THE ocean freight market will see moderate growth in 2025, but overcapacity from new deliveries is driving down rates, according to the latest update from Taiwan's forwarding giant Dimerco

"US tariffs and shifting supply chains are accelerating the move away from China, increasing traffic from Southeast Asia and boosting Intra-Asia trade," according to the Dimerco update.

"Regulatory changes (IMO's CII, EU ETS) are raising operational costs, pushing carriers toward cleaner technologies and slow-steaming practices, which could reduce effective capacity."

Intra-Asia remains the dominant trade lane, with rising demand from shifting supply chains, it said.

North America and Europe are seeing slower growth, while emerging markets in Africa and Latin America offer expansion opportunities.

Said Dimerco Express vice president Peter Lin: "Port congestion in Europe is straining capacity and may disrupt shipping schedules, reducing availability for Asia-bound routes in the next 1-2 months.

"With US tariffs and potential port taxes on Chinese-built or operated vessels accelerating the shift away from China, Southeast Asia is absorbing a surge in manufacturing and trade flows," he said.

But without rapid improvements in vessel capacity and port infrastructure, said Mr Lin, "we're heading toward a major stress test in Intra-Asia logistics."