Container ship freight rates rise for 11 consecutive weeks... Surpassing 4100 level for the first time

[Asia Economy Reporter Dongwoo Lee] The Shanghai Containerized Freight Index (SCFI), a representative indicator of container sea freight rates, has risen for 11 consecutive weeks, setting a new all-time high once again.

According to the shipping industry on the 24th, the SCFI, which aggregates freight rates for 15 container shipping routes, stood at 4100.00 as of the previous day, up 45.58 points from the previous week. This is the first time the index has surpassed the 4100 mark since its inception in October 2009.

Freight rates on all routes increased, breaking previous records. In particular, rates on the transpacific eastbound and Europe routes, which are major routes for domestic exporters, showed strong performance.

The transpacific eastbound route freight rate rose the most over the week, increasing by $195 per 1FEU (12-meter container) to $9,850. The transpacific westbound route also recorded $5,388 per FEU, up $54. The Europe route freight rate, which surpassed $7,000 per 1TEU (6-meter container) last week, also showed strength by rising $104 to $7,127 compared to the previous week.

During the same period, the Asia-Mediterranean route increased by $68 per 1TEU to $6,961, and the Middle East route also set a new record at $3,481, up $108 from the previous week. The Australia-New Zealand route rose by $166 to $3,168, and the Asia-South America route increased by $115 to $9,498.

The shipping industry expects the upward trend in freight rates to continue in the third quarter due to the prolonged COVID-19 situation and increased cargo volumes from events such as Black Friday and Thanksgiving in the United States. Analysts attribute this to a combination of factors including global economic recovery and pent-up demand following the COVID-19 pandemic.

A shipping industry official stated, "The second half of the year is traditionally a peak season with increased cargo volumes due to events like Black Friday and Thanksgiving in the U.S., so freight rates are expected to continue rising for the time being."

This content was produced with the assistance of AI translation services.