Indian exporters are expected to face a steep rise in freight rates following U.S. President Donald Trump’s decision to pause reciprocal tariffs for 90 days. The temporary relief, announced on April 9, reduces tariff levels to 10% for countries including India, while continuing to exclude China. The development has triggered a wave of front-loaded shipments, leading to a surge in demand for container space. Industry experts say the freight rate hike could reach double digits as exporters scramble to dispatch consignments before the 90-day window closes. This spike mirrors a global trend. According to Drewry’s World Container Index, the cost of shipping a 40-feet container increased by 3% to $2,265 last week. Ajay Sahai, Director General and CEO of the Federation of Indian Export Organisations (FIEO), said, “The exporters’ rush to ship consignments before the 90-day deadline is expected to lead to a double-digit spike in freight rates to the US. Post-deadline, rates could soften.”
