ISO Shipping Container Market Size, Revenue, and Forecast 2030 (2023)

FAQs

ISO Shipping Container Market Size, Revenue, and Forecast 2030? ›

The global ISO Shipping Container market size was valued at USD 9673.96 million in 2022 and is expected to expand at a CAGR of 8.07% during the forecast period, reaching USD 15409.67 million by 2030.

The global shipping container market size reached US$ 10.3 Billion in 2022. Looking forward, IMARC Group expects the market to reach US$ 16.4 Billion by 2028, exhibiting a growth rate (CAGR) of 8.02% during 2023-2028. Shipping containers are considered suitable for withstanding shipment, storage, and handling.

According to the research report, the global modular (shipping) container market size & share was valued at USD 27,903.05 Million in 2022and is expected to reach USD 56,658.50 Million by 2032, growing at a CAGR of 7.4% during the forecast period.

The global shipping containers market was valued at $8.70 billion in 2019, and is projected to reach $12.08 billion by 2027, registering a CAGR of 4.3% for the forecast period 2020-2027.

In 2023, we now expect growth in head-haul and regional trades to end in the 1-2% range rather than the 3-4% that had been previously predicted. On the other hand, we have increased our demand growth forecast for 2024 by 2 pp and now expect growth of 5-6%.

Our detailed assessment for Thursday, 13 April 2023

It is 36% lower than the 10-year average of $2,688, indicating a return to more normal prices, but remains 20% higher than average 2019 (pre-pandemic) rates of $1,420.

Enterprises are adopting Kubernetes to accelerate software development, scale deployment, and enable faster digital transformation. Gartner estimates that by 2026 more than 90% of global organizations will be running containerized applications in production (an increase from fewer than 40% in 2020).

While there was a shortage of containers at the height of the Covid pandemic, the global economy is now facing the opposite problem: too many containers. On top of falling freight rates, data shows container depots — used to house containers after they are unloaded — are now filling up or full.

Why do shipping containers only last 25 years? ›

When maintained properly, a shipping container can last upwards of 25 years or longer. The lifespan depends on the condition of the container and the environment in which it is kept. Although they are built to resist harsh climates, its' lifespan can be cut short by wetter, saltier climates.

In 2023, freight prices get expected to be adjusted and decrease by 30–40%. It's wonderful news that freight charges are declining, especially for importers. It is extremely doubtful that they will return to the 2019 level.

The construction of new ships plus the retention of the old ones will soon result in substantial growth in the total number of container ships. Therefore, in the next two years, more freight ships will be a new feature of the container shipping industry and this trend will continue to consolidate in the future.

According to a study, the global ISO tank container market size was worth around USD 210.2 million in 2021 and is predicted to grow to around USD 325.32 million by 2030 with a compound annual growth rate (CAGR) of roughly 5.1% between 2022 and 2030.

Container shipping costs are one of the biggest challenges facing the shipping industry today. The cost of container shipping has been subject to significant volatility in recent years, driven by a range of factors.

Container shipping earned a “mind-altering” $63.7 billion in profits in the second quarter, according to industry veteran John McCown's tally. The second quarter of 2022 now marks seventh consecutive quarter of record of the highest net income ever for the industry.

Fleet supply

Annual dry bulk fleet growth will slow to 2.8% in 2022, 2.5% in 2023, and 1.8% in 2024, compared with 3.4% in 2021 with limited orderbook.

Growth in Global Market

The global ocean freight market is expected to grow from $170.78 billion in 2016 to reach $280.45 billion by 2023 with a CAGR of 7.4%.

A global container index is a weighted average of individual lane indices and offers a big-picture perspective on the worldwide supply/demand balance. Looked at over a span of multiple years, global indices provide important insights on the ebb and flow of ocean container markets.

The use of containers to increase speed of deployment and portability for modern applications is growing rapidly. Now part of the standard architecture for cloud-native businesses, Gartner predicts that, by 2025, 85 percent of organizations will run containers in production, up from less than 30 percent in 2020.

What is the most popular containerization technology at the moment? ›

The international shipping industry can be divided into four closely related shipping markets, each trading in a different commodity: the freight market, the sale and purchase market, the newbuilding market and the demolition market.

