Ningbo Containerized Freight Index Weekly Commentary (7.10-7.16）

Transportation demand remained high, the composite index continued to rise

 

Ningbo Containerized Freight Index: In the week ending Jul-16, Ningbo Containerized Freight Index (NCFI) issued by Ningbo Shipping Exchange (NBSE) quotes 3567.6 points, slightly up by 3.6% against last week. Meanwhile, fifteen of the selected twenty-one routes maintain an upward trend while other six have fallen. In addition, according to the freight indices of the primary ports along the Maritime Silk Road, nine ports appear a constant rising tendency while other eight are declining.

Europe and Mediterranean routes: The demand for transportation on European routes remained high, and the relationship between supply and demand was very tight. The conditions of the Mediterranean routes were similar to those of the European routes. Due to the large number of empty flights, the tightness of space remained Therefore, the freight rate continued to rise. This week, freight index in the route from Ningbo-Europe quotes 5746.8 points, increasing 3.2% unchanged from one week ago. Freight indices in the routes from Ningbo to East Mediterranean and West Mediterranean quote 4013.8 points and 5278.2 points, growing by 0.3% and rising by 3.5% against last week respectively.

North America route: The importers at the port of destination replenished inventory on a large scale, supporting the continued strong market shipments. After mid-term, some carriers raised freight rates again. This week, freight indices in the routes from Ningbo to East America and West America quote 2466.8 points and 3499.9 points, increasing by 1.6% and climbing by 6.8% from one week ago respectively.

Mideast route: The carrier's schedule adjustment led to an increase in empty shifts. Affected by this, the stock capacity has shrunk, and the market freight rate has been pushed up after the middle. This week, freight index in the route from Ningbo-Mideast quotes 3418.0 points , having a week-on-week increase of 13.6% compared with last week.

Australia and New Zealand route: The transportation demand was released intensively, the tightness of airline space was more serious, and the booking freight rate continued to rise. This week, freight index in the route from Ningbo to Australia /New Zealand route quotes 4877.2 points , up by 6.1% against last week.

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