3 ms·
My point is it’s not cheaper it’s more expensive, at precisely the wrong time. Sure shipping costs might be a small fraction of the costs of goods…but…unless it
by verelo 3y ago
My point is it’s not cheaper it’s more expensive, at precisely the wrong time. Sure shipping costs might be a small fraction of the costs of goods…but…unless it’s <= 2% that ain’t helping inflation so let’s do something about it.
TLDR: it’s more than 2%, the average value of a shipping container is 50k, it costs 3k to mover. This is an issue, let’s resolve it.
https://porteconomicsmanagement.org/pemp/contents/part1/maritime-shipping-and-international-trade/value-containerized-trade/#:~:text=About%2070%25%20of%20the%20value,TEU%20or%20%24109%2C000%20per%20FEU.P https://porteconomicsmanagement.org/pemp/contents/part1/mari...
- semiquaver 3y agoFYI: You misread your link, it quotes the average value of a Twenty Foot Equivalent Unit as 55K, so 109K for an FEU which costs 3K to ship. Furthermore, these numbers are wholesale values; a reasonable rule of thumb is to double that for retail prices. That puts the cost of sea freight at about 1.3% of retail using your numbers. Even a doubling would be dwarfed by other factors driving inflation.
- verelo 3y agoOk great feedback, your point seems extremely valid, thank you!