25 Million Empty Shipping Containers

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There are more shipping containers loaded and unloaded off the coasts and rivers of China, than travel to or from all other territories in the world put together.


It is in China that more than three-quarters of this activity takes place. The majority of China’s shipping by implication is ‘domestic’. The rest of the world put together only handles a third of what China handles.

Thus, at least half of all container shipping in the world involves China. The ships may bring goods to serve the domestic Chinese market, they may transport part-finished goods along the Chinese coast or down-river, or goods could simply be transferred between container ships in a Chinese port.


The rental of a shipping container from the eastern coast of China to the west coast of the United States was $1,420.00 for the three-week journey. That is only for the rental, not the cost of transportation. Today, that rental cost has dropped to $900.00 and continues to plummet monthly based on the fact that there are currently 25 Million empty shipping containers available for rent in China.

US wholesalers and importers are not maintaining inventories of imported goods and are simply refusing to reorder goods from China on the theory that the economy has not bottomed-out. Being stuck with unsaleable goods is an importer’s nightmare.


This has created a huge problem for US companies that relied on inexpensive industrial goods from China to maintain their business. Without those imports, they face increased costs of manufacturing which may result in the closure of their business.

The ramifications of a severe economic downturn are far more onerous than government might acknowledge. The likelihood of a short-term recovery is implausible when all of the small suppliers and manufacturers have ceased production in China creating a domino effect worldwide.

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