Weekly Commentary on China Containerized Transportation

Zhu Pengzhou

In the week ending Aug.8， China export box market sees transport demand stable overall， but different services have diversified performance， making freight rate ups and downs， and index in consolidation.

On Aug.8， China （Export） Containerized Freight Index （CCFI） issued by Shanghai Shipping Exchange （SSE） quotes 1112.05， up by 1.4% from last week； while Shanghai （Export） Containerized Freight Index （CCFI） issued by SSE falls by 2.0% to 1171.63 points.

Cargo volume keeps stable in the Europe service in the peak season， but fright rate is not stable， impacted by the increasing vessel capacity.

The average slot utilization rate keeps between 90% and 95%. Box liners are not confident in keeping freight rate， and spot rate decreases largely. On Aug.8， the spot rate in the Shanghai-Europe service （covering seaborne surcharges） quotes USD1341 per TEU， falling by 7.8% from last week.

In the Mediterranean service， cargo volume performs stable overall， where the demand/supply condition is better than that in the Europe service.

Part of box carriers reduces freight rate slightly. On Aug.8， the freight rate in the Shanghai-Mediterranean service （covering seaborne surcharges） quotes USD1613 per TEU， down by 0.3% from one week ago.

In the North America service， good economic fundamental and positive consumption trend spur the positivity of box carriers. Most box liners keeps freight rate at the present level. Cargo volume in the USWC service is pushed upwards by the positive attitude towards the post market. In the USEC service， vessel spot is tightened for a long time， and spot rate keeps on the high level， supported by the high level of average slot utilization rate. On Aug.8， the freight index in the USWC and USEC services quote 974.59 points and 1310.77 points， up by 1.6% and 3.1% comparing with that last week respectively.

Cargo volume keeps increasing in the South America service. Benefited from the temporary measurements to cease voyage by part of box carriers， demand/supply condition goes better， with the average slot utilization rate amounts to be 95% around. Encouraged by the better performance of the market， box liners， who took stand-by attitude carries out freight rate increase plan， which spurs spot rate to increase by USD300-USD600 per TEU. On Aug.8， the freight rate in the Shanghai-South America service （covering seaborne surcharges） surges by 20.7% from last week to USD 1742 per TEU.

In the Persian Gulf service， despite the end of Ramadan， cargo volume improves unsatisfactorily. Simultaneously， depressed by the extra vessels， spot rate goes downwards. On Aug.8， the freight rate in the Shanghai-Persian Gulf service （covering seaborne surcharges） quotes USD965 per TEU， diving by 7.2% against last week.

Cargo volume slips this week in the Japan service， where the average slot utilization rate keeps at around 60%， with spot rate stable. On Aug.8， the freight index in the China-Japan service quotes 617.07 points， up by 1.4% against last week.

（Please contact the Information Dept of SSE for more details.）