Container xChange's June container market forecaster revealed a significant increase in container prices in China, with a 45% rise in May. This volatility contrasts with the stability observed in the US and Europe. The report attributes the price surge to a combination of capacity shortages and an unexpected increase in demand. Specifically, the Red Sea diversions have stretched carriers' networks, leading to port congestion and vessel bunching.
Additionally, shippers are advancing shipment dates to mitigate the risk of future disruptions, contributing to higher demand for shipping capacity. Despite this, indicators such as US consumer spending and retail inventories suggest only cautious restocking behavior among US retailers. However, the shipping and container logistics market remains robust, as evidenced by an 18% year-to-date increase in inbound TEUs at major US ports compared to the previous year.
Source: hellenicshippingnews.com