EXPD · 10-Q · 2026Q3 · Full report
Ocean Capacity and Pricing
EXPEDITORS INTERNATIONAL OF WASHINGTON INC · 2026-11-04 · Importance 57 · Surprise 64 · In source text
Ocean freight consolidation containers shipped increased 7% in the third quarter, while average sell and buy rates rose 52% and 61%, respectively, year over year. Rates began recovering in May as demand increased in North and South Asia, including customers accelerating shipments amid tariff exposure and geopolitical disruptions; blank sailings and other carrier capacity measures tightened supply. In the third quarter, average buy and sell rates increased 58% and 57%, respectively, from the second quarter amid strong demand, capacity constraints and port congestion out of North Asia and South Asia. South Asia container volumes rose 16% in the quarter, while North Asia volumes rose 11%; North Asia’s nine-month growth remained subdued after softer demand in the first five months.
Key facts
- Ocean freight consolidation revenues and expenses increased 63% and 73%, respectively, in the third quarter of 2026; average sell and buy rates increased 52% and 61%, respectively, and containers shipped increased 7%. source
- South Asia ocean freight and ocean services revenues and expenses increased 51% and 57%, respectively, in the third quarter of 2026, and 23% and 24%, respectively, for the nine months ended September 30, 2026; container volumes increased 16% and 11%, respectively. source
- North Asia ocean freight and ocean services revenues and expenses increased 51% and 58%, respectively, in the third quarter of 2026, primarily due to an 11% increase in container volumes and higher average sell rates. source
- Ocean freight consolidation represented 67% of Expeditors’ ocean freight and ocean services revenue for the nine months ended September 30, 2026, compared with 68% in the same period of 2025. source
- Beginning in late February 2026, Expeditors’ offices in Qatar, Bahrain, Kuwait, Lebanon, Oman, Saudi Arabia, and the United Arab Emirates were disrupted by the conflict with Iran and closure of the Strait of Hormuz. source
- Expeditors’ average buy and sell rates increased 58% and 57%, respectively, in the third quarter of 2026 compared with the second quarter, driven by strong demand, capacity constraints, and port congestion out of North and South Asia. source
- For the nine months ended September 30, 2026, ocean freight consolidation revenues and expenses increased 8% and 13%, respectively; average sell and buy rates increased 7% and 13%, respectively, and containers shipped increased 1%. source
- Expeditors’ direct ocean freight forwarding revenues increased 19% and 8%, respectively, in the three and nine months ended September 30, 2026; expenses increased 24% and 10%, respectively, due to higher shipment volumes and stronger demand. source
Impact estimates
| metric | direction | stage | expected | basis |
|---|---|---|---|---|
| revenue | positive | realized | — | Ocean freight consolidation revenues and expenses increased 63% and 73%, respectively, in the third quarter of 2026; average sell and buy… |
| operating_income | negative | realized | — | Ocean freight consolidation revenues and expenses increased 63% and 73%, respectively, in the third quarter of 2026; average sell and buy… |
| revenue | positive | realized | — | South Asia ocean freight and ocean services revenues and expenses increased 51% and 57%, respectively, in the third quarter of 2026, and… |
| operating_income | negative | realized | — | South Asia ocean freight and ocean services revenues and expenses increased 51% and 57%, respectively, in the third quarter of 2026, and… |
| revenue | positive | realized | — | North Asia ocean freight and ocean services revenues and expenses increased 51% and 58%, respectively, in the third quarter of 2026,… |
| operating_income | negative | realized | — | North Asia ocean freight and ocean services revenues and expenses increased 51% and 58%, respectively, in the third quarter of 2026,… |