Damietta

  • Higher Asia Freight Rates Raise Cost Pressures on Egyptian Trade

    Shipping Arabia, September 27, 2026 – Rising container freight rates on services from Asia are adding further cost pressure to Egyptian trade, as shipping and operating expenses increase across supply chains, according to Amr El-Samdouni, Secretary-General of the International Transport and Logistics Division at the Cairo Chamber of Commerce.

    El-Samdouni said current freight quotations from Chinese ports to Damietta indicate elevated container transport costs. Rates vary significantly depending on the shipping line, route and sailing date.

    The cost of shipping a 20-foot container currently ranges from $3,350 to $4,075, while rates for a 40-foot container range from $5,100 to $5,375.

    China–Damietta freight rates remain elevated

    El-Samdouni said the published rates cover shipments from Ningbo, Shenzhen, Qingdao and Shanghai to Damietta.

    From Ningbo to Damietta, the rate on ONE’s direct service stands at around $3,350 for a 20-foot container and $5,100 for a 40-foot container.

    On YML services from Ningbo, the corresponding rates rise to approximately $3,950 for a 20-foot container and $5,150 for a 40-foot container.

    Rates from Shanghai vary more widely. A 20-foot container costs between $3,400 and $4,075, while a 40-foot container is quoted at between $5,175 and $5,375, depending on the carrier.

    Some services also include additional charges. These include an ENS fee of $35 per bill of lading, as well as overweight surcharges for containers exceeding specified weight thresholds.

    Depending on the shipment weight, overweight charges on some services can add as much as $600 to the cost of a 20-foot container.

    Higher freight costs spread through supply chains

    El-Samdouni said these freight levels directly affect the cost of Egyptian imports, particularly production inputs, raw materials and intermediate goods.

    He added that higher shipping costs can also affect the cost of Egyptian products destined for foreign markets, increasing the need for close monitoring of maritime freight market developments.

    The impact, he said, does not stop at the ocean freight rate itself. Higher transport costs can spread through the wider supply chain, affecting storage, inland transportation, insurance and port-related services.

    If elevated maritime transport costs continue for extended periods, the cumulative effect could raise the final cost of goods.

    Egypt’s ports and Suez Canal gain strategic importance

    El-Samdouni said higher maritime transport costs reinforce the importance of Egypt’s geographic position, the Suez Canal and the country’s ports.

    He said Egypt could use these advantages to attract more shipping lines and provide integrated logistics services for vessels and cargo.

    However, he stressed that improving the competitiveness of Egyptian ports depends on more than transit charges or the cost of individual services.

    According to El-Samdouni, a competitive port system also requires faster cargo clearance, improved logistics services, greater container-handling efficiency and stronger links between ports, industrial zones and distribution centers.

    Red Sea and routing decisions remain key freight factors

    El-Samdouni said marine fuel prices, developments affecting navigation in the Red Sea and the Suez Canal, and shipping lines’ decisions on vessel routing will remain important factors in determining freight rate trends during the coming period.

    He also said Egypt has an opportunity to make greater use of its strategic location by developing its ports and the Suez Canal into integrated centers for trade, logistics services and re-export activity.

    Such development, he said, could help reduce the impact of fluctuations in global transport costs while supporting the competitiveness of the Egyptian economy.

    Source: Erem Business

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