A crunch in the shipping container capacity!

Doubling in a year time, index for containers from China are approaching a 2-year high.

A chart displaying the evolution of containersized freight index over a 5-year period, with separate graphs for the last 3 years, utilizing colors from the IG color palette.

Concerned by the perspective of rising protectionism in the Western hemisphere adding to longer sailing distances imposed by Red Sea transit disruptions, more slots on container vessels bound for the US and Europe are booked. Could such a lift in prices eventually benefit to smaller bulk carriers like in 2021? Having risen by >33% on a year-on-year basis, Handysize freight rates are still 50%-60% below rates recorded at this time of the year in 2021-2022!

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