Navigating Ocean Container Tendering in Asia During Times of Volatility

How Shippers Can Achieve Both Financial Savings and Supply Chain Resilience

(By PRP International Transport & Logistic Co.)

The year 2025 has been one of the most volatile periods in recent memory for global ocean container shipping — and the Asian market has been at the very heart of it.
Ongoing US tariffs, trade wars, fluctuating spot rates, and geopolitical tensions have reshaped freight dynamics between Asia and major global destinations, including Europe, the Americas, and the Middle East.

For shippers in Asia, tendering for the next long-term ocean container contracts can feel daunting. With conditions changing so rapidly, knowing where to begin is often the hardest part.
This blog explores key strategies shippers can use to prepare budgets, negotiate effectively, and remain resilient while pursuing financial savings.

1. Start by Comparing Your Current Rate with Today’s Market

A strong starting point is to benchmark your current long-term contract rates against today’s market levels in Asia, even if that means, for now, ignoring the month-to-month volatility in both spot and long-term rates.

The spot market remains an essential factor to consider in your long-term tender strategy. While spot prices are volatile, they reveal market sentiment and help forecast where long-term rates may move.

👉 Key Action:

• Gather current long-term contract data for your main Asian trade lanes.
• Compare it with live market intelligence (e.g., Shanghai–Rotterdam, Shanghai–Los Angeles, Shenzhen–Jebel Ali).
• Identify if you are currently overpaying or underpaying relative to the market baseline.

With this direct comparison, you can begin to model how rates are likely to evolve ahead of your next tender and estimate potential reductions or increases compared to your existing contract.

2. Understand the Regional Landscape

Asia is not a single market — each trade corridor behaves differently.
For example:

• Far East → North Europe: Traditionally stable but influenced by fuel costs, Red Sea disruptions, and EU carbon regulations.
• Far East → US West Coast: Highly sensitive to tariffs, labor negotiations, and port congestion.
• Far East → South America East Coast: Exposed to capacity shifts and seasonal commodity exports.
• Intra-Asia & Asia → Middle East: Competitive yet vulnerable to geopolitical tensions and shifting alliances.

👉 Key Action:
Prioritize the corridors most critical to your supply chain and tailor tendering strategies to each one rather than applying a one-size-fits-all approach.

3. Balance Spot vs. Long-Term Contracts

During volatile periods, many shippers lean too heavily on either spot markets (to chase low prices) or long-term contracts (to seek stability). Both extremes carry risks.

👉 Balanced Strategy:

• Secure a baseline volume under a long-term contract to protect against unexpected surges.
• Leave some volume flexible to benefit from occasional dips in spot prices.
• Regularly monitor spot trends to inform renegotiation timing.

4. Leverage Data for Forecasting and Negotiation

Data-driven decision-making is no longer optional — it’s a competitive advantage.
Historical patterns, combined with live freight intelligence, help predict seasonal peaks, capacity shifts, and risk exposure.

👉 Key Action:

• Use predictive analytics to forecast rate trends in key Asian lanes.
• Incorporate schedule reliability and carrier performance metrics into tender evaluations.
• Align procurement decisions with financial goals to minimize unexpected budget shocks.

5. Factor in Risk Management Beyond Price

A common mistake during tendering is focusing solely on freight rates.
In today’s volatile market, supply chain resilience is equally critical.

👉 Risk-Mitigating Practices:

• Diversify carriers and trade lanes to reduce dependency on a single route.
• Include service reliability clauses in contracts to protect against blank sailings or sudden capacity withdrawals.
• Prepare contingency plans for geopolitical tensions, extreme weather, and port disruptions.

6. Integrate Sustainability and ESG Considerations

Regulations on carbon emissions and green logistics are reshaping procurement strategies.
More companies are prioritizing carriers that can demonstrate lower emissions and transparent reporting.

👉 Key Action:

• Benchmark carriers using carbon-emission indices.
• Highlight ESG compliance as part of tender evaluations to ensure long-term alignment with global standards.

7. Build Flexibility into Your Tender Cycles

Traditional annual tenders may no longer suit today’s environment.
Shorter, more frequent tender cycles (e.g., every 3–6 months) can allow you to adapt more quickly to market shifts while maintaining essential partnerships.

8. How PRP Supports Shippers in Asia

At PRP International Transport & Logistic Co., we understand that navigating Asia’s dynamic trade corridors requires a mix of market intelligence, flexible multimodal solutions, and reliable carrier relationships.

We assist our clients by providing:

• Real-time benchmarking of contract and spot rates across Asia-linked lanes.
• Integrated road, rail, sea, and air freight solutions for end-to-end logistics.
• Advisory support to optimize tendering strategies and mitigate supply chain risks.
• Tools to align procurement strategies with both cost efficiency and resilience goals.

📈 Key Takeaways

• Benchmark first: Always know where you stand compared to the market.
• Balance contracts: Combine stability of long-term agreements with the flexibility of spot.
• Rely on data: Forecast and negotiate with confidence.
• Think beyond price: Build resilience and compliance into your strategy.
• Partner wisely: Collaborate with logistics providers who can deliver both insights and capacity.

Conclusion

In the face of global volatility, shippers in Asia need to shift from reactive cost-cutting to strategic, data-driven procurement.
By blending financial discipline, flexible contracting, and robust risk management, businesses can secure not only savings but also long-term resilience.

At PRP International Transport & Logistic Co., we remain committed to guiding our customers through this journey — ensuring that their supply chains remain agile, cost-effective, and prepared for whatever comes next.