US-China Trade Woes Drive Record Container Blank Sailings

Container lines are canceling sailings between China and the US at record-breaking levels, a pace unmatched since the height of the COVID-19 pandemic. Tariff-related market distortions and declining US demand have forced carriers to prioritize rate stability over profitability, with operating margins dipping below breakeven on several key routes.

Data from project44 shows 67 sailings from China to the US and 71 in the opposite direction were canceled this month alone. Year-to-date, blank sailings on US-linked routes have surged 75%, with imports from China down for five consecutive months and exports declining for nine months.

Carriers are using capacity withdrawal as their primary lever to stabilize rates, while most shippers have maintained sourcing patterns, adjusting shipment timing to navigate tariff volatility. Analysts note that freight rates remain pressured, particularly following China’s Golden Week holidays, and warn that weak spot rates may impact 2026 contract negotiations.