Ningbo Containerized Freight Index Weekly Commentary (6.19-6.25）

The supply-demand relationship was trending well, and some routes were planned to rise

 

Ningbo Containerized Freight Index: In the week ending Jun-25, Ningbo Containerized Freight Index (NCFI) issued by Ningbo Shipping Exchange (NBSE) quotes 3358.8 points, slightly up by 3.3% against last week. Meanwhile, nineteen of the selected twenty-one routes maintain an upward trend while other two have fallen. In addition, according to the freight indices of the primary ports along the Maritime Silk Road, thirteen ports appear a constant rising tendency while other four are declining.

Europe and Mediterranean routes: High freight rates had forced some cargo owners to slow down the pace of shipments, and the market had seen a decline in cargo volume. However, under the hedge of the reduction in capacity about by blank sailings, the overall space was still tight. Some carriers had announced their plans to increase freight rates in July. This week, freight index in the route from Ningbo-Europe quotes 5235.7 points, increasing 2.6% from one week ago. Freight indices in the routes from Ningbo to East Mediterranean and West Mediterranean quote 3986.6 points and 4990.5 points, growing by 3.6% and rising by 2.8% against last week respectively.

North America route: Delays in shipping schedules and blank sailings had led to continued shortage of shipping capacity at the port of departure. Carriers had successively announced plans for levying surcharges for the peak season in July. This week, freight indices in the routes from Ningbo to East America and West America quote 2459.4 points and 3252.2 points, increasing by 7.2% and climbing by 6.7% from one week ago respectively.

Mideast route: Transportation demand was gradually picking up, and the supply-demand relationship between routes was good. Most carriers plan to increase freight rates in July. This week, freight index in the route from Ningbo-Mideast quotes 2997.3 points, having a week-on- week increase of 2.4% compared with last week.

Australia and New Zealand route: The market cargo volume was on the rise, the carriers' capacity control measures were implemented properly, the overall shipping space of the route had begun to be tight. Theredore, the market freight rate was planned to increase in July . This week, freight index in the route from Ningbo to Australia /New Zealand route quotes 4068.2 points, up by 11.2% against last week.

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