TEU: Definition, History, and Vessel Sizes

TEU, or a twenty foot equivalent unit, is the standard measure of container capacity on a ship. In other words, it tells you how many 20-foot-long containers can fit on particular container ships. TEU is important because it allows for easy comparison of vessel sizes.

For example, if one container ship has a capacity of 1,000 TEU and another container ship has a capacity of 2,000 TEU, you know that the second ship can hold twice as many containers. In this blog post, we’ll take a closer look at the history and development of TEU as a measure of capacity on container ships.

We’ll also examine some of the largest vessels in the world and see just how much bulk cargo they can carry. So whether you’re a maritime enthusiast or just curious about how big these ships are, read on for everything you need to know about TEU.

What Is Twenty Foot Equivalent Unit?

A TEU is a standard size for a shipping container, often referred to as a TEU container. It stands for “twenty-foot equivalent unit” and is the most common type of container used on cargo ships. Therefore, TEUs are sometimes called “unit loads” or “intermodal containers.” A TEU container measures 20 feet long, 8 feet wide, and 8 feet tall. TEUs are used to measure the capacity of a ship or the amount of freight a vessel can carry. For example, a ship carrying 3,000 TEUs of cargo is said to have a capacity of 3,000 TEUs.

The term “TEU” also is used to describe the number of containers loaded onto or discharged from a ship simultaneously. For example, if a vessel is loaded with 1,000 20-foot containers, the ship’s load is said to be 1,000 TEUs.

The History of TEU

Malcom McLean’s idea for standard-sized containers that one can use for multiple forms of transportation revolutionized the shipping industry. Maximizing container space was essential for improving the efficiency of shipping operations. Before his innovation, commodities were loaded and unloaded by hand, often resulting in damage or lost cargo.

By designing containers that people could quickly transfer between modes of transport, McLean created a more efficient and reliable system for shipping goods. As a result, a new era in ocean freight began in April 1956 when the Ideal X set sail on the inaugural journey of containerized cargo from New Jersey to Houston.

His idea soon caught on, and today, people use TEU containers worldwide. Over 80 years after McLean founded it, TEU remains an essential part of the global shipping industry, transporting billions of tons of cargo annually. McLean’s visionary thinking has transformed what was once a time-consuming and unreliable process into a streamlined and efficient operation.

History of Containerization

The concept of containerization dates back to the 1950s when Malcom McLean, an American transportation entrepreneur, introduced the revolutionary idea of using standardized containers to transport goods. This innovation marked a significant shift in the shipping industry, as it allowed for more efficient and secure handling of cargo. The first container ship, the Ideal X, set sail in 1956, marking the beginning of the containerization era.

The use of shipping containers transformed the shipping industry by increasing efficiency, reducing costs, and improving safety. Before containerization, loading and unloading cargo was a labor-intensive and time-consuming process. Standardized containers streamlined these operations, allowing for faster turnaround times and reducing the risk of damage or loss.

In 1968, the International Organization for Standardization (ISO) adopted standard dimensions for shipping containers, further facilitating the growth of containerization. This standardization enabled seamless intermodal transportation, allowing containers to be easily transferred between ships, trucks, and trains.

Today, containerization is a vital part of global trade, with millions of containers being transported every year. The shipping industry continues to rely on the principles of containerization to move goods efficiently and reliably across the world.

Evolution of Container Vessels

The evolution of container vessels has been marked by significant advancements in design and cargo capacity. The first generation of container ships emerged in the 1960s, with vessels capable of carrying up to 1,000 TEUs. These early ships laid the foundation for the modern container shipping industry.

In the 1970s, the introduction of cellular containerships brought a new level of efficiency. These ships featured specially designed cells for stacking containers, optimizing space utilization and improving loading and unloading processes.

The 1980s witnessed the development of Panamax vessels, which were designed to maximize cargo capacity within the constraints of the Panama Canal. These ships could carry more than 3,000 TEUs, significantly increasing the volume of goods transported.

The 1990s saw the emergence of Post-Panamax vessels, which exceeded the width limits of the Panama Canal and further increased cargo capacity. These ships could carry between 3,000 and 7,999 TEUs, with some even reaching up to 9,999 TEUs.

Today, container vessels continue to evolve, with the development of Ultra Large Container Vessels (ULCVs) and New-Panamax vessels. These modern giants boast capacities exceeding 20,000 TEUs, pushing the boundaries of cargo capacity and efficiency in the shipping industry.

