Around the world, container prices have been steadily dropping for the last 5 months but May marks the first month in 2022 where prices are starting to pick up again, with the global average for 20 DC = $2,330 (up from $2,207) and global average for 40 HC = $4,410 (up from $3,800), according to the market report ‘Where are all the containers’ published by Container xChange.
Tianjin entered lockdown in the last week of May, leading to carriers cancelling vessels, delays, and blank sailings at Tianjin and Xingang. However, China’s Ministry of Transport says that port volumes in May increased 1.7% year on year from January-May 2022, despite the lockdowns. Perhaps this is due to the pending reopening of Shanghai port in June.
The economic and political tensions in Sri Lanka are putting in stark light the Indian subcontinent’s dependence on the port of Colombo. With India making efforts to get the country an east coast transshipment terminal, the region is a hotbed of changing maritime dynamics. According to our trading insights, as of May 25, for 40DCs ocations in China and India like Chennai ($4,897), Guangzhou ($4,711), Nhava Sheva ($3,516), Mundra ($3,430), and Ningbo ($3,427) are the costliest. The trend remains similar to that of beginning of June.
Market researchers suggest that South China is a favorable location right now as no congestion has been reported in Yantian and Shekou. Good spot rates are available to the US and EU markets from these ports too.
