Shipping container prices tumble for first time this year as China’s Christmas exporting season slows

Shipping container prices have declined for the first time this year after skyrocketing to historic highs as China’s Christmas exporting season slows, creating a temporary respite for exporters.

The average sale price of a 40-foot container in China has plunged by 22.5 per cent since the end of September, to US$6,598 this week, according to Container xChange, an online platform for the leasing and trading of shipping containers.

For container leasing, Container xChange’s data shows that the average one-way leasing pickup charges for the China-US stretch plunged by 35 per cent during the seven-day “golden week” holiday in China at the start of October to US$1,800.

“The easing prices show temporary consolation in the global container shortage crisis,” said Johannes Schlingemeier, co-founder of Container xChange. “There are possibilities that the trend will continue because we are halfway through the busiest time for the shipping industry.”

According to Container xChange, 46 ports globally experienced a moderate pullback in average container prices. The hotspots include China, Vietnam and the United States.

“Retailers are looking to pile up stock ahead of the Christmas holidays and the falling prices could well become the new normal from hereon. This could probably be a very early sign of stabilisation of the market,” Schlingemeier added.

The drop in prices could also be temporary due to the closure of factories during the golden week holiday in China, said Christian Roeloffs, also a co-founder of Container xChange.