Types of Shipping Containers

Shipping containers come in various types, each designed to meet specific transportation needs. Here are some of the most common types of shipping containers:

1. Dry Containers: These are the most common type of shipping container, used for transporting dry goods such as clothing, electronics, and machinery. They are versatile and suitable for a wide range of cargo.
2. Reefer Containers: Equipped with refrigeration units, reefer containers are used for transporting perishable goods such as food, pharmaceuticals, and flowers. They maintain a controlled temperature to ensure the quality of the cargo.
3. Tank Containers: Designed for transporting liquids, gases, and powders in bulk, tank containers are built to handle hazardous and non-hazardous materials safely.
4. Flat-Rack Containers: These containers lack roofs and walls on their longer sides, making them ideal for transporting oversized or heavy cargo such as machinery and vehicles.
5. Open-Top Containers: With no roof, open-top containers are suitable for transporting cargo that requires easy access or has unusual dimensions. They are often used for heavy machinery and construction materials.
6. Half-Height Containers: These containers are used for transporting heavy or dense cargo, such as machinery parts or construction materials. Their lower height makes them suitable for specific types of freight.
7. Insulated Containers: Designed for transporting goods that require a consistent temperature but do not need refrigeration, insulated containers are used for products like chocolate and certain chemicals.
8. Ventilated Containers: These containers are designed for transporting goods that require airflow, such as coffee or cocoa beans. The ventilation helps prevent moisture buildup and maintains the quality of the cargo.

Each type of shipping container serves a unique purpose, ensuring that goods are transported safely and efficiently across the globe.

TEU in Vessel Size and Carrying Capacity

Here are various vessel sizes and how TEU capacity categorizes them.

• Small Feeder: This feeder has a carrying capacity of 300 TEUs.
• Feeder: These vessels have a capacity of less than 500 TEUs.
• Feedermax: These vessels have a capacity of 500-999 TEUs.
• Panamax Vessels: These vessels have a capacity of more than 3,000 TEUs
• Post-Panamax Vessels: These vessels have a capacity of 3,000- 7,999 TEUs. Others range from 8,000-9,999 TEUs
• Super Post-Panamax: These vessels have a capacity of over 10,000 TEUs.

TEU Vs. FEU

FEU is an acronym for “forty-foot equivalent unit.” It is a measure used for containerized maritime cargo. Shipping vessels are categorized based on their TEU capacity, which influences their operational efficiency and profitability. FEU is the standard size of most intermodal shipping containers. Shippers use these containers to transport goods by ship, rail, or truck.

An FEU container is 40 feet long, 8 feet wide, and 8 feet 1 inch tall. That equals 2,360 cubic feet. Therefore, an FEU container’s tare weight, or empty weight, is 8159 pounds (3700.86 kgs).

Some shippers use Forty-foot High Cube Containers (HC), one foot taller than standard FEUs.

When to Use Forty Foot Equivalent Unit

It is best to only use FEU when it benefits the shipper. An advantage of using FEU is that multiple containers can be stuffed and shipped together on the same vessel under one Bill of Lading. Using one bill of lading for numerous containers saves on documentation and reduces delays at ports.

In addition, because FEUs are a standard size, you can easily transfer them between different types of transportation without having to repack them.

Another benefit is that shippers can calculate the cost of shipping per unit volume, which allows them to compare the cost-effectiveness of using different-sized containers. Lastly, FEU provides for more efficient use of limited terminal spaces.

Disadvantages of Using FEUs

There are some disadvantages associated with using FEUs. First off, they may not always be available when you need them since other shippers have first dibs on them.

Secondly, if your product doesn’t fit well in an FEU, it can lead to wasted space and unused capacity, which increases shipping costs. Lastly, transporting goods in an FEU requires specialized equipment, such as chassis and winches, which can add to the overall cost of shipping.

When shipping internationally, you must consider all variables to select the best possible option for your business. However, in many cases using an FEU will be the best option as it offers several advantages with few disadvantages.

Difference Between FEU and TEU

TEU and FEU are both measures of container capacity. TEU stands for “twenty-foot equivalent units” and measures how many 20-foot containers can fit in a given space. FEU stands for “forty-foot equivalent units” and measures how many 40-foot containers can fit in a given space.

Given that one TEU is equal to two FEUs, it follows that an FEU is twice the size of a TEU. Thus, an FEU can hold twice as many containers as a TEU.

Therefore, when measuring the capacity of a container ship or port, it is essential to use the appropriate unit so that apples are being compared to apples.

Conclusion

McLean’s visionary thinking has resulted in a more efficient and reliable system for shipping goods used worldwide today. His idea of using TEU containers quickly caught on, transforming the global shipping industry into what it is today. Thanks to McLean’s innovative thinking, cargo can be transported much more quickly and efficiently than ever before.