As of August 27, the latest data from the Freightos Baltic Index (FBX)—a global container freight index jointly launched by the Baltic Exchange and Freightos—shows that U.S.-China maritime shipping rates, having briefly declined for one week, have surged once again above the $20,000-per-TEU threshold. Beyond the U.S.-China route, global container shipping rates have been gradually rising since December last year and began accelerating sharply in April this year. With freight rates now rivaling cargo values and container space becoming extremely scarce, these pain points have become commonplace topics in international shipping markets this year. Meanwhile, amid near-uncontrolled competition in the shipping market, divergent outcomes have emerged—some players are thriving while others struggle.

Freight rates have hit an all-time high, and cargo volumes on trans-Pacific trade routes have surpassed previous records. The container shipping market’s boom has led to a more than doubling of global new orders for container ships (measured by capacity) in less than eight months this year. However, shipping industry executives warn that container ship supply may remain tight over the next few years, given the surge in demand and ongoing fleet modernization efforts.

Xinhua News Agency, Beijing, September 1 — The Economic Reference News published on September 1 a comprehensive report by Zhou Wuying titled “Global Shipping Industry Struggles with Persistent Bottlenecks and Elevated Freight Rates.” An abstract of the article follows: Since the beginning of this year, bottlenecks in the international shipping industry have become increasingly prominent. Port congestion incidents have frequently appeared in the news, and maritime freight rates have risen repeatedly, remaining at historically high levels—exerting growing negative impacts across the board.

On August 30, CIMC held its 2021 interim results briefing at its headquarters in Shenzhen. Mai Boliang, Chairman and CEO of CIMC, gave his judgment on the most concerned development prospect of the container industry. He stated that the severe container shortage would likely continue until the first half of next year. The company will do its utmost to guarantee the supply of new containers and ease the tight supply situation. Freight rates hit record highs, and cargo volumes on trans-Pacific trade routes exceeded all previous levels. The booming container shipping market pushed the global capacity of new container ship orders to more than double in less than eight months this year. Nevertheless, shipping industry executives warned that container vessel supply would remain tight in the coming years amid surging market demand and fleet renewal needs. Surge in New Ship Orders Leads to Vessel Shortage