Ningbo Containerized Freight Index Weekly Commentary (5.22-5.28）

Most routes rose in June, and the composite index reached a new high

 

Ningbo Containerized Freight Index: In the week ending May-28, Ningbo Containerized Freight Index (NCFI) issued by Ningbo Shipping Exchange (NBSE) quotes 3074.0 points, slightly up by 6.6% against last week. Meanwhile, sixteen of the selected twenty-one routes maintain an upward trend while other five have fallen. In addition, according to the freight indices of the primary ports along the Maritime Silk Road, ten ports appear a constant rising tendency while other seven are declining.

Europe and Mediterranean routes: The shipping capacity of the route remained in short supply, and ship schedule delays were widespread, which caused the overall space to become more tight. The carriers planned to increase the freight rate again in early June, and the booking price has reached a new high. This week, freight index in the route from Ningbo-Europe quotes 4619.5 points, increasing 6.7% from one week ago. Freight indices in the routes from Ningbo to East Mediterranean and West Mediterranean quote 3567.5 points and 4551.1 points, growing by 4.9% and rising by 5.7% against last week respectively.

North America route: The transportation demand remained high, and the capacity gap was affected by factors such as container stagnation and poor ship turnover. It was difficult to recover in the short term. Therefore, the carriers planned to increase the freight rate in early June, and the freight rate will reach a new high. This week, freight indices in the routes from Ningbo to East America and West America quote 2237.0 points and 2943.6 points, increasing by 9.4% and climbing by 7.5% from one week ago respectively.

Mideast route: The market volume gradually increased, and the supply and demand trend was good. The market will usher in a new round of freight rate increases in early June. This week, freight index in the route from Ningbo-Mideast quotes 2861.0 points, having a week-on-week increase of 14.1% compared with last week.

East Africa route: In early June, the carriers arranged some voyages for empty flights, and the stock capacity was squeezed, and the market freight rate rose accordingly. This week, freight index in the route from Ningbo to West Africa route quotes 2118.0 points, up by 10.4% against last week.

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