The smart ship and autonomous technologies are examples of developments used in the modern marine sector. Improvements in shipbuilding (megaships), advanced materials, smart shipping, propulsion, robotics, big data and sensors are making the work on the Earth's waters easier.

Spot rates are down 90% across the main shipping routes across the Pacific and from Asia to Europe since the height of the pandemic in 2021.

Shipping containers have an average lifespan of 25 years thanks to a design that ensures their durability when traveling by sea.

According to a World Shipping Council (WSC) report, up to 1,382 sea containers are lost at sea each year.

Container shipping outlook

Given the IMF and WTO outlook for 2023 and China maintaining its current COVID-19 policies, we anticipate the container demand growth to be weak in 2023 overall but are optimistic about improvement in the latter part of the year.

Triton International is the world's largest lessor of intermodal containers and equipment. The leasing company has a fleet of 7.1 million TEUs. With 19 offices in 14 countries, the extensive global network allows Triton to have the lowest cost ratios in the industry.

A.P. Møller-Maersk & Family – Net Worth $21 Billion, Denmark. A true household name in shipping, Moeller-Maersk is a global conglomerate with nearly 90,000 employees.

Are shipping containers being abandoned? ›

Every year, hundreds of thousands of containers loaded with cargo are abandoned at ports worldwide. The phenomenon of abandoned goods is not new. But it has become a bigger headache for the logistics industry in the current Covid-19 environment, contributing to port congestion and rising logistics costs.

Corten steel — the material used in shipping container construction — is considered an 'Atmospheric Corrosion Resistant Steel. ' That means it's incredibly resistant to atmospheric weathering compared to other unalloyed steels. But because it contains some iron, the metal is still prone to rust.

In March 2022, container bookings remain hard to find, and prices are elevated well above pre-pandemic levels. Market research firms don't expect major growth in the container manufacturing industry over the next few years, meaning that extra supply probably won't solve the shortage anytime soon.

Unlike many financial assets, tangible assets like shipping containers don't go out of fashion, and are almost always in demand somewhere in the world. This is because they hold both material and functional value. So they're always a good investment option.

Therefore, air freight rates will keep falling more steeply than sea freight rates. Nevertheless, the rates are not going to fall to the pre-pandemic levels in the first two quarters of 2023 because of several factors like high jet fuel costs, and high inflation.

Freight & shipping costs & delays

Extremely elevated logistics costs have been one contributor to inflation during the pandemic. But since the spring of 2022, ocean freight prices have come down, with China-West Coast US rates recently hitting pre-pandemic levels.

Meanwhile, long-term contract rates finished 2022 about 20% lower than the pandemic peak of more than $8,000 per container, according to maritime consultancy Drewry, which expects contract rates to halve in 2023. That forecast would put rates at about $3,200, versus the pre-pandemic rate of around $1,500.

The container leasing market size is projected to reach multimillion USD by 2029.

In addition to many other supply chain disruptions, logistics professionals face another challenge—a serious shipping container shortage. Many existing containers are tied up in ports, storage facilities and vessels worldwide. The shortage has been made worse by port congestion and rising demand.

No relief: Global container shortage likely to last until 2022.

Is there a shipping container crisis? ›

Cost per container has increased rapidly from around 1,500 USD in 2019 to 7,600 USD in July of 2022 and peaking at over 10,000 USD in September of 2021, impacting the market for medium to large goods the most, especially those of lower value and regular demand.

A.P. Moller-Maersk is the world's largest integrated shipping company with a total capacity of 4.1m TEU. It operates a fleet of 708 vessels including 307 own container vessels and 401 chartered container vessels as of December 2019.

China builds roughly 97% of all the shipping containers in the world.

Shipping container homes are durable but may lack the longevity that traditional houses have. A custom container home can last 25–30 years with proper maintenance, but a standard home generally lasts much longer than that, especially considering homes are passed down generations and still stand the test of time.

Amid a “very quiet” end-of-year shipping season, empty containers are piling up at Chinese ports. According to Alice Tang, China-Europe land transport planner at ITS Cargo, there has been a complete reversal of the severe equipment shortages of last year's pandemic-induced cargo boom.