Freight Market Update – August 2026
Transpacific rates remain elevated as equipment shortages, tariff-driven demand, and limited capacity continue to pressure ocean and air freight markets. See what shippers should expect throughout July.
This Month:
- Transpacific ocean freight rates have softened from July’s historic highs, although overall shipping costs remain elevated.
- Space to the U.S. West Coast has improved following additional carrier deployments, while East Coast and Gulf Coast capacity remains tight.
- Panama Canal restrictions, fuel surcharges, and weather disruptions in South China continue to impact costs and schedule reliability.
- Carriers are adjusting Asia to U.S. service networks heading into September to better align capacity with current demand.
- Transpacific air freight conditions remain especially tight from Taiwan and Korea as AI server and semiconductor demand absorbs available capacity.
Download the August 2026 Freight Market Update [PDF]
Market Overview
Transpacific ocean freight rates have begun to soften from July’s historic highs, but shippers continue to face elevated costs due to fuel surcharges, Panama Canal restrictions, and weather-related disruptions in South China.
Conditions are improving on U.S. West Coast services as carriers deploy extra loaders and increase available space. However, East Coast and Gulf Coast services remain significantly tighter due to Panama Canal draft restrictions and limited carrier deployments.
Space and Capacity Conditions
U.S. West Coast
Space availability has improved following the deployment of extra loaders in late July and early August, helping ease some of the capacity pressure seen in previous months.
Despite the improvement, cargo rollovers remain common on high-volume lanes from Shanghai and Ningbo to Los Angeles and Long Beach. Premium services offering guaranteed loading also remain heavily utilized, although base allocations have improved.
U.S. East Coast and Gulf Coast
East Coast and Gulf Coast services remain considerably tighter. Panama Canal draft restrictions continue to reduce effective vessel capacity, while carriers prioritize high-yield cargo and premium bookings.
Gulf Coast routings, including Houston and Mobile, remain particularly constrained, with bookings recommended three to four weeks in advance. U.S. East Coast importers also continue to face an elevated risk of cargo rollovers.
Blank Sailings Continue to Impact Capacity
Blank sailings remain a significant factor in August, particularly on Asia to U.S. East Coast services. Carrier cancellations and service adjustments are limiting available capacity, while the U.S. West Coast has remained comparatively more stable.
Shippers should continue booking early, accounting for potential surcharges, and considering alternative routings where appropriate.
Carrier Network Changes
Several major carrier alliances are adjusting their transpacific networks from late August through early September.
Ocean Alliance
Ocean Alliance will adjust three Asia to U.S. West Coast services, including two Pacific Southwest loops and one Pacific Northwest loop.
The changes include revised calls across Port Klang, Laem Chabang, Haiphong, Yantian, Shanghai, Busan, Los Angeles, Oakland, Vancouver, and Seattle. The adjustments are intended to better align available capacity with current demand.
Premier Alliance
Premier Alliance is expanding its EC3 service to capture additional demand from Central and North China, adding coverage through Tianjin and Qingdao before continuing through Asia to U.S. East Coast ports.
Severe congestion in Shanghai following typhoon disruptions and vessel bunching is also prompting the alliance to temporarily skip Shanghai calls on several services. Affected Shanghai cargo will instead be transshipped through Busan for onward connection.
Gemini
Gemini is adding a direct Oakland call to its TP7/WC5 service, expanding U.S. West Coast coverage.
The updated eastbound rotation will include Yokohama, Busan, Ningbo, Los Angeles, and Oakland.
Air Freight Market Update
The transpacific air freight market continues to show significant regional differences.
Taiwan and Korea remain extremely tight, with load factors approaching 90% as strong demand for AI servers and semiconductor exports absorbs available capacity. This high-tech demand continues to support elevated rates even as consumer and e-commerce volumes soften.
Conditions are more balanced in North China and Hong Kong, where rates are easing and space is becoming more accessible. South China remains relatively stable, although typhoon-related disruptions continue to create delays that can affect air cargo flows.
What This Means for Shippers
While improving West Coast capacity and softer ocean freight rates offer some relief, conditions remain uneven across the transpacific market.
Shippers using East Coast and Gulf Coast services should continue planning well in advance due to tight space, Panama Canal restrictions, and rollover risks.
For air freight, shipments originating in Taiwan and Korea should be pre-booked two to three weeks in advance. Where possible, South China routings may offer more stable pricing and space availability.
Looking Ahead
The transpacific market is entering a period of adjustment following the sharp rate increases and capacity constraints seen earlier this summer.
Carrier network changes scheduled for late August and September may provide additional options on some trade lanes, but blank sailings, weather disruptions, and capacity constraints remain important risks.
J.M. Rodgers Co. will continue monitoring carrier advisories, space availability, and market developments as conditions evolve.
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