Container Grades Explained

    Container grades determine the condition, price and suitability of a shipping container for different applications. Whether you are leasing or buying, understanding grades helps you make the right decision.

    How Container Grades Work

    Container grades define the physical condition, certification status, and practical suitability of a shipping container. From premium one-trip units to as-is equipment, each grade serves a different logistics, storage, or project need.

    New / One-Trip

    Premium condition

    IICL

    High-standard inspected

    Cargo Worthy

    Export-ready

    WWT

    Storage-focused

    As-Is

    Project / repair use

    In this guide:Grade definitionsExport suitabilityBest use casesLifespan expectations

    At a Glance

    Visual Comparison of Container Grades

    From factory-new to end-of-life, each grade represents a distinct level of condition, wear and remaining service potential.

    New / One-Trip

    New / One-Trip

    Pristine factory condition. Clean panels, original paint, no wear.

    Sea-worthyPremium condition
    IICL (Institute of International Container Lessors)

    IICL (Institute of International Container Lessors)

    Professionally inspected and repaired. Minor cosmetic marks only.

    Sea-worthyExport ready
    Cargo Worthy (CW)

    Cargo Worthy (CW)

    Structurally sound with moderate visible wear. Export-ready.

    Sea-worthyExport ready
    Wind & Water Tight (WWT)

    Wind & Water Tight (WWT)

    Significant wear and age. Suitable for storage, not shipping.

    Storage-gradeBudget grade
    As-Is

    As-Is

    Heavy damage and corrosion. For modification or scrap only.

    Project-gradeAs-is condition

    Grade Profiles

    Container Grades in Detail

    Each grade reflects a specific combination of structural integrity, cosmetic condition, certification status and remaining service life.

    New / One-Trip

    Typical appearance of a new one-trip container

    New / One-Trip

    Sea-worthy

    Manufactured in China, typically used for a single loaded voyage to deliver goods. Arrives at destination in near-perfect condition with minimal handling marks. This is the highest available grade in the market.

    Key Characteristics

    • Factory-fresh steel panels with original paint finish
    • Clean, undamaged marine-grade plywood flooring
    • Fully functional door hardware and rubber gaskets
    • Valid CSC plate with maximum remaining certification period

    Best Use Cases

    Food-grade cargo, pharmaceuticals, high-value goods, long-term fleet investment, premium leasing programmes.

    Structural Condition

    Excellent, no structural repairs, no dents, no corrosion. All components in original factory condition.

    Typical Price Range

    Highest price tier. Premium reflects zero wear, maximum remaining lifespan and full certification.

    View 40HC new containers Premium condition
    IICL (Institute of International Container Lessors)

    IICL-grade container after professional inspection and repair

    IICL (Institute of International Container Lessors)

    Sea-worthy

    Previously used containers that have been professionally inspected and repaired to meet the IICL 5 technical standard. This grade is the benchmark for the international leasing industry.

    Key Characteristics

    • Inspected against IICL 5 checklist covering 34 structural criteria
    • All structural repairs performed to ISO-compliant standards
    • Floor, walls and roof verified for integrity and watertightness
    • Valid CSC plate and current certification

    Best Use Cases

    Long-term leasing, intermodal transport, demanding or sensitive cargo, fleet operations for leasing companies.

    Structural Condition

    Very good, all defects repaired to IICL 5 standard. Minor cosmetic marks may remain but do not affect performance.

    Typical Price Range

    High price tier. Reflects certified repair quality and suitability for demanding logistics operations.

    Cargo Worthy (CW)

    Example of cargo worthy exterior wear on a working container

    Cargo Worthy (CW)

    Sea-worthy

    Structurally sound and certified for international sea transport. May show visible cosmetic wear including surface rust, dents and paint deterioration, but passes inspection for wind and water tightness.

    Key Characteristics

    • Passes structural inspection for sea transport certification
    • Wind and water tight, protects cargo from weather
    • May have visible dents, surface corrosion or paint wear
    • Valid CSC plate, may require renewal depending on age

    Best Use Cases

    Standard export shipments, one-way SOC leasing, general cargo, cost-effective international logistics.

    Structural Condition

    Good, structurally sound for sea transport. Cosmetic imperfections present but do not compromise cargo integrity.

    Typical Price Range

    Mid-range price tier. Best value for export-grade containers with proven sea-worthiness.

    Wind & Water Tight (WWT)

    Typical WWT storage-grade condition with visible weathering

    Wind & Water Tight (WWT)

    Storage-grade

    The container keeps out wind and rain but is not certified for international sea transport. Suitable for ground-level storage and domestic logistics where no sea voyage is involved.

