Horizon Blog

Non-Operating Reefer Containers (NOR) vs Dry Containers

Written by Brian Murphy | Jul 29, 2025 2:45:00 PM

 

In global shipping, container types can impact everything from cost to cargo safety to environmental impact. Standard dry containers are the workhorses of global trade. Still, non-operating reefer (NOR) containers, sold at a discount to standard dry containers, offer a strategic solution to container repositioning challenges, benefiting shippers.

Dry containers are lightweight, non-insulated, and ideal for transporting non-perishable goods. NOR containers, on the other hand, are refrigerated containers (reefers) used without activating their cooling systems. Initially designed for temperature-sensitive cargo, reefers in NOR mode are repurposed to carry dry cargo.

When reefers arrive in import-heavy destinations from export-heavy regions, repositioning these containers without cargo is costly for carriers. NOR programs allow carriers to offer discounted rates to shippers who are willing to use reefers as dry containers, turning a logistical challenge into a revenue-generating opportunity.

So how do you know if NOR is the right fit for your shipment?

Nor Containers May Be a Good Fit If:  

  • You’re shipping dry cargo that benefits from insulation, such as electronics, textiles, or beverages.  
  • You’re operating in trade lanes with steady NOR availability.
  • The discounted rate offsets the reduced cargo space (typically 10-15% less than a dry container).
  • You’re already using 40' standard containers. Most NORs are this size, which are shorter than the 40' high cube (40H) containers that many shippers prefer for their extra capacity.
  • You have the volume to justify the operational effort of implementing a NOR program.
  • You’re looking to support sustainability goals by reducing empty container repositioning.

Dry Containers May Be the Better Choice If:  

  • Your cargo is bulky, heavy, or requires maximum internal space.
  • You typically use 40’ high cube containers and rely on their extra capacity.
  • You’re shipping hazardous materials or scrap, which are generally not allowed in NORs.
  • You need flexibility and consistent availability across a wide range of routes.
  • You want to avoid additional handling costs and non-standard pickup locations.
  • You’re concerned about how NOR use might affect metrics like container utilization or landed cost per unit, especially if your team tracks these closely, even when total freight spend is lower.

Both NOR and dry containers serve essential roles in the global shipping ecosystem. While dry containers remain the backbone of cargo transport, NOR containers offer a strategic advantage in specific scenarios, particularly in terms of cost savings and environmental benefits. The key is understanding the trade-offs and working with a partner who can help you evaluate whether NOR is the right fit for your supply chain.

Download our whitepaper to learn more about the potential strategic benefits of NOR containers, or reach out to your local Expeditors representative to discuss the best options for your shipment.