Shipping Dynamics News

In the latest issue, the freight rates of major routes continued to fall: 

The freight rate from Far East to West America was US$5,134/FEU, down US$648 or 11.21% for the week;

The freight rate from Far East to US East was US$8,801/FEU, down US$191 or 2.12% for the week;

The freight rate from Far East to Europe was US$4,441/TEU, down US$347 or 7.25% for the week;

The freight rate from the Far East to the Mediterranean was US$5,071/TEU, down US$412 or 7.51% for the week;

The freight rate of Southeast Asia route was US$591/TEU, down US$158 or 21.09% for the week;

The freight rate of the Persian Gulf route was US$2,057/TEU, down 7.8% from the previous issue.

The freight rate of the Australia-New Zealand route was US$2,797/TEU, down 2.0% from the previous issue.

The freight rate of the Australia-New Zealand route was US$2,797/TEU, down 2.0% from the previous issue.

The freight rate on the South American route was US$8,828/TEU, down US$137 or 1.53% for the week.

Among them, the routes of the West America, the Mediterranean and Southeast Asia dropped significantly last week, with weekly drops of 11.21%, 7.51% and 21.09% respectively. The highest decline was in the Southeast Asia route, with a weekly drop of 21.09%, mainly dragged down by the sharp drop in the freight rate of the Vietnam and Thailand routes.

Shipping companies and freight forwarders explained that due to inflation in the European and American markets, sluggish demand and overstocked inventory, as the supply of goods decreased, the pressure of shipping companies to fill the tank led to the phenomenon of bargaining and rushing for goods, and the decline in freight rates became a trend.

Drewry's World Containerized Index (WCI) has declined for 26 consecutive weeks, and the latest WCI composite index continued to fall sharply by 4% to US$5,985.53/FEU, down 39% from the same period last year.

Shanghai-Los Angeles freight decreased by 6% or $394 to $6,127/FEU;

Shanghai-Rotterdam freight fell 5% or $420 to $8,010/FEU;

Shanghai-Genoa freight fell 2% to $8,391/FEU;

Shanghai-New York freight fell 1% to $9,569/FEU.

Drewry expects rates to continue falling in the coming weeks.In addition, the latest Ningbo Containerized Freight Index (NCFI) closed at 2400.3 points, down 7.3% from last week. The freight index of 21 routes all fell, indicating that the market continued to be sluggish, and the freight rate of the routes decreased rapidly.

The key routes are as follows:

European route: The loading rate of the route is not good, some liner companies continue to cut prices to attract goods, and the market freight rate continues to decline. The freight index of European routes decreased by 2.1% compared with last week; the freight index of eastern routes decreased by 10.0% compared with last week; the freight index of western routes decreased by 8.6% compared with last week.

North American routes: The market demand for freight is limited. Although the liner companies have arranged for a large number of suspensions, the space is still oversupplied, and the spot market booking prices continue to fall.

Among them, the American-Western route has dropped significantly, and the spot market booking price is only about US$4,500/FEU. The freight index of the US east route decreased by 4.3% compared with last week; the freight index of US west route decreased by 14.0% compared with last week.

Middle East routes: The market continued to be weak, and the spot market booking price maintained a downward trend. The Middle East Route Index fell 13.3% from last week.