The Freightos Baltic Global index decreased 7% month on month in October to $1,095/FEU as demand eases and the industry contends with overcapacity. This rate is 12% lower than in 2019 and the lowest since April 2018.

Transpacific rates dipped at the start of October but were relatively stable for the rest of the month, with prices to the West Coast decreasing 8% compared to September and rates to the East Coast falling 9%. West Coast rates of $1,564/FEU are 15% higher than 2019 levels while prices of $2,213/FEU to the East Coast are 17% lower than in 2019. 

This relative rate stability during October suggests carriers may be succeeding in creating a new price floor even as demand declines and capacity grows. 

Like comparisons to 2019, West Coast rates remain 15% above mid-July, pre-peak levels, while East Coast prices are now even with July, possibly reflecting reports of some shift of volumes back to the West Coast now that labor issues in the region have been resolved. 

Asia - North Europe rates fell sharply in mid-September and remained below the $1,000/FEU mark for much of October, although prices gradually increased through the month to $1,056/FEU. This rate is only 5% lower than in 2019 but is likely loss-making for carriers, many of whom have announced significant November GRIs.

Like on the Transpacific, carriers are blanking sailings, reducing schedules and suspending services to try and push rates up: a task all the more challenging as fleets continue to grow on new vessel deliveries. 

Asia - Mediterranean rates in October slowed but continued their decline that started in early September, decreasing 14% this month to $1,370/FEU, 4% below 2019 levels despite continued reports of year-on-year volume increases.

Transatlantic rates went unchanged in October at $1,045/FEU, but are 48% below 2019 levels as carriers have not been able to reduce capacity enough to push rates up on this lane just yet. 

About Judah Levine, Research Lead, Freightos

Judah is an experienced market research manager, using data-driven analytics to deliver market-based insights. Judah produces the Freightos Group's FBX Weekly Freight Update and other research on what's happening in the industry from shipper behaviors to the latest in logistics technology and digitization.


Receive monthly container market reports direct to your inbox.