News
Freight rates for container exports from China fluctuated bearishly in Week 30 due to inflation and belt-tightening policies across the globe. The composite Shanghai Containerized Freight Index (SCFI), which reflects spot rates for containerized shipments from Shanghai that do not include terminal handling charges (THCs), fell 2.7% from the previous week to 3,887.85 points, having remained on the decline for seven consecutive weeks. Individually, decreases were notable on the trade routes to Europe and the Middle East Gulf.
Container rates stayed weak on the route to North America because of inflation and the tightening of the monetary policy in the U.S. Spot rates for containers to the west coast sank 0.4% to $6,694 per FEU, having remained on a downward trend for the 11th week in a row. Those for containers to the east coast went down 1% to $9,348 per FEU, which have continued to fall for 10 weeks running.
Freight rates were not favorable on the trade to Europe, either, resulting from interest rate hikes in eurozone nations. Spot rates waned 2.8% to $5,416 per TEU, having stayed negative for nine consecutive weeks. Rates diminished 3.7% to $5,971 TEUs on the route to the Mediterranean.
Spot rates slid across the board on north-south trades, with those for containers to the Middle East Gulf dropping 6.1% to $2,789 per TEU; to Australia and New Zealand, 4.66% to $2,997 per TEU; and to South America, 0.5% to $9,439 per TEU.
In intra-Asia waters, spot rates for exports to Southeast Asia remained stagnant due to the rainy season. They dipped 4.7% to $968 per TEU, having registered the fourth consecutive week of decline. On the route to Japan, rates came down 7% to $318 per TEU for those to Kansai and 12.1% to $305 per TEU for those to Kanto. Spot rates were weak on the trade to South Korea as well, which depreciated 0.3% to $352 per TEU.
