Weekly report of China Export Container Transport Market
This week, the China’s containerized transport market hold steady despite the downward creep of the freight rate over Europe and America services and the plunge of the composite index. On September 16th, the China Containerized Freight Index issued by Shanghai Shipping Exchange reported 996.35 points, down 0.5% from last week; while the Shanghai Containerized Freight Index came out at 1020.38 points, down 2.0% from last week, Chineesshipping reports.
Inflicted by the recessing economy and the sagging consumer confidence, the cargo volume of the Europe service was flat. It could be perceived that the limited increase of the volume during the late September, which was usually the conventional shipment rush period before the national holiday, and the consistent capacity surplus had positioned the slot utilization at 90%. The serious capacity glut left carriers cut the freight rate for the solicitation’s sake, with the bottom price falling to USD 650/TEU already. In Mediterranean service, the cargo volume showed sluggish and slot utilization merely averaged at 90% as the apparent cooling of the shipment depressed freight rate. On September 16th, the freight rate (ocean freight plus surcharges) of the voyages from Shanghai to base ports of Europe and Mediterranean service had further declined to USD 793/TEU and USD 1096/TEU, respectively down 3.4% and 2.8% from last week,
In North America service, the elapsing peak season and the indistinct pre-holiday shipment rush made the cargo volume carried on the dumping trajectory, where the slot utilization of the US west coast service slipped to 80% and the figure in US east was 90%. Most voyages of the US west coast service had lowered the freight rate by about USD 25/FEU ~ USD 50/FEU because of the gloomy behavior of the market, where the floor price had broken the USD 1500/FEU threshold. While in US east coast service the freight rate turned slack as well, with the freight rates of some of the voyages had declined by over USD 200/FEU. On September 16th, the freight indices of the US west coast service and US east coast service issued by SSE were 927.33 points and 1226.65 points, respectively down 1.2% and 1.0% from last week.
In Japan service the cargo volume hold firm recently, as the slot utilization hovered around 80%. Freight rate remained still. On September 16th, the freight index of the Japan service was 808.12 points, basically the same as last week.
In Australia service, the cargo volume slightly decreased and the slot utilization had dropped to 90%. Freight rate went down as well. Insiders claimed an end for the peak season period of the service because of the inadequate consumer confidence and the lack of cargo volume. The earnings generated from the freight restoration during mid August had been mostly offset, and plans about uplifting the freight rate in late September would be abolished. On September 16th the freight rate (ocean freight plus surcharges) of the voyages to the Australia service was USD 753/TEU, down 6.0% from last week, or down 12.5% compare with its rising period in August.
In Persian Gulf service, volume tended to curb falling as the Ramadan disappeared, where the slot utilization climbed above 85% and the plunging freight rate showed relieved. On September 16th, the freight rate (ocean freight plus surcharge) of the voyages to the Persian Gulf service was USD 849/TEU, down 2.2% from last week as the drop slightly narrowed.
The South America service was stepping into its conventional slack season, where the slot utilization slipped to about 85% and the cargo volume this week kept descending, so did the freight rate. On September 16th, the freight rate (ocean freight plus surcharges) of the voyages was USD 1953/TEU, down 3.9% from last week. Some carriers were said to control the available capacity in order to handle the coming slack season.
Inflicted by the recessing economy and the sagging consumer confidence, the cargo volume of the Europe service was flat. It could be perceived that the limited increase of the volume during the late September, which was usually the conventional shipment rush period before the national holiday, and the consistent capacity surplus had positioned the slot utilization at 90%. The serious capacity glut left carriers cut the freight rate for the solicitation’s sake, with the bottom price falling to USD 650/TEU already. In Mediterranean service, the cargo volume showed sluggish and slot utilization merely averaged at 90% as the apparent cooling of the shipment depressed freight rate. On September 16th, the freight rate (ocean freight plus surcharges) of the voyages from Shanghai to base ports of Europe and Mediterranean service had further declined to USD 793/TEU and USD 1096/TEU, respectively down 3.4% and 2.8% from last week,
In North America service, the elapsing peak season and the indistinct pre-holiday shipment rush made the cargo volume carried on the dumping trajectory, where the slot utilization of the US west coast service slipped to 80% and the figure in US east was 90%. Most voyages of the US west coast service had lowered the freight rate by about USD 25/FEU ~ USD 50/FEU because of the gloomy behavior of the market, where the floor price had broken the USD 1500/FEU threshold. While in US east coast service the freight rate turned slack as well, with the freight rates of some of the voyages had declined by over USD 200/FEU. On September 16th, the freight indices of the US west coast service and US east coast service issued by SSE were 927.33 points and 1226.65 points, respectively down 1.2% and 1.0% from last week.
In Japan service the cargo volume hold firm recently, as the slot utilization hovered around 80%. Freight rate remained still. On September 16th, the freight index of the Japan service was 808.12 points, basically the same as last week.
In Australia service, the cargo volume slightly decreased and the slot utilization had dropped to 90%. Freight rate went down as well. Insiders claimed an end for the peak season period of the service because of the inadequate consumer confidence and the lack of cargo volume. The earnings generated from the freight restoration during mid August had been mostly offset, and plans about uplifting the freight rate in late September would be abolished. On September 16th the freight rate (ocean freight plus surcharges) of the voyages to the Australia service was USD 753/TEU, down 6.0% from last week, or down 12.5% compare with its rising period in August.
In Persian Gulf service, volume tended to curb falling as the Ramadan disappeared, where the slot utilization climbed above 85% and the plunging freight rate showed relieved. On September 16th, the freight rate (ocean freight plus surcharge) of the voyages to the Persian Gulf service was USD 849/TEU, down 2.2% from last week as the drop slightly narrowed.
The South America service was stepping into its conventional slack season, where the slot utilization slipped to about 85% and the cargo volume this week kept descending, so did the freight rate. On September 16th, the freight rate (ocean freight plus surcharges) of the voyages was USD 1953/TEU, down 3.9% from last week. Some carriers were said to control the available capacity in order to handle the coming slack season.