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Box rates set to increase again, says forecast

[ March 9, 2023   //   ]

Box rates could start to increase again from as early as this month, says online logistics company Container xChange in its latest market forecast published on 9 March.

It says that while supply of containers is currently overshooting demand, there could be ripple effects such asdepots working on maximum capacity. In China,  for instance, they are at 90% utilisation and unable to accept new clients.

It also makes it difficult for depots to move the containers around and eventually makes them less efficient.

The report adds that leasing companies and shipping lines are holding their containers longer than they would normally, taking a wait-and-watch strategy hoping that prices will stabilise.

As geopolitical risks intensify, global economies are also working towards diversifying their production, manufacturing, and container sourcing.

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