Eco Green Energy has kept on informing clients of the increased freight cost from the second half of last year. Some companies predicted the freight cost decreasing after the Chinese New Year. Yet, as the latest data indicated, the shipping price will keep increasing for at least the first half of this year.
(Source: FBX Global Container Freight Index on 19 Feb 2021)
What is the present situation of freight cost?
Rising consumer demand and constrained supply of containers is disrupting the seas. In response, the shipping cost is increasing rapidly, especially exporting from China. For example, the latest report showed spot freight rate from Asia to northern Europe increased by 3% over the previous week, 145% over the beginning of December, and 428% over the same period last year.
(Source: FBX China / East Asia – North Europe on 19 Feb 2021)
Also, spot shippers have to pay a lot of extra fees, including container storage fees and urgent booking fees. For example, British Importers pay an average of US $2000 per container – what some carriers privately call “departure surcharge”.
As checked, the latest Shanghai Export Container Composite Index was 2875.93, an increase of 1.8% from the previous period.
(Source: SCFI on 19 Feb 2021)
Our Advice
In a conclusion, after the beginning of the Chinese New Year, the spot price showed no obvious signs of decline. Those who hope that the freight rate can be adjusted after the Spring Festival, now have to agree with a higher contract price instead of continuing to risk in the spot market.
Then, Eco Green Energy may suggest you do not expect a substantial price cut. At present, the overall price is still at the previous high level. What you may do is do not hesitate to order and ship at this moment.
Last but not least, please remember that Eco Green Energy will have a special offer for Helios Plus 450W solar panels in March.
If you want to know the reason for the increased shipping cost, please visit our website and refer to the article Why will shipping costs keep increasing? for the details: www.eco-greenenergy.com
