If you’ve been following the shipping news lately, you already know: ocean freight costs have gone through the roof.
In the first half of 2026 alone, the container shipping market experienced an unexpected surge in both volume and rates. The Shanghai Containerized Freight Index (SCFI) posted ten consecutive weeks of gains, climbing from 1,875 points in late April to 3,327 points by early July — a staggering 77.4% increase.
On major routes, the numbers are even more eye-opening. Spot rates on the Trans-Pacific route jumped 10%, while Asia-to-Northern Europe/Mediterranean routes rose 9%. The Drewry World Container Index hit $4,530 per FEU in early July — 61% higher than the same period last year. On the U.S. West Coast route, rates have reached approximately $7,500 per 40-foot container, while East Coast rates are hovering around $8,900 to $9,000. Some North African ports have even seen 40-foot high cube rates surpass $13,000.
And it’s not just one factor driving this. Geopolitical tensions — including the Iran conflict and Red Sea disruptions — have forced ships to reroute around the Cape of Good Hope, adding 7 to 14 days to each voyage and effectively reducing available capacity by 15% to 20%. The Panama Canal has also imposed draft restrictions due to drought conditions, further squeezing capacity. Meanwhile, new vessel deliveries in 2026 remain limited, with fleet growth of just 3.7% to 4.5%.
The result? More and more procurement professionals are asking the same question:
“How can I reduce shipping costs without compromising product quality?”
The answer may be simpler than you think: collapsible plastic crates.
Here‘s the reality: ocean freight now accounts for an increasingly large share of total procurement costs.
Not long ago, the purchase price was everything. Buyers focused on getting the lowest unit cost from suppliers and called it a day.
Not anymore.
Today, landed cost — the total cost of a product delivered to your door, including freight, insurance, customs duties, taxes, and handling fees — is what really matters. And when ocean freight rates have nearly doubled since the start of the year, that landed cost calculation changes dramatically.
A product that looked like a bargain at the factory gate can quickly become uncompetitive once shipping costs are factored in. For low-margin manufactured goods, the impact is especially severe. Every rate increase directly erodes monthly order profits.
That’s why optimizing packaging and shipping efficiency is no longer a “nice to have.” It‘s a competitive necessity.
Here’s the most important concept in this entire article:
When you ship rigid crates, you’re paying to ship a lot of air.
Think about it. A rigid plastic crate has a fixed height — say, 230 mm — whether it’s full of products or completely empty. When you load these crates into a shipping container, they take up the same amount of space regardless of whether they‘re carrying goods or just occupying volume.
Collapsible crates change that equation entirely.
When folded, they shrink to a fraction of their original height. You’re not shipping empty space anymore — you’re shipping product.
Here’s a visual comparison:
Rigid Crate (600×400×230 mm) — Height: 230 mm (fixed). Stacked in a container, the space between crates is filled with… nothing. Just air.
Foldable Crate (600×400×230 mm) — Height when folded: as low as 28 mm. That‘s nearly 88% less height for the same crate footprint.
Heavy Duty Foldable Crate — Height when folded: 36 mm — still dramatically less than 230 mm.
When you collapse a crate from 230 mm down to 28 mm, you’re reducing its shipping volume by more than 85%. That means the same container can hold many times more crates.
And since ocean freight is charged by container volume (and weight), every cubic meter you save is money back in your pocket.
Let‘s look at a practical example using a standard 600×400×230 mm crate.
| Crate Type | Folded/Nested Height | Estimated Quantity per 40HQ | Space Utilization |
|---|---|---|---|
| Lightweight Foldable Crate | 28 mm | ~9,396 pcs | Excellent |
| Heavy Duty Foldable Crate | 36 mm | ~6,480 pcs | Very High |
| Rigid Crate | Stacked Only | ~1,200 pcs | Low |
Data based on 600×400×230 mm crate specifications
The numbers speak for themselves. A 40HQ container can hold significantly more foldable crates than rigid or nestable alternatives. For the 600×400×230 mm size, foldable crates achieve approximately 9,396 units per 40HQ, compared to around 1,200 for rigid crates — a 680% increase in loading capacity.
