Transport demand kept stable overall
In the week ending Sep.14, China export box transport market saw demand stable, and freight rate in many routes almost unchanged. On Sep.14, China (Export) Containerized Freight Index (CCFI) issued by Shanghai Shipping Exchange (SSE) quoted 711.55, down by 1.3% from one week ago; Shanghai (Export) Containerized Freight Index (SCFI) issued by SSE increased by 1.6% against last week to 794.10 points.
Transport demand kept stable overall in the Europe route, where capacity improved somehow as box liners adjusted capacity layout, and the average slot utilization rate slipped to around 90%. Owing to the weak market condition, box liners had no confidence on the market, with some following to hike freight rate and another reducing it, leading freight rate performing uneven. On Sep.14, freight rate in the Shanghai-Europe route (covering seaborne surcharges) quoted USD966/TEU, up by 2.4% against one week earlier. As regional main economy recovered slowly, cargo volume performed negatively in the Mediterranean route, where the average slot utilization rate was around 80%. However, most box liners hiked freight rate, causing spot rate had a large increase. On Sep.14, freight rate in the Shanghai-Mediterranean route (covering seaborne surcharges) quoted USD860/TEU, surging by 22.5% from one week ago.
As U.S. economy performed not bad, transport demand in the North America route remained stable. As Hanjin Shipping filing for bankrupt, the capacity tended to be tightened, but retrieved after other shipping companies adding capacity. Both the average slot utilization rates in the USWC and USEC routes sustained around 95%. As demand/supply condition performed balanced in general, spot rate kept unchanged. On Sep.14, freight rates in the services from Shanghai to USWC and USEC (covering seaborne surcharges) quoted USD1742/FEU and USD2447/FEU, both unchanged from one week ago.
Cargo volume was flat in the Persian Gulf route, where demand/supply condition improved unsatisfactorily. Despite of capacity limit measures, and the average slot utilization rate sustained around 80%. Owing to the large excess of spaces, part of box liners reduced freight rate marginally, causing spot rate slide depressively. On Sep.14, freight rate in the Shanghai-Persian Gulf route (covering seaborne surcharges) had a week-on-week decrease of 3.1% to USD401/TEU
As consumer demand is expected to grow but slower in the Australia economy, the average slot utilization rate remained around 90% in the Australia route, with demand/supply condition balanced. As most of box liners hold stand-by attitude, spot rate unchanged. On Sep.14, freight rate in the Shanghai-Australia/New Zealand route (covering seaborne surcharges) quoted USD519/TEU, almost unchanged from one week ago.
Transport demand kept sliding in the South America route, where impacted by the addition of capacity, demand/supply unbalanced condition worsened. For the stiffened competition, some box liners decreased freight rate at the extent of excess USD500/TEU, causing spot rate slipping. On Sep.14, freight rate in the Shanghai-South America route (covering seaborne surcharges) quoted USD2159/TEU, falling by 8.2% against one week ago.