Transpacific freight rates rose by $100 after the 1 September GRI but the rates gains were lower than expected and carriers have already started to cut rates with the outlook turning negative. Several carriers have already withdrawn their transpacific peak season surcharges (PSS), signifying the early end of the peak season even before the Golden Week holidays in China in October. East Coast and PNW rates are under pressure with capacity still in excess supply on these 2 routes compared to the
Carriers reported a mixed 2nd quarter 2023 performance, with 3 carriers able to reverse their earnings decline despite the weak market conditions. OOCL and COSCO jumped to the top of the carriers earnings table with their outsized 2Q earnings despite weaker revenue and freight rates. OOCL and COSCO’s EBIT margins at 31.8% and 24.8% are more than 3 times higher than the average of the next 8 carriers which stands at just 6.7%. COSCO reported at the group level a $5.7 Bn improvement in its equ
The CoFIF container freight futures closed mixed at the end of its 2nd trading week on 1 September with short dated contracts holding relatively better than the longer dated contracts, after taking a dip on 28 Aug. The North Europe EC2408 contract remain in contango at 1,010 relative to the SCFIS spot level of 975 last week, and the latest SCFIS reading of 897 as at 4 September. Although average trading volume dropped 30% WoW to $1.3bn, it remains highly liquid compared to other container freig
COSCO reported full set of interim results in Asian evening of 29th Aug. Since bottom line has already been given in the alert published on 3rd July, the new news were in the top line and the costs, which give some clues as to how Cosco outperformed the industry in EBIT margin development in this down cycle: Cosco’s 2Q EBIT margin was 25% against the average of the next 8 carriers which stands at just 6.7%. Cosco’s 2Q revenue (-61% YoY) has dropped more than the average among the major liners.
Register Free Trial [https://www.linerlytica.com/register/?utm_source=W202336] Freight rates have rebounded slightly following the 1 September rate increase that were applied on trades out of Asia to the US, Australia and India/Middle East but the gains are reversing as quickly as they are applied with carriers offering rate discounts. Asia Europe rates were severely battered due to continued capacity pressure with 3 ULCS units delivered over the past week alone as the pace of newbuilding deliv
CMA CGM has withdrawn its new Turkey Libya Express (TLX) service after just 6 sailings from Asia to the Red Sea, Turkey and Libya. The service start on 2 July 2023 with the 2,468 teu BUXLINK and called at Shanghai, Ningbo, Nansha, Singapore, Jeddah, Iskenderun, Malta, Misurata with several ad hoc calls at Lianyungang and Tripoli. Only 6 headhaul sailings were conducted by the 3,534 teu HOPE ISLAND, 4,506 teu CMA CGM OSAKA, 4,294 teu CMA CGM MONTOIR, 4,253 teu CMA CGM PERTH and 4,404 teu CMA CG
Sinokor has launched a new Greater China-Russia Service (GRS) connecting Yantian, Nansha, Xiamen, Shanghai, Vostochny, Yantian from 3 September 2023 with the newly chartered 2,902 teu TB BRIGHT CITY. The new service will turn in 3 weeks and will operate in conjunction with 2 other ships operated by CStar Line (the 2,206 teu MAO GANG GUANG ZHOU and MAO GANG QUAN ZHOU) that will run on the same route, with CStar branding the services as the Far East-Far East Service 1 (FEFE1)
MSC has launched a new Zambezi Express service that connects Port Louis and Beira using the 3,301 teu MSC ALEXA and 2,764 teu MSC PATNAREE III. The service started from 16 August 2023 and turns in 12-14 days with the 2 ships providing weekly departures from Mauritius and Mozambique.
New New Shipping has deployed 4 ships on the China-St Petersburg Northern Sea Route service after the successful eastbound trial voyage by the 1,638 teu NEWNEW POLAR BEAR that finished its St Petersburg-Shanghai trip on 14 August after a 38 day voyage. The same ship has departed from Xingang on 22 August for a westbound voyage to St Petersburg, joining the 1,220 teu XIN XIN HAI 1 and the 2,741 teu XIN XIN TIAN 1 that have departed earlier on 1 August and 31 July respectively on the same route t
Zim will join MSC on the North Europe-Israel trade by contributing two out of the 5 ships on the revised Zim North Europe Israel (ZNI)/Israel Express service from the end of August 2023. The service will call at Ashdod, Haifa, Damietta, Valencia, London Gateway, Rotterdam, Hamburg, Antwerp, Le Havre, Ashdod with the 7,403 teu KURE, 6,724 teu MSC LORETTA from MSC 5,550 teu MSC VIGO that will be joined by the 6,881 teu ZIM ALABAMA and 6,644 teu ZIM VIETNAM. This is the 3rd trade in which Zim and