1. Report Industry Investment Rating No information provided in the content. 2. Core Viewpoints of the Report - The shipping industry is currently facing significant cargo - collection pressure. The freight rate center has declined, and the 10 - month contract is mainly short - allocated while the 12 - month contract has the potential for long - allocation after the freight rate bottom becomes clear [4][5]. - The EC2510 contract is relatively safe to short at high prices, but extreme short - chasing is not advisable. For the 12 - month contract, attention should be paid to the bottom of this round of freight rate decline, and long - allocation can be gradually carried out as the freight rate bottom becomes clear [4][5]. 3. Summary by Related Catalogs 3.1 Market Analysis - Online quotes: Different shipping companies have different price quotes for the Shanghai - Rotterdam route. For example, Maersk's 36 - week price is 1315/2210, and the 37 - week price is 1140/1900 (currently up to 1170/1960). HPL - SPOT's price for the second half of September is 1135/1835 [1]. - Geopolitical situation: The Yemeni Houthi rebels stated that they would retaliate for the death of several important members in an Israeli air strike, which may affect shipping in the region [2]. 3.2 Capacity Analysis - China - European basic port capacity: The average weekly capacity in September is 294,700 TEU, and in October is 276,600 TEU. There are 3 blank sailings in September and 10 TBNs and 3 blank sailings in October. HPL has announced two additional vessels for October [3]. 3.3 Contract Analysis - 10 - month contract: It is a quarterly contract, mainly short - allocated. The current freight rate center has dropped to around $2000/FEU, and the 10 - month contract is equivalent to a spot price of around $1900/FEU. Attention should be paid to the price at which shipping companies try to stabilize the price [4]. - 12 - month contract: In normal years, the price in December is generally more than 10% higher than that in October. The risk lies in the bottom of this round of freight rate decline. If vessels on the US route are transferred to the European route in the fourth quarter, it may put pressure on European route prices [5]. 3.4 Futures and Spot Market - Futures market: As of September 1, 2025, the total open interest of all container shipping index European route futures contracts is 81,845.00 lots, and the single - day trading volume is 43,901.00 lots. Different contracts have different closing prices [6]. - Spot market: On September 1, 2025, the SCFIS (Shanghai - Europe) is 1773.60 points, and the SCFIS (Shanghai - US West) is 1013.90 points [6].

1. Report Industry Investment Rating There is no information provided regarding the report industry investment rating. 2. Core View of the Report - The freight rate has entered a downward cycle, and attention should be paid to Maersk's price offer in Week 34 [1][4]. - The top of the August contract freight rate has appeared, and the shipping company's price has started a downward cycle [4]. - The October contract is mainly for short - allocation, and subsequent focus is on the downward slope of the freight rate [5]. - The volume of shipments in December usually remains at a high level, and the freight rate is generally 10% higher than that in October. However, the risk lies in whether the Suez Canal will resume navigation [7]. - The strategy includes a weak and volatile main contract in the unilateral market, and in the arbitrage market, it is advisable to go long on the December contract and short on the October contract, and short the October contract on rallies [9]. 3. Summaries According to Relevant Catalogs 3.1 Market Analysis - Online quotes show different price trends for various shipping companies on the Shanghai - Rotterdam route. For example, Maersk's Week 32 quote was 1846/3102, and Week 33 was 1760/2960 [1]. 3.2 Geopolitical Situation - Russian President Putin had a phone call with Israeli Prime Minister Netanyahu on August 4, and they discussed the Middle East situation, with Russia reiterating its stance on peaceful resolution [2]. 3.3 Shipping Capacity - The average weekly shipping capacity from China to European base ports in August was 347,300 TEU, and in September it was 297,100 TEU. There were 4 blank sailings in August (all from the OA Alliance) and 2 TBNs in September [3]. - Maersk added two extra - loading vessels in August (Beijing Maersk in Week 32 and Maersk Emden in Week 35), and the OA Alliance added one (OOCL/Cosco CSCL JUPITER) [3]. 3.4 Contract Analysis - **August Contract**: The freight rate top has emerged. After Maersk's Week 34 price dropped to $2,800/FEU, the prices of the OA and PA Alliances followed suit [4]. - **October Contract**: It is mainly for short - allocation, and the normal price in October is 20% - 30% lower than that in August. Attention should be paid to the price at which shipping companies try to stabilize the price during the downward cycle [5]. - **December Contract**: The freight volume is usually high due to holiday procurement. The price in December is generally 10% higher than that in October, but the risk is the resumption of the Suez Canal [7]. 3.5 Shipping Vessel Delivery - 2025 is a big year for container ship deliveries. As of July 27, 2025, 157 container ships with a total capacity of 1.2513 million TEU have been delivered [8]. 3.6 Strategy - **Unilateral**: The main contract is expected to be weak and volatile. - **Arbitrage**: Go long on the December contract and short on the October contract, and short the October contract on rallies [9].