Container

It has been a flat week across the key FBX trade lanes. The Panama Canal transit authority has advised that due to lower water levels they are reducing the number of daily transits and reducing the maximum allowed draft levels, which will have a knock-on effect on FBX03 to the USEC.

This will mean less containers being carried on each vessel due to the draft restrictions and if it worsens will cause most vessels to have to divert via the Cape of Good Hope, tying up tonnage for longer and increasing costs. The Pacific loop trade lane FBX01 (China/East Asia – US West Coast) increased by $86 from last Friday, ending the week at $7,655 and is up $5,038 since the start of the year. Rates from the Far East to the USEC FBX03 (China/East Asia – US East Coast) remained flat at $9,791, this route is up $6,034 since the start of January.

Trade into the North Continent from the Far East FBX11 (China/East Asia – North Europe) dropped $56 week on week, ending the week at $4,643 and is up $1,643 since the start of the year. Trade into the Mediterranean from the Far East FBX13 (China/East Asia – Mediterranean) lost $139 week on week, ending the week at $4,836 and is just $8 lower than at the start of the year.