I. Tianjin Shipping Index (TSI)
In Week 51, 2023 (December 18 to December 22), the Tianjin Container Freight Index (TCI) rose unilaterally, the Tianjin Bulk Freight Index (TBI) fell continuously within the week, the Tianjin Domestic Container Freight Index (TDI) fell first and then rose, the Tianjin Shipping Index (TSI) fluctuated and rose, and closed at 930.23 points on December 22, with a cumulative increase of 38.76 points (4.35%) compared with December 15 (the last release day of Week 50). The trend of TSI is as follows:
The chart above shows the trends of TSI from December 11 to December 22. The value of TSI in Week 51 is as follows:
II. Tianjin Container Freight Index (TCI)
In Week 51, 2023 (December 18 to December 22), the trend of Tianjin Container Freight Index (TCI) is shown in the figure below:
In Week 51, the Northern International Container Freight Index (TCI) rose significantly.
From December 18 to December 20 (Monday to Wednesday), the freight rates in European, Mediterranean and the Persian Gulf routes increased sharply, the freight rates in American, South American West and South American East routes fluctuated and strengthened, the freight rates in the Central and South American route stabilized, TCI rose steadily, with a cumulative increase of 9.38% during the three release days. Subsequently, the freight rates in European, Mediterranean, and Persian Gulf routes jumped, while the freight rates in American and South American routes were strong. TCI continued to rise, with a cumulative increase of 84.98 points during the two release days from December 21 to December 22 (Thursday to Friday), returning to 1000 points after 10 months, and finally closed at 1000.85 points, with a cumulative increase of 163.53 points (19.53%) compared with December 15 (the last release day of Week 50).
The TCI index value and several ups and downs on a day-on-day basis are as follows:
European/Mediterranean route In order to avoid navigation risks, shipping companies have announced the suspension of the Red Sea- Suez Canal route bypassing the Cape of Good Hope, resulting in a significant increase in liner turnover time and related costs. Shipping companies have significantly increased freight rates. The freight index for routes from Tianjin to Europe, Mediterranean East, and Mediterranean West closed at 750.05 points, 1039.94 points and 1165.26 points respectively, with a cumulative increase of 72.64%, 52.09%, and 47.22% during the week.
American route The demand for booking by shippers has steadily increased, and freight rates have steadily increased. This week, the freight index for the route from Tianjin to American West Coast and Tianjin to American East Coast closed at 939.76 points and 1061.10 points respectively, up 3.38% and 1.13% on a week-on-week basis.
South American route Tianjin Port opened weekly direct liners to South American West, and the freight rates in the South American West fell at the beginning of the week. The freight rates in the South American East route were weak at the beginning of the week due to the easing of drought in Brazil and the significant depreciation of the Argentine currency. The freight rates in the Central and South American route were relatively stable at the beginning of the week. In the second half of the week, market expectations drove shipping companies to increase their freight rates. The freight index of routes from Tianjin to South American West, South American East, and the Central and South America closed at 588.04 points, 1020.53 points and 697.80 points respectively, up 6.70%, 4.74% and 10.31% on a week-on-week basis.
Persian Gulf route Due to the increasingly tense geopolitical situation, shipping companies have reduced their liners and stopped operations to avoid potential risks. The market shipping space is relatively tight, and freight rates rose significantly. The index value closed at 805.26 points, up 16.56% on a week-on-week basis.
III. Tianjin Bulk Freight Index (TBI)
In Week 51(December 18 to December 22), the trend of Tianjin Bulk Freight Index (TBI) is as follows:
In Week 51, the Tianjin Bulk Freight Index (TBI) continued to rise at the beginning of the week and continued to decline slightly throughout the week.
On December 18 (Monday), the freight rates of grain market slightly increased, while the freight rates of coal and metal ore market continued to rise. The TBI rose by 1.66% on a day-on-day basis. From December 19 to December 22 (Tuesday to Friday), the freight rates of grain market showed a continuous slight increase, while the freight rates of coal market continued to decline. The freight rates of metal ore market accelerated decline, dragging the TBI down for four consecutive days, with a cumulative decrease of 5.92%.
Finally, TBI closed at 1094.63 points, with a cumulative decrease of 49.87 points (4.36%) compared with December 15(the last release day of Week 50).
