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Glossary

TEU meaning in ocean freight.

TEU (twenty-foot equivalent unit) is the standard measure of container capacity, based on one 20 ft container. Ships, terminals and fleets are sized in TEU, and a 40 ft container counts as two.

Reviewed November 5, 2026

Box counts and TEU are different numbers

TEU measures capacity, not the number of containers, so a monthly volume of 100 TEU could mean 100 boxes of 20 ft or 50 of 40 ft. A 40 ft high cube is still usually counted as two TEU even though it is taller, and conventions for 45 ft boxes vary. Reports also mix units, so check whether a figure is TEU, FEU or a plain container count before comparing two sources, and confirm whether empties are included.

Nominal capacity and real loads

A ship's TEU rating is a nominal count of its 20 ft slots. Real loads are usually lower, because heavy containers reach the ship's weight and stability limits before every slot fills, and reefers need slots with power outlets. Carriers also set aside space for empties being repositioned. Usable capacity for paying cargo therefore varies by voyage, trade lane and season.

TEU beyond the vessel spec sheet

Ports report throughput in TEU, and carrier capacity on a trade lane is usually discussed the same way. Service contracts and NVOCC agreements often commit volume in TEU or FEU, so a forwarder tracking its bookings may need both box counts and TEU. Blank sailings are commonly described by how much TEU capacity they remove from a lane, which signals how tight space may get.

Example

A forwarder moving 30 forty-foot containers and 10 twenty-foot containers a month handles 70 TEU, even though it books only 40 boxes.

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Questions

What does TEU mean?

TEU (twenty-foot equivalent unit) is the standard measure of container capacity, based on one 20 ft container. Ships, terminals and fleets are sized in TEU, and a 40 ft container counts as two.

Why do ports report TEU instead of containers?

Because boxes come in different lengths, TEU puts them on one scale. It lets a port compare years, terminals and other ports even when its mix of 20 ft and 40 ft containers changes.

Is TEU a measure of weight?

No. TEU describes size and slot capacity, not weight. Two 20 ft boxes take two TEU of space whatever they hold, and weight limits are handled separately in vessel stowage and road rules.

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