Charters rates are falling steadily with further declines expected over the coming weeks with vessel availability rising faster than the market can absorb. There are more than a dozen newbuildings of up to 3,000 teu scheduled for delivery in the coming 3 months that remain open for charter, putting further pressure on an already over-supplied market. Charter rates have slipped across all sizes including the larger sectors of over 4,000 teu where there is an increasing build up of surplus ships.
OOIL’s top line breakdown for 3Q 2023 saw total revenue slip by 11% QoQ and 65% YoY driven primarily by the drop in average freight rates. The fall is larger than market forecasts with OOIL’s average freight rates falling by more than CCFI levels on a QoQ basis, even after excluding the impact of the sharp fall in Transatlantic rates which is outside of the CCFI scope. OOIL’s Transpacific freight rates fell by 2% despite the rate increases in July and August. OOIL’s 3Q23 EBIT is expected to rec
Israeli ports have come under the spotlight following the outbreak of the Israel-Hamas war over the weekend. The 2 main Israeli ports of Ashdod and Haifa that handle over 3.1m teu of container cargo annually have continued cargo operations through the weekend despite the military operations at Gaza. The situation remains fluid after Israel formally declared war for the first time since 1973 but the impact on the container shipping market is limited for now. So far no major congestion hotspots
Transpacific rates were mostly unchanged during the week, with the Chinese holidays producing little rate movements. However, the SCFI assessment is still expected to register a sharp fall when publication resumes this week after the Golden Week holidays, as the actual market rates have already dropped by over $200/feu below the SCFI level. Although carriers have filed for a $1,000/feu rate increase on 15 October and 1 November, both of these increases are not expected to stick given the curre
Register Free Trial [https://www.linerlytica.com/register/?utm_source=W202341] Carriers’ efforts to lift freight rates in November has little chance of succeeding in the absence of capacity withdrawals. Initial projections for November show capacity increases on the Transpacific and Asia-Europe routes of between 7% to 17% MoM that largely reverses the capacity reductions in October. MSC has taken delivery of 3 new ships of 16,000-24,000 teu over the past 2 weeks that will remain idle for 3-4 w
Russian container carrier Transmasters have taken control of 3 former Wan Hai ships of 1,662 teu for its China-Russia service. The 3 ships - WAN HAI 261, WAN HAI 262, WAN HAI 263 - were originally to be sold for scrap but they have been retaken by Chinese owners and renamed as HONRISE, NEW EVERPROSPER and STAR BRIGHT respectively. The 3 ships have joined Transmasters progressively in July and August 2023 and deployed on the China-Russia service that calls at Lianyungang, Taicang, Nansha, Colom
OOCL is adding 2 intra-Asia services connecting China, Cambodia and Thailand through slots on 2 existing services. The China Cambodia Thailand 1 (CCT1) service calls at Bangkok (PAT/Suksawat), Laem Chabang, Ho Chi Minh City, Ningbo, Shanghai, Laem Chabang, Bangkok starting from 5 November 2023. The service is offered through slots on the RBC1/BC1 service operated by RCL and CUL. The service turns in 3 weeks using 3 ships of 1,100-1,700 teu. The China Cambodia Thailand 2 (CCT2) service calls at
X-Press Feeders have introduced a new Mediterranean X-Press (MEDX) service that connects Nhava Sheva, Mundra, Karachi, Jeddah, Damietta, Piraeus, Genoa, Valencia, Barcelona, Piraeus, Damietta, Jeddah, Karachi, Mundra, Nhava Sheva starting from 29 September 2023. The MEDX service is offered through slots on the India-Med leg of HMM's Far East-India-Med (FIM) service that operates on a fortnightly basis using 6 ships of 6,700-8,500 teu.
Aladin Express has added a call at Hutchison Ports Jazan on its India-Turkey Express (ITX) service from 28 September 2023 with the 1,496 teu WARNOW BOATSWAIN. The ITX connects Nhava Sheva, Mundra and Istanbul but the port calls and service frequency are irregular. The ITX call at Jazan is the port's first container service following its inauguration on 7 September 2023. Aladin Express (ALX) was established in April 2020 with the backing of Hutchison Port Holdings. ALX started its maiden servi
Register Free Trial [https://www.linerlytica.com/register/?utm_source=W202340] The SCFI slipped to its lowest levels since May 2020, with further falls expected in the coming weeks as volumes remain lacklustre. Carriers are still unwilling to make decisive capacity cuts despite the rate slump and absence of cargo roll pools before the start of the Chinese Golden Week holidays on 1 October. Maersk in particular have been singled out for giving heavy discounts on its spot pricing even as it cont