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China economic slump means container ships are cheaper to hire than some wedding marquees

China's slowdown has caused the day-rates of container ships to crash

Will Worley
Wednesday 20 January 2016 20:27 GMT
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A container ship sails towards Colombo Harbour as the sun sets in Colombo, Sri Lanka
A container ship sails towards Colombo Harbour as the sun sets in Colombo, Sri Lanka

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China’s economic slowdown has resulted in an unexpected development.

It is now cheaper to rent one of these...:

Onlookers watch from a harbour wall as the largest container ship in world, CSCL Globe, docks during its maiden voyage, at the port of Felixstowe in south east England
Onlookers watch from a harbour wall as the largest container ship in world, CSCL Globe, docks during its maiden voyage, at the port of Felixstowe in south east England (Reuters)

...than one of these:

(David Higgs/Flickr)

The cost of hiring a Capesize class container ship, which are too big to travel through the Panama or Suez canals, has fallen 92 per cent since last summer, according to Bloomberg.

It now costs $1,563 (£1,100) to use one of the ships for a day, not counting fuel costs. In August 2015, the day rate was $20,000.

In contrast, a 50-person wedding marquee, with tables, chairs, dance floor and PA system costs £1,183 ($1,687), according to marqueehire.co.uk.

Capesize class ships are mainly used to carry raw materials, such as coal and iron ore - typically to ports in China as the country underwent a period of huge and unprecedented economic slowdown.

The price of renting a type of marquee online.
The price of renting a type of marquee online. (marqueehire.co.uk)

The economic slowdown in China accompanies a fall in global oil prices, in anticipation of Iran flooding the global oil supply - which is already in surplus - with even more cheap oil. This week it became cheaper to buy a barrel's worth of oil than the barrel it comes in.

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