What are the reasons why container transportation from China is expensive?

1. Increased production costs
China is the representative of the world's factories, with a huge production base. However, in recent years, China's production costs have gradually increased, mainly reflected in the increase in labor costs, energy costs, and raw material costs. This leads to production enterprises having to increase inputs during the production process, resulting in an increase in the price of the final product. This rising production cost directly affects container transportation costs, as transportation costs account for a significant proportion of the entire commodity supply chain.
2. Significant infrastructure investment
In order to meet the growing trade demand, China has to continuously improve and expand its transportation infrastructure. Especially for transportation infrastructure such as ports, highways, railways, and airports, a large amount of funds are needed for investment and maintenance. These huge infrastructure investment costs are directly passed on to container transportation costs, making the entire logistics system expensive.
3. Fuel price fluctuations
Container transportation relies on a large amount of fuel consumption, and fluctuations in fuel prices directly affect the level of transportation costs. Due to the instability of international oil prices, transportation companies often find it difficult to predict and stabilize transportation costs in advance. Therefore, in order to cope with the volatile fuel prices, transportation companies can only increase transportation costs to ensure their profitability, making container transportation from China more expensive.
4. Tight transportation capacity
China's trade scale is huge, and the demand for transportation capacity is also very high. However, due to a series of constraints on the supply of ships and containers, transportation capacity is relatively tight. This supply-demand contradiction allows transportation companies to price more flexibly, and transportation prices from China are therefore pushed up.
5. Increased costs for transportation companies
The operating costs of transportation companies themselves are also constantly increasing, including ship maintenance, labor costs, insurance costs, and other aspects. The increase in these costs has directly led to an increase in container transportation prices from China.