After a couple of weeks of moderate increases, spot container shipping rates have surged once more in the first week of July 2024. The World Container Index, released by Drewry on July 4, 2024, indicated a 10% increase in the composite index (which includes all routes) within seven days and a staggering 298% year-on-year increase, reaching $5,868 per FEU (forty-foot equivalent unit).
A 10% increase was also observed in the average rate between Shanghai and Rotterdam, pushing the value above the $8,000 mark to $8,056. On an annual basis, this represents a 499% increase. The weekly increase in the average rate between Shanghai and Genoa was slightly lower at 7%, bringing the rate to $7,573 per FEU, with an annual increase of 280%. Notably, the only decrease was seen in shipments from Rotterdam to Shanghai, where the average rate dropped by 5% to $643. The annual increase for this route remains at 18%, almost the same level as June 2023.
Transpacific routes fare no better, with weekly increase percentages higher than those between China and Europe. The record belongs to the average spot rate between Shanghai and New York, which surged by 17% to $9,158 per FEU. At this pace, an additional 9.19% increase could see rates hitting $10,000 within a week. Double-digit increases were also recorded for the forty-foot container rate between Shanghai and Los Angeles, which rose by 12% to $7,472. Over the year, the increases were 254% and 356% respectively.
For shippers operating between Europe and North America, the situation is significantly better. The average spot rate between New York and Rotterdam increased by 2% to $656 per FEU, while in the reverse direction, it decreased by 3% to $1,977. In both cases, the 2024 values are lower than those of the previous year, by 11% and 1% respectively.
