xChange has developed solutions to tackle the issue of repositioning containers by digitising the process and allowing for carriers and logistics companies to interchange their empty boxes with the aim of cutting operating costs and reducing the environmental footprint. The cost of repositioning empty containers is $15 billion-$20 billion per year, thereby adversely affecting container carriers, leasing companies and other logistics companies.
Through its newsfeed and smart search, xChange enables users to find containers to be used/supplied in over 2,500 locations across the globe. Further, it provides company profiles and a standardised contractual framework, created through a continuous vetting process. Several other benefits offered by xChange include tracking of containers, an online negotiation process and electronic data interchange/application program interface integrations.
The average savings per interchanged container ranges between $200 and $400, arising mainly from the avoidance of expenses related to land transportation and the use of terminals. This corresponds to potential annual savings of approximately $350 million to $700 million per carrier. As per the Boston Consulting Group, scaling up this impact to the top 100 carriers would promote annual savings of up to $4.5 billion. In addition, the interchanging of containers helps in reducing carbon dioxide emissions from shipping, as the movement of an empty container between Europe and China produces 1.9 kg of carbon dioxide.
xChange is a maritime start-up headquartered in Hamburg, Germany. It was launched in November 2015 and is currently operational across more than 2,500 port locations. It is mostly active in the belt between Europe, the Middle East and Southeast Asia (including India).