Container freight rates on the transpacific route have fallen by 50% since September

Container freight rates from China - Los Angeles have been reduced by 50% since September (Image: Phaata.com)

Shippers are easing the burden from a drop in spot market rates for the China-US service during the first week of October and are expected to continue into November, according to Shifl digital freight forwarder.

Shabsie Levy, CEO & Founder of Shifl said, “With the holiday shopping rush seemingly over and the already ordered goods sitting inside thousands of containers on many ships across the US, the drop-in freight rates on the spot market continues into November 2021.”

The New York-based company previously found that spot container freight rates fell sharply in October, with the price of shipping a 40-foot container from China to the Port of Los Angeles down from a high of $17,500 down to 8,500 USD, which is a decrease of 51.4% compared to September 

Container freight rates from China to the US West Coast (Source: Shifl)

According to Shifl data, November 2021 spot container freight rates on the China - East Coast US route were around $13,800 per container in November, representing a 29% decrease from September with freight rates at $19,500.

Container freight rates from China to the US East Coast (Source: Shifl)
 

Regarding future projections, Levy said, "Based on the current market conditions, I visualise a slight uptick in rates just before Chinese New Year."

Shifl CEO added: “After Chinese new year as we head into the traditionally quieter months, I am confident we will see the rates on a stable downward trajectory.”

See more:

• Freight rates will begin to stabilize in mid-2022 - Aurelio Martínez, President of PAV
• Container spot rates fell slightly, while long-term rates continued to increase
• Container shortages, port congestion and ship delays have pushed freight rates sky-high
• Container freight rates under long-term contracts increased to a record 28.1% in July
• Shipping demand hasn't exploded globally, so why are freight rates so high?
• Container shipping rates continue to rise

Source: Phaata.com (According to ContainerNews)
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