Container Prices Decline as Overcapacity and Weak Consumer Demand Plague Shipping Industry

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Written By Jennifer Joslyn

Container prices have experienced a significant drop, with the average price of 20ft dry containers in New York falling by 82% from its peak in June 2021. The industry faces an overcapacity of containers and vessels, which is expected to worsen as new ships are added to global fleets. Slower sailing speeds and reduced consumer demand contribute to the challenges, leading shipping lines to cut costs and capacity. While there is hope for a return of container demand in the long term, short-term prospects remain uncertain.

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Jennifer Joslyn
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