Weekly Report of China Export Container Transport Market
The China export box market remained steady this week as the demand on most oceangoing services gradually returned, where the freight rate stopped dropping. On April 1st, the China Containerized Freight Index issued by Shanghai Shipping Exchange reported 1,016.25 points, basically equaling to last week; while the Shanghai Containerized Freight Index came to 1,012.63 points, up 2.3% from last week.
With the significant re-activated vessels and new-deliveries added, the aggregate capacity on Europe service continued to expand. The latest statistics from CI ONLINE showed that, as of April 1st, the capacity engaging on Far East to North Europe and Mediterranean services stood at 2.76 million TEU and 1.18 million TEU, respectively up by 11.4% and 2.3% from the beginning of this year. The surplus thus showed no sign of mitigation despite a shipment rush occurred at the end of March. Fierce competition left carriers no choice but to cut the rate for cargo solicitation, which dampened the rate to less than USD 1,000/TEU. On April 1st, the freight index of Europe service was 1,287.52 points, down 2.5% from last week. Pundits indicated that the rate, which is close to the breakeven point for some carriers now, had been dipping by about USD 300/TEU since February. In addition, lines were increasingly suffered from the increased operation costs caused by the higher fuel bills. As a result, carriers are very likely to impose a Bunker Adjustment Factor (BAF) in mid-April. Moreover, it rumors that a rate restoration, previously abolished, might be launched on May 1st as some predict that volume would go up in April as the reopen of domestic manufacturers.
In North America service there was a steady upturn. The demand thrived in US west coast service as the conventional peak season in 2nd quarter is approaching, where the slot utilization hovered around 80%. The benefits brought from the rising shipment, however, had been partly offset by the capacity influx since March. The US east coast service showed less capacity-surplus, owing to the carriers’ relatively prudent capacity management, where the slot utilization averaged above 95% and some of the ships saw laden. Some lines imposed a BAF ahead of schedule, which lifted up the rate level. On April 1st, the freight rate (ocean freight plus surcharges) for the voyages from Shanghai to base ports in US west coast and US east coast are USD 1,631/FEU and USD 2,905/FEU, respectively rose by 1.4% and 3.1% from last week.
In Japan service the cargo volume kept rising, where the slot utilization averaged around 85%. The rate slowly went up, with a slight increase of BAF for some voyages. On April 1st, the freight index of the Japan service showed 806.82 points, up 2.7% from last week.
Latest numbers from Alphaliner revealed the global capacity has broken through 15m TEU for the first time. Furthermore, the number of the idle ships has fallen to 84, or 185,000 TEU, which is a record low after 2008 November.
viernes, 8 de abril de 2011
martes, 5 de abril de 2011
CCFI Commentary Issue 13, 2011
Weekly Report of China Export Container Transport Market
This week, a marginal fluctuation turn up in the China containerized transport market, with no obvious swelling in general cargo volume. On March 25th, the China Containerized Freight Index issued by Shanghai Shipping Exchange reported 1018.25 points; while the Shanghai Containerized Freight Index came out at 989.43 points, basically no change with last week.
In Europe and Mediterranean service, the volume kept up with previous week, where the slot utilization maintained at 90%. Nevertheless, the massive new-deployed capacity lowered the freight rate, as on March 25th, the freight indices of the Europe and Mediterranean services issued by SSE reported 1320.40 points and 1317.51 points, respectively down 3.4% and 2.3% from last week. Insiders indicated that more fleets would be arranged in the service in April, so the rally is very likely be restrained if the demand couldn't maintained the current upward momentum.
In North America service, the cargo volume kept the trend in last week, and the average slot utilization reported at about 70%. Freight rate was slightly volatile. On March 25th, the freight rate (ocean freight plus surcharges) for the voyages from Shanghai to base ports in US west coast and US east coast were USD 1608/FEU and USD 2819/FEU, basically equaling to last week. The conventional peak season on the North America service in 2nd quarter is approaching, while the rate restoration plans are approaching as well. However, pundits were afraid of the huge tonnage carriers were poised to release, so the glut of capacity, as a result, in the future could put the implement force of the restoration plans into doubt, despite the strong recovery of US' economy.
In Australia and Singapore services, carriers had been cutting 20% of the total capacity since February, where the pressure of capacity surplus was relieved. Besides, the upsurging demand warmed up the slot utilization to about 80%, and the freight rate marginally fluctuated. On March 25th, the freight rate index for the voyages from Shanghai to Australia and Singapore services was 954.95 points, down 0.7% from last week.
In Japan service, the demand ascended a little. The power brownouts over the Japan and the insufficient fuel continued hampering the port operations and the inland box transports. Carriers had already imposed a PCS (Port Congestion Surcharge) for some of the voyages from Shanghai to Kanto, buoying the freight rate. On March 25th, the freight rate index of the Japan service reported 785.56 points, soared 3.1% from last week.
The USDX fell to the yearlow this week, and such slump triggered a boosting crude oil price, to which the Libya woes had contributed as well. Some believe the crude oil price will stay high for a long time. Consequently, not only would the bunker price inflate but also the recovery in most developed countries to be stagnated. And whether the growth of China export containerized market will boom steadily remains to be seen.
This week, a marginal fluctuation turn up in the China containerized transport market, with no obvious swelling in general cargo volume. On March 25th, the China Containerized Freight Index issued by Shanghai Shipping Exchange reported 1018.25 points; while the Shanghai Containerized Freight Index came out at 989.43 points, basically no change with last week.
In Europe and Mediterranean service, the volume kept up with previous week, where the slot utilization maintained at 90%. Nevertheless, the massive new-deployed capacity lowered the freight rate, as on March 25th, the freight indices of the Europe and Mediterranean services issued by SSE reported 1320.40 points and 1317.51 points, respectively down 3.4% and 2.3% from last week. Insiders indicated that more fleets would be arranged in the service in April, so the rally is very likely be restrained if the demand couldn't maintained the current upward momentum.
In North America service, the cargo volume kept the trend in last week, and the average slot utilization reported at about 70%. Freight rate was slightly volatile. On March 25th, the freight rate (ocean freight plus surcharges) for the voyages from Shanghai to base ports in US west coast and US east coast were USD 1608/FEU and USD 2819/FEU, basically equaling to last week. The conventional peak season on the North America service in 2nd quarter is approaching, while the rate restoration plans are approaching as well. However, pundits were afraid of the huge tonnage carriers were poised to release, so the glut of capacity, as a result, in the future could put the implement force of the restoration plans into doubt, despite the strong recovery of US' economy.
In Australia and Singapore services, carriers had been cutting 20% of the total capacity since February, where the pressure of capacity surplus was relieved. Besides, the upsurging demand warmed up the slot utilization to about 80%, and the freight rate marginally fluctuated. On March 25th, the freight rate index for the voyages from Shanghai to Australia and Singapore services was 954.95 points, down 0.7% from last week.
In Japan service, the demand ascended a little. The power brownouts over the Japan and the insufficient fuel continued hampering the port operations and the inland box transports. Carriers had already imposed a PCS (Port Congestion Surcharge) for some of the voyages from Shanghai to Kanto, buoying the freight rate. On March 25th, the freight rate index of the Japan service reported 785.56 points, soared 3.1% from last week.
The USDX fell to the yearlow this week, and such slump triggered a boosting crude oil price, to which the Libya woes had contributed as well. Some believe the crude oil price will stay high for a long time. Consequently, not only would the bunker price inflate but also the recovery in most developed countries to be stagnated. And whether the growth of China export containerized market will boom steadily remains to be seen.
Suscribirse a:
Entradas (Atom)