for two consecutive months after briefly rising in June.
Rates to the European Union also slipped 4.3 per cent on-month to 3.77 million won. In Asia, shipping costs to China plunged 16.9 per cent, while rates to Vietnam dropped 21.4 per cent. In contrast, freight charges to Japan increased by 2.4 per cent, reaching 727,000 won.
Meanwhile, South Korean shipbuilders continue to secure strong orders despite softer freight rates. HD Korea Shipbuilding and Offshore Engineering Co. announced a 651.9 billion-won ($469.6 million) contract to build four container vessels for a British Virgin Islands-based shipping firm. The ships will be built at HD Hyundai Samho Heavy Industries and delivered in the second half of 2028.
With this deal, HD Korea Shipbuilding has secured contracts for 90 vessels valued at $12.2 billion so far in 2025, achieving nearly 68 per cent of its annual order target of $18.05 billion. The company, a subholding of HD Hyundai Co., operates through three affiliates, including HD Hyundai Heavy Industries and HD Hyundai Mipo Dockyard.
