Twenty-Foot Equivalent Unit (TEU)

What is Twenty-Foot Equivalent Unit (TEU)?

The Twenty-Foot Equivalent Unit (TEU) is a standard unit used in logistics to measure and describe the capacity of containers and container ships or terminals. It provides a standardized way to count and compare different container sizes.

A TEU is based on the size of a 20-foot ISO container, which is a commonly used type of container in the shipping industry. It is important to note that the term "ISO" refers to the International Organization for Standardization, which sets the standards for container sizes and specifications.

In simple terms, one TEU is equal to one 20-foot ISO container. This means that when we say a ship or terminal has a capacity of, for example, 5,000 TEUs, it means it can accommodate 5,000 20-foot containers.

It is also worth mentioning that a 40-foot ISO container is considered to be two TEUs. This is because it is twice the length of a 20-foot container. So, if a ship or terminal has a capacity of 5,000 TEUs, it can accommodate either 5,000 20-foot containers or 2,500 40-foot containers.

To visualize the size of a 20-foot container, it is typically 8.5 feet tall and 8 feet wide on the outside. Inside, it has a capacity of 1170 cubic feet, which means it can hold a significant amount of cargo.

The TEU concept is crucial in logistics as it allows for easy comparison and calculation of container capacities. It helps in planning and optimizing the use of container ships and terminals, ensuring efficient transportation of goods across the globe.

In summary, the Twenty-Foot Equivalent Unit (TEU) is a standardized unit used in logistics to measure and describe container capacities. It is based on the size of a 20-foot ISO container and provides a convenient way to compare and calculate container capacities. Understanding TEUs is essential for anyone involved in the logistics industry, as it plays a vital role in efficient and effective transportation of goods.