Rates from Shanghai to North Europe have been slipping since the beginning of 2014 but saw their first major tumble this week, dropping 12 percent or $188 per TEU to $1,379. “This represents the largest ever decline since the inception of the SCFI,” ICAP said in this week’s Container Market Report. “As a result, the liner industry has lost roughly $65 million in one week across the Asia-Europe trade lane. With Chinese New Year past us no doubt further declines will be seen in the weeks to come.”
Shanghai Containerized Freight Index, Mediterranean, week ending Feb. 14, 2014The rate on this trade is down 21.9 percent or $386 since Jan. 1 but are still roughly double the level seen in mid-October, when the index rate was $661 per TEU. The current rate is also up 10.3 percent year-over-year.
The rate from Shanghai to the Mediterranean is $1,414 per TEU, declining 11.3 percent or $181 per TEU this week. The rate has fallen 21 percent or $377 since Jan. 1 but remains roughly double the 2013 low of $705 per TEU on Oct. 18. The current rate is also up 17.5 percent year-over-year.
Shanghai Containerized Freight Index, U.S. West Coast, week ending Feb. 14, 2014Spot container freight rates from Shanghai to U.S. East and West Coast ports experienced a fourth week without increase in the week of Feb. 14, 2014. The spot rate as indexed by the Shanghai Containerized Freight Index to the U.S. West Coast was $2,041 per 40-foot container, down 3.2 percent or $67 per FEU from last week. Thanks to increases in the first three weeks of 2014, the current rate is up 12.5 percent or $226 from Jan. 1, but down 15.1 percent year-over-year.
The rate from Shanghai to the U.S. East Coast was $3,363 per FEU, down 1.8 percent or $63 per FEU from last week. Today’s rate is up 7.2 percent from Jan. 1, but down 5.6 percent from the same week in 2013.
The TSA carriers plan a $300 per FEU increase effective March 15, and a further May 1 increase by an amount that has not yet been announced.
