News
Freight rates for container exports from China fluctuated bearishly on major trade lanes in Week 49. The composite Shanghai Containerized Freight Index (SCFI), an indicator for spot rates for ex-Shanghai container exports that do not include terminal handling charges (THCs), fell 2.8% from the previous week to 1,138.09 points. The composite index has stayed on the decline for the 25th consecutive week, but the decline in the week in question was milder thanks to capacity adjustments by shipping lines.
Spot rates on the route to the west coast of North America went down 0.3% to $1,430 per FEU, which have trended down for 29 weeks running, while those on the route to the east coast decreased 4.3% to $3,290 per FEU, which have continued to slide for 28 weeks in a row. Rates for exports to Europe slid 3.5% to $1,047 per TEU, which have stayed on a downward trend for 27 straight weeks. In contrast, those for containers to the Mediterranean improved, going up a minute 0.8% to $1,841 per TEU.
On north-south trades, spot rates for shipments to Australia and New Zealand surge 17.1% to $705 per TEU, but on other routes, rates were sluggish, waning 1.1% to $1,071 per TEU for those to the Middle East Gulf and 9.4% to $1,834 per TEU for those to South America. Spot rates for containers to Africa also diminished.
In intra-Asia waters, economic slowdowns had adversely impacted on Vietnam, which is attracting attention as an alternative point in supply chains. Spot rates were stagnant across the board, falling 8.9% to $216 per TEU for containers to Southeast Asia, which have stayed on the decline for the fifth week in a row. Shipments to Japan's Kanto region were transported at $321 per TEU, down 8%; to Kansai, at $331 per TEU, down 1.8%; and to South Korea, at $269 per TEU, down 1.1%.
