Carriers reduce shipping capacity, freight rates rise sharply on some routes

 

Ningbo Containerized Freight Index: In the week ending Oct-13, Ningbo Containerized Freight Index (NCFI) issued by Ningbo Shipping Exchange (NBSE) quotes 622.2 points, slightly up by 4.8% 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, eleven ports appear a constant rising tendency while other five are declining.


Europe and Mediterranean routes: Affected by early stockpiling and suspension of sailings by carriers, space on Europe route was tight, and route freight rates stopped falling and showed an upward trend. The supply of space on the Mediterranean route is relatively sufficient, and the booking price in the spot market has fallen slightly. This week, freight index in the route from Ningbo-Europe quotes 355.1 points, increasing 0.1% from one week ago. Freight indices in the routes from Ningbo to East Mediterranean and West Mediterranean quote 548.9 points and 626.5 points, reducing by 1.7% and having a decrease of 3.7% against last week respectively.

North America route: The market shipment volume has not increased significantly, and the supply of shipping space is sufficient. Carriers have slightly lowered freight rates, and booking prices in the spot market have fallen slightly. This week, freight indices in the routes from Ningbo to East America and West America quote 730.2 points and 981.6 points, slipping by 6.2% and dipping by 4.3% from one week ago respectively.
 

Mideast route: Carriers have reduced a large amount of available shipping capacity, and freight rates have risen sharply, supported by the supply of goods accumulated in the early stage. This week, freight index in the route from Ningbo-Mideast quotes 665.6 points, having a week-on-week increase of 32.8% compared with last week.