XSI® Global
Xeneta Shipping Index (XSI®) September 2023: Turning point for ocean freight industry, as marginal increase ends full year of rates decline
After a full year of month-on-month falls in ocean freight rates, the global XSI® recorded its first gain since August 2022, edging up 0.2% in September to 169.5 points. Although the latest figures are 62.2% lower than last August’s all-time high, of 453.2 points, the development will be welcomed by a carrier industry desperate for any indication of market improvement.
The global XSI® moors up at the end of Q3 down 16.5% quarter-on-quarter. This will be reflected in the industry’s results for the period, with carriers, and especially those exposed to the long-term market, poised to show even lower average freight rates than those achieved throughout a weak Q2.
Spot rates have been more of a mixed bag, with those on the Transpacific having more than doubled in the same quarter thanks to the implementation of strict capacity management by carriers.
However, other trades are still experiencing record low spot rates, with carriers seemingly choosing to “sacrifice” rates pressure on some routes, through added capacity, while reducing sailings on others to bolster prices.