    Key Characteristics

    • Weather-tight enclosure, no leaks under normal conditions
    • Significant cosmetic wear including rust, dents, paint loss
    • Not certified for vessel loading or international shipping
    • CSC plate may be expired or absent

    Best Use Cases

    On-site storage, construction sites, agricultural storage, domestic road transport, temporary warehousing.

    Structural Condition

    Fair, weather protection intact but structural certification for sea transport is not maintained.

    Typical Price Range

    Low price tier. Attractive for storage applications where sea-worthiness is not required.

    As-Is

    As-Is container showing end-of-life structural deterioration

    As-Is

    Project-grade

    Sold in current condition without inspection, repair or warranty. The buyer accepts all visible and hidden defects. This is the lowest available grade.

    Key Characteristics

    • No inspection or repair performed prior to sale
    • May have significant structural damage, holes or floor rot
    • Not suitable for cargo transport in any form
    • No valid CSC plate or certification

    Best Use Cases

    Container modification projects (offices, homes, workshops), scrap recovery, art installations, budget storage where condition is secondary.

    Structural Condition

    Variable, condition ranges from repairable to end-of-life. Buyer must inspect before purchase.

    Typical Price Range

    Lowest price tier. Reflects unknown or poor condition with no guarantees.

    Container Grade Comparison

    Side-by-side comparison of all five standard container condition grades across key evaluation criteria.

    GradeConditionStructuralCosmeticSea-worthyTypical usePrice range
    New / One-TripNear-perfect, one trip onlyExcellentPristine✓High-value cargo, long-term lease$$$$
    IICL (Institute of International Container Lessors)Inspected & repaired to IICL 5Very goodMinor marks✓Leasing, intermodal transport$$$
    Cargo Worthy (CW)Sound, wind/water tightGoodVisible wear✓Export, one-way leasing$$
    Wind & Water Tight (WWT)Weather-tight onlyFairHeavy wear✗Storage, domestic transport$
    As-IsAs-is, visible damageVariableSignificant damage✗Modification, scrap, budget$

    Decision Framework

    How to Choose the Right Container Grade

    Use these four decision criteria to identify the grade that best matches your operational requirements and budget.

    Export Requirements

    If the container will be loaded onto a vessel for international sea transport, it must be at minimum Cargo Worthy (CW). For demanding or sensitive cargo, choose IICL or New.

    Recommended grade:

    CW for standard exports, IICL or New for premium cargo.

    Budget Constraints

    Container prices scale directly with grade. New containers cost significantly more than CW units. WWT and As-Is offer the lowest acquisition cost for non-shipping applications.

    Recommended grade:

    CW for best value in shipping, WWT for storage on a budget.

    Cosmetic Condition

    If visual appearance matters, for client-facing storage, retail installations or brand representation, choose New or IICL. CW and below show visible wear.

    Recommended grade:

    New for pristine appearance, IICL for clean professional look.

    Storage vs Shipping

    Containers used only for ground-level storage do not need sea-worthiness certification. WWT grade offers weather protection at a lower cost than CW.

    Recommended grade:

    WWT for storage, CW or above for any sea transport.

    Inspection Criteria

    Container Inspection Standards

    Every container grade is determined through a standardised inspection process covering four critical areas.

    Structural Integrity

    Inspectors examine the container frame, corner posts, cross members and panel integrity. All load-bearing components must be free of cracks, deformation or corrosion that could compromise structural strength. Repairs must conform to ISO 1496 standards.

    Floor Inspection

    The marine-grade plywood floor is checked for rot, delamination, contamination and load-bearing capacity. Floor boards must support standard forklift operations without flexing or breaking. Damaged sections must be replaced with approved materials.

    Watertight Testing

    A light test or water spray test is performed to verify that the container is wind and water tight. All panel seams, door gaskets and roof joints must prevent water ingress. This test is mandatory for CW, IICL and New grades.

    CSC Plate Verification

    The CSC safety approval plate must be present, legible and current. It displays the manufacturing date, maximum gross weight and approval authority. For sea transport, the CSC plate must be valid, expired plates require re-examination.

    Understanding Container Identification Codes

    Every shipping container carries standardized markings, owner codes (ISO 6346), size/type codes, maximum gross weight plates, and CSC safety approval plates. These identification standards are separate from condition grading and are covered in a dedicated technical reference.

    Read CSC Plate Guide

    Expected Durability

    Typical Container Lifespan by Grade

    Container service life depends on original build quality, maintenance history and operating environment. These figures represent typical industry expectations.