The TBI index value and several ups and downs on a day-on-day basis are as follows:
TBCI first rose and then fell, and the index value finally closed at 796.69 points, with a cumulative decrease of 44.29 points （5.27%）compared with December 15(the last release day of Week 50). In the supramax vessel market, Indonesian coal cargo volume was relatively low, and the freight index of the route from Indonesia to Qingdao fell by 2.14% this week. In terms of the capesize ship market, as the Christmas holiday approaches, the freight index of the route from Hay Point to Qingdao fell significantly this week, with a cumulative decrease of 7.28%.
TBGI continued to rise slightly, and the index value finally closed at 988.27 points, with a cumulative increase of 6.94 points （0.71%）compared with December 15(the last release day of Week 50). There were not many new cargoes in the grain market, but the shipping capacity of Panamax ships in the Atlantic region was stable overall. The freight index of the route from South America to Tianjin increased by 0.75% this week, the freight index of the route from US Gulf to Tianjin increased by 0.83% this week, and the freight index of the route from American West Coast to Tianjin increased first and then decreased this week, and remained basically unchanged from the previous week in the later part of the week.
TBMI continued its upward trend at the beginning of the week, but quickly fell in the later part of the week. The index value finally closed at 1498.92 points, with a cumulative decrease of 112.27 points (6.97%) compared with December 15 (the last release day of Week 50). In terms of iron ore, Australian iron ore trading continued to improve at the beginning of the week, with market freight rates further rising. However, in the later part of the week, due to abundant shipping capacity and the approaching Christmas holiday, market freight rates quickly fell, and the freight index of the route from Australia west to northern China cumulatively fell by 8.87% this week. There are also relatively few long-distance ore cargoes, and the freight index for the route from Brazil to Tianjin cumulatively fell by 3.84% this week. In terms of nickel ore, there are relatively few nickel ore cargoes, the freight index of the route from Surigao to Tianjin continued to be weak at the beginning of the week, but stabilized and rebounded in the later part of the week, with a cumulative increase of 1.05% this week.
IV. Tianjin Domestic Container Freight Index (TDI)
In Week 51 (December 18 to December 22), the trend of Tianjin Domestic Container Freight Index (TDI) is shown in the figure below:
In Week 51, the Tianjin Domestic Container Freight Index (TDI) fluctuated slightly.
On December 18 (Monday), the index value in outward market fell, dragging down the TDI slightly. Subsequently, the TDI returned to stability. On December 20 (Wednesday), the index value in the inward market continued to remain stable, while the index value in outward market stabilized and rebounded, with a slight increase in TDI. From December 21 to December 22 (Thursday to Friday), the index value in the inward market and the index value in outward market remained stable, and the TDI finally closed at 891.18 points, with a cumulative increase of 3.37 points (0.38%) compared with December 15 (the last release day of Week 50).
The TDI index value and several ups and downs on a day-on-day basis are as follows:
The Tianjin Domestic Container Outward Freight Index (TDOI) first fell and then rose, closing at 1063.38 points on December 22, with a cumulative increase of 6.74 points (0.64%) compared with December 15. At the beginning of the week, the weather factors affecting northern ports had not yet been eliminated, and the slow shipment of shippers and port closures had a dual impact on market booking demand. In the second half of the week, with clear weather and smooth port navigation, shipments gradually recovered. The freight index of the route from Tianjin to Guangzhou first fell and then rose, finally closing at 1042.83 points, up 0.85% on a week-on-week basis. The freight index of the route from Tianjin to Shanghai and the route from Tianjin to Quanzhou/Xiamen remained stable, the index values closed at 1024.47 points and 1189.58 points respectively, flat on a week-on-week basis.
The Tianjin Domestic Container Inward Freight Index (TDII) remained stable, closing at 718.98 points on December 22, flat compared with December 15. Recently, due to weather factors, ship delays have been severe, and market booking demand has been insufficient. The freight rates in various routes have remained stable. The freight index of routes from Guangzhou to Tianjin, Quanzhou/Xiamen to Tianjin, and Shanghai to Tianjin closed at 511.60 points, 1416.76 points, and 956.09 points respectively, flat on a week-on-week basis.
(The analysis report is for reference only and at your own risk)
