Drewry: Container equipment costs at an all-time low

Container equipment costs are at an all-time low due to low material costs and stable demands according to a Container Census report from global shipping consultancy, Drewry.

The report also shows that the container equipment index price hit a ten-year-low in June, falling below US$1.750 per CEU (20ft standard). The index fell sharply in late 2012 before stabilising at just above US$2.000 per teu throughout much of 2013-14, but has declined sharply this year.

Drewry’s lead analyst for container equipment, Andrew Foxcroft said: “Much of the recent reduction resulted from a fall in material and production costs rather than any decline in demand or oversupply. Our forecast is that the price index will, at best, hold at US$1,800 per CEU for much of 2015-16, although it may go even lower.”