According to the latest Drewry Container Index released on January 25, 2024, there is still an upward trend in container shipping rates, but the percentage increase is lower than in the previous two weeks. The average freight rates from Shanghai to Genoa and from Shanghai to Rotterdam have both risen by 1%, reaching $6,363 and $4,984 respectively for a 40-foot container. However, a higher percentage increase is observed on the reverse route, from Rotterdam to Shanghai, where the average rate has exceeded $1,000 per 40-foot equivalent unit (FEU), marking a 5% increase at $1,028.
This week, transports from Asia to the United States have been particularly affected. The freight rate from Shanghai to Los Angeles has seen a double-digit increase (+13%), significantly surpassing $4,000 per FEU ($4,440). Meanwhile, the increase in rates from Shanghai to New York is also noteworthy, climbing 9% to $6,143. Transatlantic freight rates are also on the rise: the rate from Rotterdam to New York increased by 5% to $1,576, and from New York to Rotterdam, there was a 1% increase to $615 per FEU.
The Red Sea crisis has prompted almost all major shipping companies to divert their container ships to the Cape of Good Hope route, leading to a reshuffling of services from Asia to Europe. This change appears to disadvantage Mediterranean ports. MSC has altered its Dragon, Phoenix, and Jade services in response, with the Swiss company also stating it will add container ships to compensate for the increased travel time. CMA CGM has adjusted its Nemo service connecting Australia with Europe.
Among the most affected Mediterranean ports is Piraeus, a hub for the Chinese company Cosco. According to a statement by Yannis Chatzitheodosiou, President of the Athens Chamber of Commerce, since the crisis began, the port has lost over 200,000 containers due to ships circumnavigating Africa. The Cape of Good Hope route results in an additional 10 to 20 days of travel time for Piraeus, with costs reaching $6,500 per container.