    GradeActive Shipping LifeStorage LifeNotes
    New / One-Trip12–15 years20–25 yearsMaximum service life. Can be cascaded to lower grades over time.
    IICL5–10 years15–20 yearsRestored to high standard. Remaining life depends on repair quality.
    Cargo Worthy2–5 years10–15 yearsMost common export grade. Requires periodic re-inspection.
    WWTNot applicable5–10 yearsStorage only. No sea transport certification.
    As-IsNot applicableVariableDepends entirely on current condition. May need significant repair.

    Why the Gap Between CW and WWT Moves

    Both grades keep water out. What separates them is certification and repair margin, and both of those have a cost that changes.

    Survey and certification capacity. A WWT unit becomes cargo worthy when a surveyor says so and the plate is valid. Where surveyors are busy or a re-examination is due, that step takes time and money, and the gap widens.

    Repair cost. Bringing a unit up to cargo-worthy standard means steel, welding and labour at local rates. Where repair is expensive, fewer units get upgraded and the gap widens. Where it is cheap, depots upgrade opportunistically and the gap closes.

    Who is buying. In a region where most demand is static storage, nobody pays for certification and WWT prices firm up toward CW. In an export region where every buyer intends to ship, CW carries a premium and WWT trades at a discount to whatever it would cost to upgrade it.

    Where the box is. A unit in a surplus port sits among many alternatives; the same unit in a deficit port has few. Location moves both grades, and it does not move them by the same amount.

    A Grade Is a Survey at a Moment

    A grade is not a property of the container. It is the outcome of an inspection, on a date, against a standard, by a surveyor.

    That has three consequences worth holding onto. A unit graded cargo worthy six months ago and stored outdoors since is not necessarily cargo worthy today. A grade assigned by the seller's own yard and a grade assigned by an independent surveyor are not the same assurance. And two depots can grade the same box differently in good faith, because the standards overlap and judgement sits between them.

    This is why the condition record at handover matters more than the label in the offer. The label is a claim about the past; the record is what you will be arguing from.

    Common Questions

    Frequently Asked Questions

    Cargo Worthy (CW) is the most common grade for international export shipments. It is structurally sound, certified for sea transport, and offers the best value for most trade routes.

    CW stands for Cargo Worthy. It means the container has been inspected and certified as structurally sound and suitable for international sea transport, even if it shows some cosmetic wear.

    Yes. IICL containers are inspected and repaired to the IICL 5 standard, which is more demanding than basic Cargo Worthy certification. IICL is preferred for long-term leasing and intermodal transport.

    MG-Atlantic focuses on leasing containers in Cargo Worthy or better condition. As-Is units are typically available for purchase only. Contact us for specific availability.

    For one-way SOC leasing, Cargo Worthy (CW) is the standard choice. It meets all sea transport requirements while keeping costs competitive. IICL is available for demanding cargo.

    The CSC (Convention for Safe Containers) plate is a mandatory safety approval plate affixed to every container used in international transport. It confirms the container meets structural safety requirements for vessel loading and stacking. An expired or missing CSC plate means the container cannot be loaded onto a ship.

    A new container typically has an active shipping life of 12–15 years and can serve as storage for 20–25 years. Used containers in Cargo Worthy condition may have 2–5 years of remaining shipping life, with longer storage potential depending on maintenance and environment.

    In some cases, yes. A WWT container can be repaired and re-inspected to achieve CW certification if the structural damage is repairable. However, the cost of repairs may exceed the value of the container. MG-Atlantic can advise on whether upgrading is economically viable for specific units.

    Both keep weather out. Cargo Worthy means structurally fit to carry cargo at sea, which for international carriage also requires a valid CSC safety approval. Wind & Watertight implies no certification for ocean carriage and is usually the right, cheaper grade for static storage.

    Because the cost of moving between grades changes. Survey and certification capacity, local repair rates, and whether regional buyers intend to ship or to store all move the gap. Location moves both grades, and not by the same amount.

    Often, yes — through repair and survey, with a valid CSC plate as the outcome rather than the starting point. Whether it is worth doing depends entirely on local repair cost and surveyor availability, which is why the upgrade cost at that specific location is the number to ask for.

    No. A grade is the outcome of an inspection on a date against a standard. A unit graded cargo worthy months ago and stored outdoors since may not be today, and two depots can grade the same box differently in good faith. Ask when it was surveyed, by whom, and whether the grade is re-confirmed at release.

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    Find the Right Container Grade

    MG-Atlantic supplies all container grades worldwide. Contact us with your requirements for a fast, transparent quote.