Shipping Containers Blog

Posts Tagged ‘new shipping containers’

There are many types of shipping container conversions.   Shipping Containers themselves, whether new or second hand containers, lend themselves to many projects large or small.  Their shape, and the fact that they are made of weather resistant corten steel, mean that they are very versatile and can be built up in blocks to many different configurations.    But how do you start planning such a project?

At the beginning of this year CS Shipping Containers were contacted by Chiswick Horticultural Association to quote - and then to build - a community centre which would be made out of seven second hand 20ft shipping containers.   It was to consist of a large open plan space with seperate areas for a kitchen and toilets.

But how do you go from a bare site, then groundworks as pictured above to having a completed project?

This series of posts will follow the progress of the project from when we received the order, the conversion of the individual units at the fabrication plant where the insulation, lighting and heating, toilets and kitchen were put into the shipping containers, the delivery and craning of the units onto the site, and the assembly itself.

For those planning multi-container conversions, this should give a better idea of what is involved.  They will compare the merits of using new shipping containers to used shipping containers, the ways in which containers can be got onto a site with restricted access, as well as general points to consider when planning a conversion.

If you have decided that the you want to choose a shipping container, how do you go about it?

The first thing to decide is what you want to use your container for.  It maybe that you want to ship it abroad or use it as domestic storage in a situation where appearance is very important.  In which case you should consider a new/ex-factory/once used shipping container.

There is some confusion over the term “new” container as opposed to “once used” or “ex-factory”.  In fact they all refer to the same thing.  Shipping containers are manufactured in China and shipped over to this country with one load inside them before being released into the domestic market.  It is these containers that are called new/once used or ex-factory depending on who is selling them to you.

They should all be in excellent condition.  The colours will obviously vary according to shipping line or the specification of whoever commissioned them.

Obviously these shipping containers cost more than good second hand wind and watertight containers but they are by no means un-affordable and will have an average life of 25 years from purchase.

The next post will focus on second hand cargo containers and what to look for when buying.

The cost of new /once used shipping containers has been rising.  Even though cost wise shipping containers compare favourably to other means of secure storage, in the last month the cost of a 20ft new /once used shipping container has increased by nearly £200.  The next batch of new containers exported in from China is likely to be more expensive again.   Why should that be when the price of steel is dropping?

Shipping Container cost has always been dependant on both the condition of the container and its location (and therefore the transportation costs involved).   The market price of its principal constituent, corten steel, has also been relevant.  These are the factors that most people would consider to be the controlling influence on the cost of shipping containers.   What is often not taken into consideration as far as shipping containers are concerned is the effect of the currency exchange rate. 

For shipping containers, the currency exchange rate has had a major effect on the cost.   Anything to do with shipping uses the US Dollar as its currency.   As we all know the Pound Sterling has been dropping significantly against the US Dollar and this has meant that there are less shipping containers to the pound!   However, this has resulted in two other knock on effects on the cost of shipping containers.

 Firstly, as far as new shipping containers are concerned , the price increase has meant that less new shipping containers are being ordered.  As a direct result of this  some of the factories in China (the main producer of new shipping containers) have closed - and as we all know less competition is never a good thing for competitive pricing!

Secondly, the shipping industry itself is suffering in this recession with less actual shipping happening on a world-wide basis.   This has meant that the shipping lines are tightening their belts and are holding onto their  existing shipping containers for longer.  There are therefore less used shipping containers coming onto the market.  At the moment the second hand market is holding steady price wise, but prices will no doubt rise as second hand containers become scarcer.

All is not doom and gloom however.   In comparison to many other forms of storage, shipping containers are - and will be - priced favourably.  After all many other materials are also increasing in price due to the market conditions!    Shipping container conversions such as offices, accommodation and classrooms are going to continue to be a more economic solution than conventional building methods.  The modular construction of shipping containers and their integral strength mean that they are not only ideally suited for many projects but also that they are always going to be quicker to assemble and instal than bricks and mortar.  The fact that the containers are designed to be easily transported by road, rail and sea mean that delivery of the containers onto site  is not a problem.  In short, despite the price increases, shipping containers still have a lot going for them! 

How long this world-wide recession and the weakness of the Pound Sterling will continue is open to speculation.   What will always be true is that shipping containers will continue to be a versatile and economic solution.