SUBSCRIBER NOTE: Platts launches 12 new container bunker cost assessments

S&P Global Platts has launched six new daily container bunker charge assessments, as well as six Platts bunker excluded container spot rates, complementing Platts existing container assessments, May 1, 2018.

Platts first proposed these new assessments in a note published March 23 (https://www.platts.com/subscriber-notes-details/26920802).

The new assessments cover the following container routes that are already assessed by Platts:

Head-Haul

Route From To Symbol PCR1 North Asia North Continent PCR0100 PCR5 North Asia East Coast North America PCR0500 PCR13 North Asia West Coast North America PCR1300

Back-Haul

PCR2 North Continent North Asia PCR0200 PCR6 East Coast North America North Asia PCR0600 PCR14 West Coast North America North Asia PCR1400

The Platts Bunker Charge (PBC) assessments reflect the bunker costs for transporting a forty-foot container on the above routes and are expressed in $/FEU.

These assessments are calculated using $/mt bunker prices in representative ports, published by Platts, including:

IFO380 PCR1 and PCR2 - Singapore, Gibraltar, Colombo and Rotterdam PCR5 and PCR6 - New York, Savannah, Charleston, Norfolk, Busan, Hong Kong, Tokyo and Vladivostok PCR13 and PCR14 - Los Angeles, Seattle, Busan, Hong Kong, Tokyo and Vladivostok

LSMGO PCR1 and PCR2 - Singapore, Gibraltar and Rotterdam PCR5 and PCR6 - New York, Savannah, Charleston, Norfolk, Busan and Hong Kong PCR13 and PCR14 - Los Angeles, Seattle, Busan and Hong Kong

The bunker charge round voyage percentage weighting allocation, vessel speed and consumption used in the bunker charge calculations are arrived at by extensive market survey and reflect market practice. All assessments include a sea margin of 5%.

The voyage durations are arrived at by extensive market survey and are basis vessels proceeding on a round voyage to ports in geographical rotation within the below ranges:

PCR1 and PCR2: Tokyo, Nagoya, Kobe, Busan, Xingang, Qingdao, Shanghai, Ningbo, Keelung, Xiamen, Hong Kong/Yantian, Kaoshiung, Cai Mep, Singapore, Colombo, Le Havre, Antwerp, Rotterdam, Hamburg.

PCR5 and PCR6: Kaoshiung, Hong Kong/Yantian, Xiamen, Keelung, Ningbo, Shanghai, Qingdao, Xingang, Busan, Kobe, Nagoya, Tokyo, Long Beach/Los Angeles, Jacksonville, Savannah, Charleston, Norfolk, New York, Boston.

PCR13 and PCR14: Kaoshiung, Hong Kong/Yantian-Xiamen, Keelung, Ningbo, Shanghai, Qingdao, Xingang, Busan, Kobe, Nagoya, Tokyo, Vancouver, Oakland, Long Beach/Los Angeles.

The container vessel speeds used in the assessments are:

PCR1 and PCR2 - 17 knots normal, 15 knots slow-steaming PCR5 and PCR6 - 18 knots normal and 15 knots slow-steaming PCR13 and PCR14 - 18 knots normal and 15 knots slow-steaming

The container vessel sizes used in the assessments are:

PCR1 and PCR2 - 18,000 TEU PCR5 and PCR6 - 9,000 TEU PCR13 and PCR14 - 10,000 TEU

The container vessel bunker consumption used in the assessments, basis metric tons are:

PCR1 and PCR2 - 124/mt per day at normal speed; 92/mt slow-steaming PCR5 and PCR6 - 108/mt per day at normal speed; 72/mt per day slow-steaming PCR13 and PCR14 - 112/mt per day at normal speed and 76/mt per day slow-steaming

The canal transit allocations, in days, used in the assessments are:

Panama Canal Northbound Transit - 1.0 day Panama Canal Southbound Transit - 1.0 day Suez Canal Northbound Transit - 1.0 day Suez Canal Southbound Transit - 1.0 day

The container volume split allocation used in the assessments are:

PCR1 and PCR2 - 65% and 35% PCR5 and PCR6 - 70% and 30% PCR13 and PCR14 - 70% and 30%

The above variables used in calculating bunker charge assessments are regularly updated to reflect market practice and new regulations.

The new Platts Bunker Excluded (PBX) container spot rate assessments are calculated by deducting the daily values of bunker charge assessments from the container rate assessments for the above routes and are also on a $/FEU basis.

These prices are published in Platts Dry Freight Wire, on the Platts Global Alert service on fixed page PGA 3950 and in the Platts database.

Please send any further comments or questions to shipping@platts.com and pricegroup@platts.com.

For written comments, please provide a clear indication if comments are not intended for publication by Platts for public viewing. Platts will consider all comments received and will make comments not marked as confidential available upon request.