Spot container rates close out strong in 2016

Although the Shanghai Containerized Freight Index has remained stagnant over the past several weeks, the index is 68.6 percent higher than 12 months prior, and was especially boosted after Hanjin’s insolvency in August 2016.    The Shanghai Shipping Exchange’s Shanghai Containerized Freight Index (SCFI) remained fairly stagnant over the past several weeks, but overall, the index has surged since Hanjin Shipping filed for court receivership at the end of August.
   As of Friday, the SCFI stood at a reading of 824.00, falling 0.39 percent from the prior Friday’s reading of 824.39. The SCFI stood at 596.38 on Aug. 26, 2016, just five days prior to Hanjin filing for court receivership, and 488.68 as of Dec. 25, 2015, illustrating how rates have drastically increased since the South Korean carrier’s insolvency.
   This past Friday, rates from Shanghai to Europe ticked up 4.3 percent from a week prior, from $1,006 per TEU to $1,049 per TEU, while rates from Shanghai to the Mediterranean rose 1.7 percent, from $947 per TEU to $963 per TEU. Manwhile, rates from Shanghai to the U.S. West Coast fell 4.2 percent, from $1,608 per FEU to $1,541 per FEU, while rates from Shanghai to the U.S. East Coast slipped 0.5 percent, from $2,627 per FEU to $2,613 per FEU.