Freight Costs Increase 82% From Last Year, Due to Red Sea Crisis

World Container Index – 18 Jan

Drewry’s World Container Index increased by 23% to $3,777 per 40ft container this week.

 

 

Source: Drewry World Container Index, Drewry Supply Chain Advisors

 

Our detailed assessment for Thursday, 18 January 2024

  • The composite index increased by 23% to $3,777 per 40ft container this week and has increased by 82% when compared with the same week last year.
  • The latest Drewry WCI composite index of $3,777 per 40ft container is the highest since October 2022 and is 166% more than average 2019 (pre-pandemic) rates of $1,420.
  • The average composite index for the year-to-date is $3,173 per 40ft container, which is $495 higher than the 10-year average rate of $2,678 (which was inflated by the exceptional 2020-22 Covid period).
  • Freight rates on Rotterdam to Shanghai increased by 50% or $323 to $975 per 40ft container. Followed by rates on Shanghai to Los Angeles which rose by 38% or $1,070 to $3,860 per feu. Also, rates on Shanghai to New York swelled by 35% or $1,474 to $5,644 per 40ft box. Likewise, rates on Shanghai to Genoa grew by 21% or $1,069 to $6,282 per feu. Followed by rates on Shanghai to Rotterdam which enlarged by 12% or $545 to $4,951 per 40ft box. Likewise, rates on New York to Rotterdam surged by 2% or $9 to $608 per 40ft container. Conversely, rates on Los Angeles to Shanghai decreased by 1% or $4 to $762 per feu. Rates on Rotterdam to New York remained stable.
  • Drewry anticipates East-West spot rates to increase in the coming weeks, due to the Red Sea/Suez situation.

 

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