Shipping containers are an essential component for facilitating secure and cost-efficient transportation of goods across borders via ship, rail, or truck. Manufactured primarily from steel, shipping containers vary in size and are fabricated to international standards for ease of handling and transportation using large mechanical equipment like cranes and forklifts. The adoption of containerization has dramatically reduced the costs associated with international trade while increasing shipment speeds. Commodities ranging from electronics and machinery to food items and raw materials are transported across continents and oceans utilizing thousands of shipping containers on a daily basis.
The global trade in containerized cargo has expanded exponentially over the past few decades, driven largely by globalization and outsourcing of manufacturing to lower-cost nations. This growth in international trade volumes has correspondingly increased the demand for standardized steel shipping containers from industries involved in importing and exporting. The containerization of cargo shipments continues to ramp up efficiencies in supply chain logistics for companies trading globally.
The global Shipping Containers Market is estimated to be valued at US$ 12572.95 Mn in 2023 and is expected to exhibit a CAGR of 9.3% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
One of the key trends driving growth in the shipping containers market is the consolidation of shipping lines into global alliances which cooperate on vessel-sharing to optimize container capacity utilization. The top three global shipping alliances now control over 80% of the global container vessel capacity. This alliance network enables carriers to deploy larger container ships that can transport over 23,000 TEUs (twenty-foot equivalent units) of cargo in a single vessel. The economy of scale from operating mega-ships is increasing the demand for new, larger container designs that can be efficiently loaded and transported. Another significant trend is the retrofitting and remanufacturing of used containers to extend their operational life, driven by cost considerations and sustainability initiatives to promote circular economy principles in container manufacturing and usage.
Threat of new entrants: The threat of new entrants is moderate. Shipping container market requires high infrastructure and capital investments. However, low brand loyalty can bring new players with innovative container designs.
Bargaining power of buyers: The bargaining power of buyers is moderate to high. Large buyers like retailers have significant influence on pricing and demand significant discounts. Switching costs for buyers are low.
Bargaining power of suppliers: The bargaining power of suppliers is moderate. Key materials like steel and paperboards have few large suppliers globally with differentiation in quality and capability. Supplier concentration remains high.
Threat of new substitutes: The threat of new substitutes is low. No cost-effective substitute is available that offers equivalent functionality at scale.
Competitive rivalry: Competition in the market remains intense. Large players compete on pricing, innovation, and sustainability.
The Global Shipping Containers Market Trend is expected to witness high growth. The global Shipping Containers Market is estimated to be valued at US$ 12572.95 Mn in 2023 and is expected to exhibit a CAGR of 9.3% over the forecast period 2023 to 2030.
Regional analysis: Asia Pacific dominates the market currently due to strong manufacturing activity in China, India, and Vietnam. North America and Europe are also major markets driven by developed logistics and strong exports.
Key players: Key players operating in the Shipping Containers market are AR Packaging Group AB, HUHTAMAKI GROUP, International Paper, DS Smith PLC, Amcor Limited, Rengo Co., Ltd., Pactiv. AR Packaging and DS Smith focuses on sustainability and innovation while HUHTAMAKI GROUP leads the flexible packaging.
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it