In a global economy where over 90% of trade is moved by sea, understanding freight pricing is essential for importers, exporters, freight forwarders, and supply chain professionals. One of the most widely respected tools for measuring ocean freight rate trends is the Baltic Index Container, officially known as the Freightos Baltic Index (FBX).This index serves as a daily, data-driven benchmark for tracking the cost of shipping a 40-foot container across key international trade lanes. For businesses navigating volatile shipping markets, the Baltic Index Container offers transparency, insight, and control.
1.What Is the Baltic Index Container?
The Baltic Index Container is a composite index developed by Freightos in partnership with the Baltic Exchange, an institution renowned for its shipping indices since the 18th century. Launched to provide an accurate and real-time reflection of global container shipping prices, the FBX is based on actual transaction data, not quotes or estimates.
The index tracks Freight All Kinds (FAK) spot market rates for 40’ containers, including surcharges, offering a complete picture of door-to-port costs across key lanes like Asia–North America, Asia–Europe, and Europe–South America.
2.Key Features of the Baltic Index Container
| Feature | Details |
|---|---|
| Updated | Daily (published at 14:00 UTC) |
| Data Source | Live transactions via WebCargo by Freightos |
| Coverage | 12 major global trade lanes + global weighted average |
| Container Size | 40’ standard container (FAK) |
| Transparency | IOSCO-compliant; regulated by EU authorities |
| Use Cases | Rate benchmarking, forecasting, contract pricing, financial hedging |
3.Trade Lanes Covered by the Baltic Index Container
The FBX provides lane-specific pricing indices, which feed into the overall global composite. Some of the key trade routes include:
- China/East Asia to North America West Coast
- China/East Asia to North America East Coast
- China/East Asia to Northern Europe
- North America to Europe
- Europe to South America
- Intra-Asia routes
Each tradelane reflects a median price derived from real, cleaned, and anonymized transactions across thousands of bookings.
4.Why Is the Baltic Index Container Important?
1. Accurate, Real-Time Market Intelligence
Shipping prices can change weekly or even daily based on port congestion, fuel surcharges, vessel availability, or geopolitical disruptions. The Baltic Index Container gives you an up-to-date snapshot to make real-time pricing and procurement decisions.
2. Contract Negotiations
Shippers and freight forwarders can reference the index during contract discussions to establish fair pricing based on transparent, third-party data.
3. Freight Futures and Hedging
Just like oil or commodities, the Baltic Index Container is increasingly being used in financial instruments to hedge against rate volatility. This is particularly valuable for large shippers with fixed budgets.
4. Supply Chain Forecasting
Historical and current FBX data helps supply chain teams predict cost surges or declines, improving forecasting, budgeting, and inventory planning.
5.How Is the Index Calculated?
Outlier rates (too high or too low) are removed using automated and manual processes.
Each tradelane index is weighted according to global trade volumes to compute the composite FBX global index.
Data comes from over 50 million shipping rate quotes and bookings each month.
Unlike surveys or quotes, the FBX only includes prices from actual bookings on WebCargo, ensuring real-world relevance.
6.Real-World Use Cases
| User | How They Use the Baltic Index Container |
|---|---|
| Freight Forwarders | Benchmark market rates and offer competitive quotes to customers. |
| Importers/Exporters | Budget and plan for future shipments based on transparent market trends. |
| Analysts & Economists | Track global trade flows and analyze shipping trends. |
| Logistics Platforms | Integrate FBX data for dynamic pricing models and customer transparency. |
| Hedging Firms | Build container shipping derivatives and freight futures contracts. |
7.August 2025 Market Snapshot
As of Week 31 (August 2025):
- Global FBX Index: $2,330.80 (moderate seasonal increase)
- Asia to US West Coast: Up 6% due to peak season surcharges
- Asia to Europe: Stable with minor fluctuations
- Europe to US: Rising slightly due to vessel rerouting via the Cape of Good Hope
These movements reflect global dynamics such as:
- Typhoon disruptions in East Asia
- Red Sea instability leading to rerouting
- Container equipment shortages in India and Bangladesh
- Labor strikes in North American ports
Such volatility emphasizes the strategic importance of monitoring the Baltic Index Container daily.
Conclusion
In a world of uncertain fuel costs, trade disputes, capacity shortages, and shifting consumer demand, staying updated with freight pricing is not optional—it’s strategic. The Baltic Index Container equips logistics and supply chain professionals with the insight to Negotiate smarter，Forecast costs accurately and Navigate market fluctuations confidently.If you’re involved in shipping, whether you move 1 container or 1,000 per month, integrating the Baltic Index Container into your logistics strategy is a game-changer.
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FAQs
Q1:Is the Baltic Index Container only for 40-foot containers?
Yes. The Freightos Baltic Index (FBX) specifically tracks rates for 40-foot containers (40’ GP or HQ) under the Freight All Kinds (FAK) pricing model. It does not include 20-foot container rates, although those may follow similar trends.
Q2:Does the index apply to full container loads (FCL) only?
Correct. The FBX reflects rates for FCL (Full Container Load) shipments. It does not include pricing for LCL (Less-than-Container Load) shipments, which are often subject to different pricing structures and consolidation fees.
Q3:What is FAK pricing in the context of the index?
FAK (Freight All Kinds) is a simplified pricing model used by carriers where a uniform rate is applied across all types of commodities. The FBX only tracks FAK spot market rates, not contract-specific or commodity-specific rates.
Q4:Can I use the Baltic Index Container to predict future rate trends?
Yes—historical FBX data is widely used for trend analysis and forecasting. Many logistics managers track patterns over months or years to anticipate rate spikes during peak seasons (e.g., before Golden Week or Christmas).
Q5:Is the FBX index used in freight contracts?
Absolutely. The FBX is increasingly used in index-linked contracts, where long-term freight agreements are tied to the movements of the Baltic Index Container. This provides price stability with market flexibility.