The whole market has a marginal recovery. On May 26, Shanghai Export Containerized Freight Index (SCFI) quotes 853.43 points, an increase of 2.7% comparing with one week ago.

Consumers’ confidence rises for 3 consecutive months in May, and makes a fresh high record since 10 years. Transport demand in the Europe route mounts stably, which makes demand/supply condition improve. Both the average slot utilization rates in the Europe and Mediterranean routes keep above 90%, and some even 100%. Some box liners begin to carry out freight rate increase plan, but most are cautious, finally, freight rate increase within USD100/TEU. On May26, freight rates in the routes from Shanghai to Europe and Mediterranean (covering seaborne surcharges) quote USD977/TEU and USD945/TEU, up by 5.7% and 3.4% from one week ago respectively.

In the North America route, transport demand in the destination rises firmly, but for the expansion of capacity, demand/supply condition has no improvement. The average slot utilization rate leaving off Shanghai Port sustains around 90%. Owing to the weak condition of the whole market, most of box liners hold stand-by attitude, only small part of them trying to hike booking rate in early June, causing spot rate continues to decline. On May 26, freight rates in the routes from Shanghai to USWC and USEC (covering seaborne surcharges) quote USD1264/FEU and USD2229/FEU, tumbling by 21.3% and 15.1% from one week ago respectively.

In the Persian Gulf route, for the shipment rush before The Dragon Boat festival, the market experiences a round of hot condition, the average slot utilization rate leaving off Shanghai Port keeps above 95%, with some even 100%. Most box liners increase freight rate, leading spot rate rising continuously. On May 26, freight rate in the Shanghai-Persian Gulf route (covering seaborne surcharges) quotes USD764/TEU, up by 6.3% against one week ago.

Impacted by the continuous weak transport demand, demand/supply has no improvement in the Australia route, where the average slot utilization rate leaving off Shanghai Port declines to around 80%. Some box liners are active to reduce freight rate to lock loading rate, with spot rate slip further. On May 26, freight rate in the Shanghai-Australia route (covering seaborne surcharges) has week-on-week slip of 8.1% to USD373/TEU.

Demand/supply condition keeps stable in the South America route, where the average slot utilization rate leaving off Shanghai Port sustains around 95%. Box liners hike freight rate for the second time in this mouth. On May 26, freight rate in the Shanghai-South America route (covering seaborne surcharges) quotes USD3294/TEU, a week-on-week increase of 7.3%.

http://info.chineseshipping.com.cn/eninfo/ENMarketReport/201706/t20170606_1290315.shtml

Source: chineseshipping
2017-06-07

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