Freight costs surge 372% after strike

The Express Tribune reported that export-oriented industries, including textiles, knitwear, garments and towels, have raised alarm over a steep rise in sea freight charges. Exporters estimate losses of Rs450 billion during the nine-day goods transport strike, which began on August 8, 2026. Shipping space has also become scarce, forcing cargo owners to compete for limited capacity at much higher rates.

Sea freight from Pakistan to the US West Coast now stands at $8,500 for each container, compared with roughly $1,800 earlier, an increase of about 372%. East Coast rates have climbed to $8,000 per container, a rise of around 344%. Additional charges worth as much as $1,000 per container were also imposed on August 14 and 15, while containers that missed vessels because they could not reach the port in time incurred detention and storage costs.

Export bodies, including the Pakistan Hosiery Manufacturers and Exporters Association, say increases above 300% are unsustainable and would erode margins and global competitiveness. They noted that about 65% of shipments are made on FOB terms, yet even those cargoes face space shortages, delays and the risk of losing overseas buyers. They argue that incentives alone will not meet export goals, and that the government must ensure reliable, uninterrupted and competitive logistics.