Ningbo Containerized Freight Index Weekly Commentary (5.8-5.14）

The second round of price increases on the European and American lines, and the composite index rose sharply

 

Ningbo Containerized Freight Index: In the week ending May-14, Ningbo Containerized Freight Index (NCFI) issued by Ningbo Shipping Exchange (NBSE) quotes 2828.3 points, slightly up by 8.9% against last week. Meanwhile, sixteen of the selected twenty-one routes maintain an upward trend while other four have fallen and one keeps steady. In addition, according to the freight indices of the primary ports along the Maritime Silk Road, fourteen ports appear a constant rising tendency while other three are declining.

Europe and Mediterranean routes: The demand for transportation remained high, the shortfall in the supply of shiipping line capacity still remained, and several voyages full loaded. Based on good market expectations, the carriers planed to increase freight rates again in the middle of the month. This week, freight index in the route from Ningbo-Europe quotes 4281.4 points, increasing 15.1% from one week ago. Freight indices in the routes from Ningbo to East Mediterranean and West Mediterranean quote 3333.9 points and 4265.4 points, growing by 10.0% and rising by 11.3% against last week respectively.

North America route: The loading rate of the route remained fully loaded, and the overall space condition was tight. Some carrier planed to start the second round of rising prices in the middle of the month. This week, freight indices in the routes from Ningbo to East America and West America quote 2020.5 points and 2743.3 points, increasing by 1.9% and climbing by 4.4% from one week ago respectively.

Mideast route: Destination countries have continued to break their fasts, and the market volume has increased slightly, and the booking price has also risen slightly. This week, freight index in the route from Ningbo-Mideast quotes 2536.1 points, having a week-on-week increase of 5.0% compared with last week.

East Africa route: Carriers adjusted flight schedules, resulting in a corresponding reduction in inventory capacity, resulting in tight shipping space and rapid increase in freight rates. This week, freight index in the route from Ningbo to East Africa route quotes 1747.6 points, up by 21.4% against last week.

The opinions expressed herein are the author's and not necessarily those of The Xinde Marine News.