Logistics Intelligence: What’s New in July
As global trade conditions shift and pricing volatility continues across transportation modes, manufacturers and logistics professionals alike are recalibrating their supply chain strategies for the second half of 2025. At Euro-American Worldwide Logistics, we monitor the data behind these trends to ensure our clients are always prepared—whether planning freight budgets, reevaluating routing decisions, or negotiating contracts.
Here’s a snapshot of what’s happening now across air, ocean, and warehousing—and what it means for your supply chain.
Air Freight: Rates Climb Year-on-Year
In May, global airfreight pricing edged down 2.2% month-over-month—a slight correction following a price surge in April. Still, year-over-year, air cargo rates remain 9.1% higher, reflecting increased reliance on time-critical shipments amid geopolitical uncertainty and front-loaded orders ahead of trade deadlines.
What It Means for Shippers:
Air remains the fastest, but most expensive mode. With pricing elevated and capacity tightening on key lanes (particularly Asia to U.S.), now is the time to lock in space for urgent or temperature-sensitive freight.
Ocean Freight: Stabilizing After Steep Swings
Maritime freight rates showed mixed movement. June data indicated a 5.1% year-over-year decrease, yet a 3.8% monthly uptick, signaling renewed demand following tariff postponements. U.S. importers, anticipating higher duties post-August, have been front-loading cargo, temporarily pushing up spot prices.
What It Means for Shippers:
Expect a continued back-and-forth pattern in ocean pricing. While overall rates remain more affordable than air, proactive booking is essential to secure capacity—especially on trans-Pacific routes. Euro-American’s carrier relationships and blank-sailing visibility can help clients stay ahead.
Warehousing: Prices Dip, But Capacity Tightens Near Ports
Warehouse service rates dipped again in June, down 1.5% month-over-month, but still up 1.1% year-over-year. Vacancy rates remain elevated in some inland areas, yet coastal facilities—especially near high-volume ports like New York and LA—are seeing renewed pressure due to a wave of inbound inventory.
What It Means for Shippers:
If you’re holding goods in U.S. FTZs or bonded warehouses to delay tariff costs, now’s the time to secure long-term space. Euro-American’s GMP-compliant facilities near Boston and Worcester are ready to support life sciences, plastics, and high-value commodities with precision storage and full audit traceability.
New Orders Soft as Buyers Await Tariff Clarity
New manufacturing orders globally are showing fatigue. Out of 30 surveyed economies, 17 were still in contraction by late June, and most posted weaker numbers month-over-month. A significant contributor? Uncertainty around the August 1st U.S. tariff deadline, which has kept foreign buyers cautious and domestic inventory planners on hold.
What It Means for Supply Chains:
Expect uneven demand and cautious lead times in Q3. Our clients are advised to evaluate forecast buffers and revisit production logistics with flexibility in mind. Let our team help you create contingency plans to respond to sudden shifts in sourcing or customs policy.
Tariffs Are Higher—and Still Taking Effect
Few countries have finalized new trade terms with the United States. Notably:
- UK settled at a flat 10% tariff, despite a U.S. surplus
- Vietnam agreed to a 20% duty
- Indonesia came in at 19%
With many countries still negotiating, the blended effective tariff rate is now trending around 15–18%—a level that analysts warn could reduce global GDP by nearly 1% if offsetting trade doesn’t materialize.
What It Means for Euro-American Clients:
Tariff exposure is likely to increase in Q3–Q4. Many companies haven’t yet felt the full cost impact as cargo in transit is still clearing under legacy rules. Let us help you audit upcoming shipments, evaluate alternative HTS codes, and identify cost-saving customs strategies.
We Help You Stay Ahead of the Curve
At Euro-American, we take pride in helping our clients operate with clarity—even when the global environment is anything but clear. Our logistics experts offer strategic forecasting, cost modeling, bonded warehouse solutions, and real-time customs guidance to help you adapt as conditions evolve.
Need to reassess your freight mix or warehousing footprint before peak season hits? Contact us today to schedule a consultation.
