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Factors That Affect Shipping Container Costs

East Coast Containers Shipping Containers and Transport • July 6, 2023

Shipping containers serve as the backbone of the international trade industry. They present an efficient and secure method for moving commodities from one corner of the globe to another. However, it's important to understand what influences the cost of these indispensable tools to make informed choices. In this blog, we will explore the key factors affecting shipping container costs.

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The Size of the Container

One of the primary factors affecting shipping container costs is its size. Containers come in various dimensions, with the most common sizes being 20 feet and 40 feet in length.

Larger containers require more raw materials during manufacturing, increasing production costs.
Larger containers occupy more space on cargo ships, resulting in higher transportation expenses.

The demand for specific container sizes can also impact their costs. For example, 40-foot containers are often more expensive due to higher demand and limited availability.

Container Condition and Age

The condition and age of a shipping container play an important role in determining its cost. Containers can be categorised into:

New containers: They are generally the most expensive, as they offer optimal structural integrity.
Used containers: These are more affordable but may have minor wear and tear.
Refurbished containers: These are the containers that have been repaired and restored to good condition.

The age of the container also affects its cost, with older containers being cheaper than newer ones.

Shipping Distance and Route

Shipping distance and route influence container costs as follows:

Longer shipping distances require more fuel and time, resulting in higher transportation expenses.
Specific routes taken by cargo ships can also affect costs. Certain routes may be more direct and efficient, while others may involve multiple stops or detours, increasing the overall shipping expenses.

It is important for businesses to consider these factors when estimating container costs for their international trade activities.

Seasonal Demand and Availability

Seasonal demand and availability can significantly impact shipping container costs. Here's how:

During peak seasons, such as the holiday season or specific industry-related events, the demand for containers rises, leading to higher prices.
The availability of containers can fluctuate based on market demand. In regions where container supply is limited, businesses may face increased costs.

It is advisable for businesses to plan their shipping operations well in advance and secure container services during off-peak periods to mitigate these cost fluctuations.

Additional Services and Customisation

The inclusion of additional services and customisation can add to the overall cost of shipping containers:

Businesses may require specialised containers for specific goods, such as refrigerated containers for perishable items or open-top containers for oversized cargo. These specialised containers often cost higher due to their unique features and functionalities.
Furthermore, businesses may opt for additional services like container tracking, insurance coverage or loading and unloading assistance, which can increase the overall cost of container services.

It is important to carefully assess the need for additional services and customisation to ensure cost-effectiveness.

Secure and Durable Shipping Containers on the Sunshine Coast

At East Coast Containers, we understand the importance of cost-effectiveness without compromising on quality. Our vast inventory of containers, including various sizes and conditions, allows us to cater to the unique needs of different businesses. Contact us today!

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