Tianjin Shipping Index(Dec.11-Dec.15)

Dec 19, 2017

I. Tianjin Shipping Index (TSI)

Week 50, 2017 (Dec.11-Dec.15), Tianjin Container Freight Index (TCI) increased with shocks. Tianjin Bulk Freight Index (TBI) increased and then decreased. Tianjin Domestic Container Freight Index (TDI) decreased and then increased. Tianjin Shipping Index (TSI) increased slightly. The TSI closed at 684.89 points with an increase of 2.62% from Dec.8 (the last release day of Week 49). The TSI trend is as follows,

The chart above shows the trends of TSI from Dec.4 to Dec.15. The value of TSI in Week 50 is as follows,

II. Tianjin Container Freight Index (TCI)

In Week 50, 2017 (Dec.11-Dec.15), the trend of TCI is as follows,

In Week 50, the TCI increased with shocks.

From Dec.11 to Dec.12 (Mon. to Tue.), the freight rates in European route, Mediterranean East route and South American East Coast route increased. The freight rates in Mediterranean West route, North American route, South American West Coast route and Central South American route decreased slightly. The TCI kept increasing by 1.68% on two consecutive release days. From Dec.13 to Dec.15 (Wed. to Fri.), the freight rates in European route and South American route increased. The freight rates in Mediterranean East route decreased sharply. The freight rates in Mediterranean West route and North American route decreased and then increased. The freight rates in India-Pakistan route kept decreasing. The TCI decreased and then increased by 0.04% on three consecutive release days.

The TCI closed at 367.72 points with an increase of 6.25 points (1.73%) from Dec.8 (the last release day of Week 49).

The TCI index value saw several up and down on a day-on-day basis are as follows:

European/Mediterranean route The freight-rate-rising plan was carried out on the market, which led the freight rate kept increasing. The freight indices increased 6.44% on a week on week basis. In Mediterranean East route, the freight rates were pushed up slightly early this week. In later half of the week, cargo volume was low. In order to maintain the loading rate, shipping alliances reduced the freight rates rapidly. The freight indices decreased 8.62% on a week on week basis. In Mediterranean West route, the shipment demand presented a weak trend and the freight rates decreased with shocks. The freight indices decreased 0.92% on a week on week basis.

North American route Cargo volume presented a weak trend and transport capacity was in a high level. The freight rates kept decreasing in the first half of the week. In later half of the week, some ship owners tried to raise the freight rates, but the effect was limited. The freight rates in North American West Coast route and North American East Coast route decreased 1.46% and 0.04% this week.

South American route In South American West Coast route and Central South American route, the freight rates decreased slightly to attract more cargo early this week. Then, the shipping alliances raised the GRI up and the freight rates rebounded rapidly. The freight indices increased 11.73% and 4.51% respectively. The transport capacity in South American East Coast route decreased. The freight-rate-rising plan was carried out on the market and the freight rates increased sharply the whole week. The freight indices increased 10.61% on a week on week basis.

India-Pakistan route The cargo volume presented a weak trend. The freight rates were decreased to guarantee the loading rate, which became a mainstream. The freight rates kept decreasing. The freight indices decreased 5.43% on a week on week basis.

III. Tianjin Bulk Freight Index (TBI)

Week 50, 2017 (Dec.11 – Dec.15), Tianjin Bulk Freight Index (TBI) is shown as follows:

In week 50, the TBI increased slightly in the first half of the week but decreased later.

From Dec.11 to Dec.13 (Mon. to Wed.), the freight rates of coal, grain and mineral ore all increased slightly, which made the TBI increase continuously and the total increase was 1.68%. Then, the freight rates of coal and grain continued to increase, but the day-on-day increase narrowed and the freight rate of mineral ore decreased slowly. The TBI decreased slightly from Dec.14 to Dec.15 (Thu. to Fri.) and the total decrease was 0.41%.

TBI ended at 907.99 points with an increase of 11.35 points (1.27%) from Dec.8 (the last release day of week 49).

TBI index value saw several ups and downs on a day-on-day basis, which is shown as follows:

TBCI increased continuously this week. TBCI ended at 685.27 points with an increase of 22.30 points (3.36%) from Dec.8 (the last release day of week 49). Coal demand in North China increased and it made Australian coal enquiries increase and the freight rate increased continuously. For the Panamax market, the Pacific market was active and the freight rate of the DBCT to Tianjin route increased continuously and the total increase was about 4.5%. For the Capesize market, the freight rate of Hay Point to Qingdao route first increased and then decreased and the total increase was over 2%.

TBGI increased continuously this week. It ended at 688.20 points with an increase of 10.68 points (1.58%) from Dec.8 (the last release day of week 49). Carriers in Atlantic market were in short supply and the Panamax market was active and the freight rate of grain increased continuously. The freight rate of US Gulf to Tianjin route increased about 1.7%. The freight rate of South America to Tianjin route increased about 1.6%. The freight rate of West America to Tianjin route increased 1.3%.

TBMI increased slightly in the first part of the week but decreased later. It ended at 1350.51 points with an increase of 1.07 points (0.08%) from Dec.8 (the last release day of week 49). For the iron ore market, markets of the Capesize in the two Oceans differentiated. Australian miners chartered carriers intermittently and the freight rate increased further. The freight rate of West Australia to North China route increased over 1%. The amount of transactions in the Atlantic region was small and the market was weak. The freight rate of Brazil to Tianjin route decreased about 3%. As for nickel ore, the freight rate of the Handysize decreased and the freight rate of Surigao to Tianjin route decreased about 0.5% this week.

IV. Tianjin Domestic Container Freight Index (TDI)

Week 50, 2017 (Dec.11-Dec.15), the trend of Tianjin Domestic Container Freight Index (TDI) is shown in the chart below:

In Week 50, the TDI increased significantly.

The Outward Index kept stable from Dec.11 to Dec.13 (Mon. to Wed.) and the Inward Index decreased continuously which led the TDI decreased 1.55% in three days. On Dec.14 (Thu.), both the Outward and Inward Index increased significantly and the TDI created the biggest increase of week which was 6.33% or 59.43 points. On Dec.15 (Fri.), both the Outward and Inward Index kept stable. Finally, the TDI was closed at 998.51 points with an increase of 44.67 points (4.68%) from Dec.8 (the last release day of Week 49).

The value of TDI ups and downs on a day-on-day basis are shown as follows:

TDOI Tianjin Domestic Container Outward Freight Index (TDOI) increased sharply and was closed at 1157.89 points on Dec.15 (Fri.) with an increase of 62.42 points or 5.70% with the Dec.8 (the last release day of Week 49). The freight rate in three southward routes was stable in the first half week. Some ship owners increased the freight rate and the rate of Tianjin-Guangzhou/Quanzhou route increased significantly and the indices increased 9.63% and 5.64%. The freight rate of Tianjin-Shanghai route kept stable.

TDII Tianjin Domestic Container Inward Freight Index (TDII) first decreased and then increased. The TDII was closed at 839.13 points on Dec.15 with an increase of 26.92 points (3.31%) from Dec.8 (the last release day of Week 49). The trend of three route were different. The freight rate of Quanzhou-Tianjin route decreased due to the depressed market and the index decreased 7.55%. The freight rate of Guangzhou-Tianjin route kept the downward trend in the first half of week. And then the ship owners increased the freight rate. The index increased 7.07%. The freight rate of Shanghai-Tianjin route kept stable.

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