Shipping Costs from South Korea to the U.S. Surge Amid Trade Tensions

Container shipping costs from South Korea to the United States spiked last month, despite Washington’s sweeping tariff policies, as trade volume to the country increased, the customs agency reported Tuesday.

Data from the Korea Customs Service shows that in June, the average cost to ship a 40-foot container from South Korea to the U.S. West Coast jumped 16.6 percent from the previous month, reaching 6.09 million KRW ($4,395).

For the U.S. East Coast, shipping rates surged even more dramatically, climbing 23.3 percent to 6.77 million KRW during the same period.

An official from the agency explained that the escalation in freight rates was largely due to increased shipments to the U.S. However, the official noted that costs remain volatile due to uncertainties created by Washington’s tariff measures. This volatility was evident in May when shipping costs to both U.S. coasts dropped due to decreased trade volume.

In contrast, average shipping costs from South Korea to the European Union continued their downward trend, falling 0.8 percent month-on-month in June to 3.79 million KRW. This marks the sixth consecutive month of decline for EU-bound shipments.

However, shipping costs to other Asian destinations saw increases. Rates to China rose 2.7 percent to 716,000 KRW, while those to Japan increased 4.6 percent to 656,000 KRW. Vietnam-bound shipping rates also saw a significant jump, expanding 8 percent to 1.74 million KRW.

The agency clarified that these figures encompass freight rates, commissions, and other related charges as reported by local exporters. (Yonhap)