The World Container Index assessed by Drewry, a composite of container freight rates on eight major routes to/from the US, Europe and Asia, is down by 10.5 %.
The composite index is down by 10.5 % this week and down by 16.2 % from the same period of 2016 to 1,230.2 $ per 40ft c[ds_preview]ontainer. The average composite index of the WCI, assessed by Drewry for year-to-date, is 1,493 $ for a 40ft container, which is 113 $ lower than the five-year average of 1,606 $ for a 40ft container. It is also 16.2 % lower than a year ago.
Spot rates are declining steeply on the crucial East-West routes, and carriers have not pushed for mid-November rate hikes. The World Container Index (WCI), assessed by Drewry on the Shanghai-Rotterdam route, lost 195 $ from last week to reach 1,364 $ for a 40ft box. Rates are 22 % weaker than in the same period in 2016.
The rate decline on Transpacific trade is also worrying for carriers. The WCI on Shanghai-Los Angeles declined by 205 $ for a 40ft box to reach 1,352 $ this week, and rates on Shanghai-New York plummeted by 189 $ to reach 1,925 $ per feu. Rates on these routes are 24 % and 26 % less respectively than in the same period in 2016.