The math is simple: more crates per container = lower shipping cost per crate.
Let’s break down exactly how this saves you money.
When you ship a container, you‘re paying for more than just the ocean freight. The total cost includes:
Ocean freight (the biggest line item)
Marine insurance
Customs clearance and brokerage fees
Terminal handling charges (THC)
Trucking/drayage to and from the ports
Destination handling fees
These costs are fixed per container — they don’t change based on how many crates are inside.
So when you can fit 680% more crates in the same container, every single cost listed above gets spread across more units. The result? A lower cost per crate for every expense.
Here‘s a simplified example:
Scenario A (Rigid Crates): 1,200 crates per 40HQ. Ocean freight = $7,500. Freight cost per crate = $6.50.
Scenario B (Foldable Crates): 9,396 crates per 40HQ. Ocean freight = $7,500. Freight cost per crate = $1.25.
That’s a saving of $5.25 per crate — just on ocean freight. Multiply that by thousands of crates shipped annually, and the numbers add up fast.
And remember: that‘s only the ocean freight. You’re also saving on insurance, customs, THC, and trucking — all on a per-crate basis.
When shipping costs are at near-record highs, these per-unit savings can be the difference between a profitable order and a loss.
The advantages of collapsible crates don’t stop at the shipping container. Here’s where the savings continue:
When crates arrive at your warehouse or your customer’s facility, they need to be stored — either full of product or empty, waiting for the next use.
Rigid crates take up the same floor space whether they’re full or empty.
Foldable crates can be collapsed and stacked, reducing storage space by 60% to 80%.
In high-rent distribution centers and warehouses, floor space is money. Collapsible crates let you store more units in less space, reducing your warehousing costs or allowing you to use the freed-up space for revenue-generating inventory.
With better space utilization, you can hold more inventory in the same footprint — or reduce your warehouse footprint and save on rent. Either way, your inventory carrying costs go down.
This is where collapsible crates really shine.
In many supply chains, crates are returned after delivering products to customers. With rigid crates, those return shipments are full of empty space — and you‘re paying freight on all that air.
Foldable crates collapse for the return journey, reducing return shipping volume by up to 80%. Some collapsible designs achieve collapse ratios of 5:1 or higher, enabling 3 to 5 times more collapsed units per truck. This fundamentally changes the economics of returnable packaging for cross-border supply chains.
As one industry analysis noted, “Foldable containers with a 4:1 or higher collapse ratio reduce return transportation costs by 60-75%”. Return freight savings of up to 78% have been reported in some applications.
Shipping lines and logistics providers face a perennial problem: empty containers need to be repositioned to where they‘re needed. This is one of the biggest cost “black holes” in logistics.
Collapsible crates address this issue directly. By allowing multiple collapsed units to occupy the space of one assembled unit, they reduce the number of trips required to move empty containers back to origin. This means fewer truck movements, fewer crane lifts, and reduced vessel space requirements — all of which translate to lower fuel consumption and reduced carbon emissions.
If you‘re exporting products in plastic crates — whether for automotive parts, agricultural produce, retail goods, or industrial components — the case for switching to collapsible crates has never been stronger.
Here’s the bottom line:
Ocean freight rates are at multi-year highs and remain volatile
Geopolitical disruptions and supply chain constraints show no signs of disappearing
Every dollar saved on shipping goes directly to your bottom line
Collapsible crates let you ship more product in the same container
They reduce per-unit freight, insurance, customs, and handling costs
They save warehouse space and return logistics costs
They reduce your carbon footprint by requiring fewer shipments
In an era of rising ocean freight costs, collapsible plastic crates are not just a packaging choice — they‘re a strategic imperative.
The upfront cost of collapsible crates may be higher than rigid alternatives, but the payback comes quickly through repeated shipping cycles, storage savings, and return logistics efficiencies. For businesses with frequent shipments and returnable packaging requirements, the ROI is compelling.
Don’t pay to ship air. Make the switch to collapsible crates — and watch your shipping costs come down.
Ready to learn more about how collapsible plastic crates can reduce your shipping costs? Contact our team for a customized container loading analysis and cost comparison for your specific crate size and shipping routes.
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