Ukraine war hits container freight rates, but could Covid-19 outbreaks revive them?

Spot freight rates from Asia to North Europe hit their lowest levels in eight months Thursday, as sanctions on Russia and the spread of Covid-19 in China dampen demand.

A large drop of $560 on Tuesday helped push rates down to $12,564 per 40-foot equivalent unit (feu) on 17 March, according to the Freightos Baltic Index (FBX). That’s the lowest freight rate on the trade since the first week of July 2021.