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    HomeLifeStyleDrewry WCI declines 7.8%, despite looming ILA strike threat

    Drewry WCI declines 7.8%, despite looming ILA strike threat



    The Drewry World Container Index (WCI) dropped by 7.83 per cent to $4,775 per 40ft container in the week ending September 5, down from $5,181 the previous week. The benchmark for global sea transportation freight charges has been consistently easing after a sharp rise approximately two months ago.

    The latest Drewry WCI composite index of $4,775 per 40ft container is 54 per cent lower than the pandemic peak of $10,377 in September 2021. However, it remains 236 per cent higher than the pre-pandemic average rate of $1,420 in 2019.

    Drewry World Container Index (WCI) fell by 7.83 per cent to $4,775 per 40ft container in early September.
    Freight rates have consistently eased after peaking in 2021, with rates now 54 per cent below that peak but still 236 per cent higher than pre-pandemic levels.
    Major shipping routes, including Shanghai to Rotterdam and Genoa, saw significant rate drops.

    The report indicates that the average composite index for the year-to-date is $4,127 per 40ft container, which is $1,313 above the 10-year average rate of $2,814, a figure inflated by the conditions during the 2020-2022 COVID period.

    Freight rates from Shanghai to Rotterdam plunged by 14 per cent, or $985, to $6,219 per 40ft container. Similarly, rates from Shanghai to Genoa fell by 12 per cent, or $769, to $5,842 per feu. Spot rates from Shanghai to Los Angeles also declined, sliding 3 per cent, or $218, to $6,030 per 40ft container.

    In the same vein, rates from Shanghai to New York and Rotterdam to Shanghai decreased by 2 per cent to $8,451 and $612 per 40ft container, respectively. Spot rates from New York to Rotterdam dropped by 1 per cent, or $11, to $732 per feu.

    Conversely, rates from Rotterdam to New York increased by 16 per cent, or $304, to $2,212 per 40ft container. Likewise, spot rates from Los Angeles to Shanghai edged up by 1 per cent, or $4, to $714 per 40ft container.

    Despite the looming threat of an ILA port strike, transpacific eastbound freight rates experienced a slight dip this week. Drewry expects Asia-Europe rates to decline in the coming weeks.

    Fibre2Fashion News Desk (KUL)



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