Container freight rates on major shipping routes lost ground this week, maritime consultancy Drewry says.
The World Container Index assessed by Drewry, a composite of container freight rates on eight routes to/from the US, Europe and Asia, is down by 2.1% to $1517/40ft container,[ds_preview] it says.
Two-year spot freight rate trend for the World Container Index:
The composite index is down by 2.1% this week and up by 13% from the same period of 2016. The average composite index of the WCI, assessed for year-to-date, is $1,551/40ft container, which is $120 lower than the five-year average of $1,671/40ft box. It is also 13% higher than a year ago, the report states.
In addition, spot rates on the Shanghai-Rotterdam route fell by $71 to $1,865 for a 40ft box this week. »The rate volatility decreased largely as the weekly decline for the same period in 2016 was $232. Similarly, overcapacity and a slow start to the peak season dragged down the Transpacific eastbound«, it is explained. The spot prices from Shanghai to New York lost $20 to reach $2,385 for a 40ft box and the rates from Shanghai to Los Angeles dropped by $77 to $1,313. The analysts expect the deferral of GRIs on the Transpacific trade to result in further rate decline next week while the Asia-Europe market is expected to remain strong.
