Container Rates: A continued decline
Container shipping costs have continued to decline, following a consistent downward trend from their record highs during the pandemic. Currently, they are 78% lower than their peak in September 2021 , when supply chain disruptions and heightened demand drove prices to unprecedented levels.
However, despite this significant drop, shipping rates are still 59% higher than the pre-pandemic average in 2019 . This suggests that while the market has stabilized, costs have not fully returned to pre-pandemic norms. Several factors contribute to this sustained elevation, including ongoing supply chain adjustments, fuel price fluctuations, labor costs, and geopolitical influences affecting global trade routes.
Although prices have come down considerably, businesses must continue monitoring market conditions as shipping costs remain above historical levels.
Airfreight Rates on the rise
After steadily declining following the Q4 2024 peak season , airfreight rates have risen for the first time since November 2024 . This increase is driven by several key factors, including tightened cargo capacity, fluctuating fuel prices, and shifting market demand . Reduced passenger flights on major trade routes have further constrained available air cargo space, while seasonal restocking and supply chain adjustments have contributed to renewed upward pressure on rates.
EU Trucking Reforms: Addressing the driver shortage
The European Union is implementing significant reforms to its trucking regulations to address the persistent driver shortage and enhance road safety.
Lower minimum age for truck drivers
To attract younger individuals into the trucking profession, the EU plans to reduce the minimum age for obtaining a truck driving license from 21 to 18 years. Additionally, 17-year-olds may be permitted to drive trucks within their home country under supervision, allowing them to gain early experience.
Accompanied driving program
An "accompanied driving" initiative will enable young drivers to operate commercial vehicles under the mentorship of experienced professionals. This program aims to provide practical, supervised training to ensure novice drivers develop the necessary skills and confidence.
Increased weight allowance
The maximum weight for a Category B license will increase to 4,250 kg, allowing drivers to operate heavier vehicles, which will help address logistical challenges and improve operational flexibility.
Digital driving licenses
The EU is transitioning towards digital driving licenses accessible via smartphones, streamlining license management and reducing reliance on physical documents. Member states have a set timeframe to implement this technology, though physical licenses will remain available upon request.
Enhanced road safety measures
To improve road safety, the updated directive introduces:
Probationary period: A two-year probationary period for new drivers, enforcing stricter rules on alcohol consumption and seatbelt usage.Mandatory training: Comprehensive training on the dangers of mobile phone use while driving, awareness of blind spots, and handling hazardous conditions such as snow and slippery roads.Health assessments: Stronger health checks, including eyesight and cardiovascular evaluations, before obtaining a first-time license.
These reforms reflect the EU's commitment to modernizing the transportation sector, improving safety standards, and addressing the critical shortage of professional truck drivers across Europe.
