Spot prices for container shipping are now at the level of the ultimate bad year of 2016

Spot prices for container shipping are now at the level of the ultimate bad year of 2016

REACHED LOW POINT?

The free fall in which spot rates in container liner shipping between Asia and Northern Europe have fallen in recent weeks has continued this week, meaning that rates have now reached the level of 2016, a year that is still remembered by container shipping companies. continues to live on as the ultimate bad year.

According to the World Container Index by the British consultant Drewry, the decline in spot rates on the Shanghai-Rotterdam route has been particularly steady for weeks: the average rate each time falls by 10%. This is the case again this week: the rate falls from 1,172 to 1,052 dollars per forty-foot container. It is the lowest rate on the Shanghai-Rotterdam trade since June 2016, Drewry reports. Compared to the lean years of 2015-2019, the container shipping companies now have the additional problem that their costs have now risen sharply. The current deep trough in which rates have ended up follows the historically high peak of three years ago, when container shipping companies on the route managed to increase their rates to as much as $15,000.

Drewry sees a bright spot on the transatlantic route: the average Rotterdam-New York rate rose by 2%, from 1,534 to 1,564 dollars per forty-footer, while the shipping companies also managed to gain a percentage on the reverse route: from 747 to $757.

Spot prices for container shipping are now at the level of the ultimate bad year of 2016

REACHED LOW POINT?

The free fall in which spot rates in container liner shipping between Asia and Northern Europe have fallen in recent weeks has continued this week, meaning that rates have now reached the level of 2016, a year that is still remembered by container shipping companies. continues to live on as the ultimate bad year.

According to the World Container Index by the British consultant Drewry, the decline in spot rates on the Shanghai-Rotterdam route has been particularly steady for weeks: the average rate each time falls by 10%. This is the case again this week: the rate falls from 1,172 to 1,052 dollars per forty-foot container. It is the lowest rate on the Shanghai-Rotterdam trade since June 2016, Drewry reports. Compared to the lean years of 2015-2019, the container shipping companies now have the additional problem that their costs have now risen sharply. The current deep trough in which rates have ended up follows the historically high peak of three years ago, when container shipping companies on the route managed to increase their rates to as much as $15,000.

Drewry sees a bright spot on the transatlantic route: the average Rotterdam-New York rate rose by 2%, from 1,534 to 1,564 dollars per forty-footer, while the shipping companies also managed to gain a percentage on the reverse route: from 747 to $757.