Long-term rates for shipping containers to New Zealand and Australia have soared in the past few years, and are now at record highs. This is despite the fact that import volumes have decreased.
Xeneta’s latest data shows that long-term rates for ocean freight into Australasia have soared by over 400% since 2019. This is a huge increase in the cost of long-term ocean freight into Australasia, with all main routes now more than double last year’s prices.
“The largest percentage increase comes in long-term contracts from South East Asia, which are up by more than 420% from July 2019, rising by $6,300 per FEU container, so that the average cost is now $7800 per FEU.” the company said. “It is also the trade that has seen the largest year-on-year increase, as in July 2021, the average rate was ‘just’ USD 2 900 per FEU.”
In the first five months of the year, 41% of total containerized imports to Australia came from China, followed by South East Asia, from where 20% of total imports came.
In total, in the first five months of the year, Australian containerized imports are down by 7.6%, while those to New Zealand have fallen by 13.5%.
Long-term container rates from North Europe remain the most expensive trade-rates for the region.