Update of the FVL Cost Index for H1 2023 released
ECG — 2023-10-10
News from ECG
The Finished Vehicle Logistics (FVL) Cost Index for Q2 2023 stands at 158.7 which indicates an overall cost increase of 58.7% from January 2019 to June 2023. For Q1 2023 the index stands at 157.8, hence, the index increased by 0.9%-points from Q1 2023 to Q2 2023. For the four segments the following results were derived:
- Logistics segment road: The FVL Road Cost Index amounts to 123.1 for Q2 2023 which shows a cost increase of 23.1% between January 2019 and June 2023. For Q1 2023 the index amounts to 125.7, hence, the index decreased from Q1 2023 to Q2 2023. After reaching record levels in the previous quarters, declining diesel costs predominantly affected the observed overall cost decrease.
- Logistics segment sea: The FVL Sea Cost Index amounts to 245.9 for Q2 2023 which shows an overall cost increase of 145.9% between January 2019 and June 2023. For Q1 2023 the index amounts to 240.0, hence, the index increased from Q1 2023 to Q2 2023. The ongoing surge in demand for bunker fuel due to an increase in global seaborne trade primarily drives this cost development.
- Logistics segment rail: The FVL Rail Cost Index amounts to 122.1 for Q2 2023 which shows an overall cost increase of 22.1% between January 2019 and June 2023. For Q1 2023 the index amounts to 124.0, hence, the index decreased from Q1 2023 to Q2 2023. After reaching record levels in the previous quarters, declining diesel costs predominantly affected the observed overall cost decrease.
- Logistics segment compounds: The FVL Compounds Cost Index amounts to 116.2 for Q2 2023 which shows an overall cost increase of 16.2% between January 2019 and June 2023. For Q1 2023 the index amounts to 115.4, hence, the index increased slightly from Q1 2023 to Q2 2023. This development is caused by overall stagnating levels of cost drivers between Q1 2023 to Q2 2023 in this segment.
The full version of the updated figures for Q1 2023 and Q2 2023 differentiated by segments and countries is available as an appendix to the study released in March 2023 here.
Further updates of the index will be provided periodically. Should you have any questions on the FVL Cost Index or would like to be involved in the process of future index updates, please feel free to contact PwC Austria or the ECG secretariat.