Drewry WCI decline signals eased shipping freight with higher capacity

The index was 63 per cent below the previous pandemic peak of $10,377 in September 2021 but was 171 per cent higher than the average of $1,420 in 2019 (pre-pandemic).

The average year-to-date (YTD) composite index is $3,915 per 40-foot container, $1,045 higher than the 10-year average of $2,871 (inflated by the exceptional 2020–22 Covid period).

The freight rates from Shanghai to Los Angeles decreased by 5 per cent, or $248, to $5,228 per 40-foot container. Similarly, rates from Shanghai to New York fell by 4 per cent, or $260, to $6,825 per 40-foot container.

Likewise, rates from Shanghai to Rotterdam dropped by 3 per cent, or $144, to $4,231 per 40-foot container. Those from Shanghai to Genoa also reduced by 2 per cent, or $124, to $5,086 per 40-foot container, and rates from Rotterdam to Shanghai shrank by 1 per cent, or $4, to $518 per 40-foot container.

Conversely, spot rates from Rotterdam to New York increased by 4 per cent, or $100, to $2,798 per 40-foot container. Similarly, rates from Los Angeles to Shanghai rose by 1 per cent, or $6, to $725 per 40-foot container. Meanwhile, rates from New York to Rotterdam remained stable.

Drewry expects spot rates to decrease slightly in the coming weeks due to increased capacity.

ALCHEMPro News Desk (KUL)