Get our step-by-step guide on how to buy a shipping container before you start handing out your money. It might just save you time, money, and plenty of frustration.
If you’re playing around with the thought of buying a shipping container, it won’t take you many searches on Google to figure out it’s not necessarily that simple to do. The world of containers can be overwhelming, and there are many aspects you have to familiarize yourself with.
But don’t let that discourage you. Take a deep breath and let us give you a rundown of what you need to know before you take out your wallet and buy a shipping container. Here’s our 7-step-guide for businesses to help you get the containers you want and need.
Are you a private person looking to buy a container for personal use? Then this blog post will be more relevant for you.
Step 1: Should I buy or lease a shipping container?
The first thing you need to be completely sure about is whether it makes sense for you to actually buy the shipping containers or lease them. That decision depends on your situation.
Let’s have a look at some of the different scenarios for you to consider.
If you only need a few containers for storage, being a container owner makes sense. The same goes, if you need containers for an indefinite period, use containers frequently, and don’t need too many of them. When you buy a container, it’s important that you’re sure you’ll use the containers. Also because it’s an upfront payment you have to make when paying for the containers – something that will leave a dent in your finances.
On the other hand, you might be in a situation, where you only need to borrow a small number of containers. You could also be in need of a large number of containers, but only one-way. Or simply need the containers for a short period of time. If you find yourself in any of those situations, leasing a container could be the best option for you. And you should also consider one-way lease. When you lease a container, it’s cheaper in the short term than when you buy. Because here you only have to pay the leasing rate. However, on the long term, the cost of leasing the container can get higher than what you’d pay for a used container.
Not quite sure whether you should buy or lease the containers? You can learn more about the pros and cons of leasing and buying shipping containers right here in this blog article.
Step 2: Which container type do I need?
Now that you know if you should buy or lease the containers, you’re ready for the next step: Deciding on which container type you need. This can feel like yet another jungle of information. But it all comes down to what goods you need to ship.
When you start looking for containers the first thing you need to consider is: Do I need a standard container, or does my shipment have special requirements?
If you need to ship paper or other common dry cargo, a standard container can be the best solution for you. Here, you can choose between the most common containers 20 ft and 40 ft – as well as their taller sibling, the high cube.
But if you have shipments that are larger, there’s a long row of special containers to choose between. If you’ll be shipping foods, chemicals, or medicine, you should look into the reefer and the insulated container. Both of these container types help maintain a steady temperature inside the container.
You can get the full overview and learn more about these container types in our in-depth blog article on container types.
Step 3: Choose the condition and grading of the container
When you’ve figured out which container type is right for you, it’s time to decide on the grading of the container. Which grading and condition you should choose, depends on what you want to ship.
Here it can get a little complicated. Because there’s no universal grading system for shipping containers. Something that also leads to a lot of confusion with all the different abbreviations to explain the container condition such as WWT, CW, F, and B. And these abbreviations are some you’ll quickly come across. So, let’s clear that up first.
We’ll start out with the different grades. There are: One-trip containers, that have only been shipped from the manufacturer to the owner. Below you can see the journey for a typical one-trip container 👇
Then there are Wind and Watertight containers, WWT, as well as CW containers – also known as Cargo Worthy. Cargo worthy explained, means that the condition of the shipping container is deemed suitable for cargo transportation under CSC criteria.
If we instead look at the grading, there are other abbreviations to look out for. There are the following gradings: F, A, B, and C.
A container with an F grade is a new container – also known as foodgrade. This means that the container can, for instance, be used to ship foods.
A grade-A container is new, refurbished, or used, where a grade B container is cargo-worthy. Containers with a C grading are often called wind and watertight or cargo-worthy 2 containers.
If you need containers for e.g. storage, you can look for containers graded As-Is.
Feeling a bit confused and overwhelmed with the many different abbreviations and gradings? Here we’ve just given you a very brief overview of the different things you should keep an eye on. Read this in-depth blog article about container condition and grading right here.
Step 4: Where can I buy a shipping container?
