Understanding container prices: Why they fluctuate and what's behind it

Without containers, global trade would come to a standstill. Around 90 per cent of global goods traffic is transported in standardised steel boxes. This makes the uncertainty all the greater when their prices suddenly rise or fall sharply. Container prices have long been an important cost factor for companies in industry, trade and logistics. But why do they fluctuate so much?

A look behind the scenes reveals that container prices are the result of a complex interplay of global markets.

The influence of supply and demand

As with almost every commodity, a simple rule applies to containers: if demand rises faster than supply, prices go up. Global container production is highly concentrated and takes place predominantly in Asia. When international trade booms, manufacturers quickly reach their capacity limits.

This became particularly clear during the coronavirus pandemic. Disrupted supply chains, changed consumer behaviour and a sharp rise in online trade led to massive demand for containers. Within a few months, prices for new containers multiplied.

Raw materials as price drivers

A container is largely made of Corten steel. Prices are therefore sensitive to fluctuations in the raw materials market. Rising steel and energy prices directly increase production costs. Manufacturers usually pass these additional costs on to buyers and leasing companies.

As steel is traded globally, political decisions, environmental regulations and energy costs also have a direct impact on container prices.

Transport, ports and empty containers

Not only manufacturing, but also transport influences the price. Containers have to be transported from production facilities to ports around the world. Added to this are port fees, terminal costs and rising fuel prices.

A particularly costly factor is what is known as empty container management. Containers are often not where they are needed. Returning them incurs high costs, which are ultimately reflected in the price.

Leasing market under pressure

Many companies opt for leasing rather than purchasing. Leasing rates are strongly influenced by the current market situation. If supply is scarce, prices rise. Seasonal effects such as the Christmas business or harvest times further exacerbate this situation.

Regional imbalances in the movement of goods mean that containers are significantly more expensive in import regions than in production countries.

Geopolitics and global crises

Container prices are sensitive to global political events. Trade conflicts, sanctions, port strikes or military conflicts can abruptly interrupt supply chains. Blocked sea routes or diversions also extend transport times and drive up costs.

In such situations, containers quickly become a scarce commodity.

Condition and type make the difference

Not all containers cost the same. New containers fetch significantly higher prices than used ones. Well-maintained used containers are considered an economical alternative, while damaged boxes are traded at lower prices.

The type also plays a role. Standard containers are comparatively inexpensive, while refrigerated or special containers are significantly more expensive.

A reflection of the global economy

Container prices are more than just a key figure for the logistics industry. They are considered an early indicator of global economic developments. Those who understand their mechanisms can better assess market movements and make more informed decisions.

For companies, this means one thing above all: container prices are no coincidence – they tell the story of global trade.