Drewry: Box Rates on East-West Routes above 5-Year Average

Image Courtesy: MSC

Spot container freight rates on the major East-West routes reached a 20-month high this week and have risen above the average of the last 5 years, according to shipping consultancy Drewry.

The latest weekly reading is USD 1,770/40ft container for the composite index, reflecting increases on individual lanes to USD 1,785 for the Rotterdam-New York index, up USD 4 this week, USD 2,210 for the Shanghai-Rotterdam index, representing a rise of USD 257, while the Shanghai-Los Angeles index was at USD 2,106, surging by USD 545.

On the back of January 1 general rate increase (GRIs), the World Container Index between Shanghai and Rotterdam rose by 13% to reach USD 2,210 this week. Drewry expects the volume upsurge on account of an early Chinese New Year to support further increases next week.

The last time the WCI composite index exceeded USD 1,700 per 40ft container was in March 2015, before the 2015/16 price war, Drewry said.

 

The World Container Index assessed by Drewry composite index, an average of spot rates on 11 transpacific, Asia-Europe and transatlantic routes, has now increased by 62% since the bankruptcy of Hanjin at the end of August 2016.

“With 2017 contract rates at risk of double-digit increases, now is the time to use the latest e-sourcing tools and strategies to help mitigate cost increases and to avoid a repeat of carrier service failures,” Philip Damas, head of the logistics practice of Drewry, said.

Share this article

Follow World Maritime News

In Depth>

Events>

<< May 2017 >>
MTWTFSS
1 2 3 4 5 6 7
8 9 10 11 12 13 14
15 16 17 18 19 20 21
22 23 24 25 26 27 28
29 30 31 1 2 3 4

CWC World LNG & Gas Series: Americas Summit

Now in its 15th year, the CWC World LNG & Gas Series: Americas Summit is the longest running LNG event in the Americas region.

Bringing together the key players in the LNG & gas value chain in both the Americas region and globally, this is the perfect place to make new contacts, do deals and get essential updates on the market.

This year we return to Houston, TX once again on 20-23 June 2017 – the heart of the energy industry, making it easier than ever to access they key players in your business.

More info

read more >

Nor-Shipping 2017

Nor-Shipping is the leading maritime event week. Their top-quality exhibition, high-level conferences and prime networking opportunities…

read more >

2ND ANNUAL PORTS AND TERMINALS INSURANCE SEMINAR

DETAILED GUIDANCE ON HOW THE INSURANCE MARKET IS CHANGING, HOW RISKS ARE ASSESSED AND WHAT…

read more >

2ND ANNUAL ADVANCED CHARTERING MASTERCLASS

The Advanced Chartering Masterclass will focus on the particularly difficult issues in charterparty agreements and our experts will help you find solutions…

read more >