Around the ports, there are usually plenty of container suppliers. So, if you want to buy a shipping container that’s one place to look. You can also find containers through local brokers, who have regional networks to find containers you need.
However, as easy as it can be to find the containers you need close to the ports, it also has its downsides. The pricing can be higher given the ease of accessibility and lack of transparent deals you can make. Giving you little chance to know the reasoning behind the price and added fees.
That way is just one way to trade containers. The other solution you might then consider would mean you spending hours sending out emails after emails, hoping that someone in your network knows someone who might have containers for sale. But it also doesn’t have to be that difficult.
Buy shipping containers from your computer screen
Skip the long email correspondences and hairpulling frustrations of looking for traders offering competitive pricing. How? With Container xChange.
On our neutral online marketplace, you become a part of an international trading network. Here you can scroll through sales offers, and see the prices of all the containers. That way you can compare the prices with each other – just like when you’re out shopping. Easy, right?
To make it even more simple, we vet all companies before they become xChange members. Ensuring that you can find trustworthy partners. When you find one or more containers you like, you can directly message the seller and negotiate the terms. All of that right from your computer screen. Want to lease containers instead? That’s no problem with our online leasing platform.
Step 5: Hire a container surveyor
This step is mostly relevant if you want to lease your shipping containers.
A container surveyor usually conducts inspections, surveys, and examinations of container equipment either before or after a company lease a container to make sure the container is in the desired condition.
This is often something the leasing companies make sure to do, a way of insuring themselves. If you want to learn more about the different inspections a container surveyor offers, have a look at this in-depth blog article.
Step 6: What does a shipping container cost?
The price of a container depends on many of the choices you’ve made in the previous steps. The container type, container grading, and also where you need them. Because there’s a built-in container imbalance in the world trade. The major demand for export containers in China and across Asia means, that these countries often face a deficit of containers, as Asia has an export that exceeds its import. They, therefore, often don’t have enough containers available.
So, if you want to buy a container in, for instance, Shanghai the cost will be higher than if you were to buy one in Hamburg, Germany.
But let’s have a look at some average prices:
A used shipping container can cost you in the range of $1500-$5000. Here the location also plays a crucial part in the pricing. New and one-trip containers, on the other hand, usually come more expensive and can be anything between $3000-$5000.
For instance, a used 40ft shipping container can cost around $1400, where a new or one-trip 40ft container can cost around $3500.
Step 7: Transport the container
You can now officially call yourself a container owner – congratulations! But with your new metal boxes, you need to figure out how to transport them. That means scheduling, booking slots on the vessel, trucking, and transport by rail.
If you’re planning on shipping your containers empty, I’d like to ask you to think twice. Because why should you spend more money on the empty repositioning of your new containers, if you can get someone to move it for you – and then you don’t have to pay anything?
You might want to consider using your container as a one-way container. Let’s say you need to move your box from e.g., Los Angeles, the US., to Shanghai, China. This means, that a container user, leases the shipping container for that one journey. And that’s a situation where you both win.
The container user gets cargo moved, and you get your container to where you need it. To make it even better, the container user pays for the shipping of the container. Meaning you don’t have to pay anything to get your container to your preferred location.
Intrigued? Learn all about one-way containers and leasing in this expert piece.
Buy shipping containers quickly and easily
Now you’ve been through our how to buy a shipping container guide. You might have realized that buying shipping containers can be a bit of a mouthful. And, truthfully, it’s not always easy to find the containers you need, in the right location, at the right price.
But we, at xChange, want to make it easier to buy and sell containers worldwide. So once, you’ve decided which container type, grading, and locations you want your containers in, we’re here to help.
With Container xChange you get access to containers worldwide. And the owners of these containers have all been vetted and checked, minimizing the risk of you being cheated out of your money.
Over 600 companies already have access to the trading marketplace. And more than 50,000 containers have so far been put up for sale. That gives you a unique opportunity to find and buy the shipping containers you need.
Want to see how the xChange trading marketplace can help you find containers easily and conveniently? Click on the banner below and get in touch with our expert team. They’ll be happy to show you the marketplace in action.