Total 127 Posts
Register Free Trial [https://www.linerlytica.com/register/?utm_source=W202332] Maersk’s 2nd quarter results laid bare the failure of its integrator strategy to deliver while allowing its rivals to snatch away liner market share where earnings remain superior to any quarter prior to 2020. Although Maersk’s full year earnings guidance painted a dismal market outlook for the 2nd half of 2023, the liner market barometer has turned positive with the SCFI extending its gains for a 3rd consecutive wee
Register Free Trial [https://www.linerlytica.com/register/?utm_source=W202331] Freight rates have rebounded sharply on the back of the 1 August rate increases, with the SCFI rising by 6.5% at the end of last week. High capacity utilisation on the transpacific routes, especially to the West Coast will ensure rates remain elevated to North America with the ILWU Canada contract negotiations still not resolved. Asia-Europe rates will be less resilient, with carriers already under-cutting rates as t
Register Free Trial [https://www.linerlytica.com/register/?utm_source=W202330] While global attention is focussed on Russia’s renewed blockade of Ukrainian ports in the Black Sea, container volumes at Russia’s own ports have rebounded sharply, drawing in over 200,000 teu of incremental containership capacity since the end of last year. The strong Russian demand has been one of the few bright spots for the container shipping market this year, with over-capacity driving down freight rates across
Register Free Trial [https://www.linerlytica.com/register/?utm_source=W202329] The resolution of the ILWU US and ILWU Canada port labour contract negotiations have removed the last hurdle to market normalisation, with port congestion set to ease further from its current level affecting 5.7% of the global fleet. This does not bode well for the container market that is increasingly struggling with surplus capacity. Zim downgraded its EBIT forecast last week to a full year loss of up to $500m fro
Register Free Trial [https://www.linerlytica.com/register/?utm_source=W202328] Carriers’ bid to raise Transpacific rates mid-July has gained traction, supported by improved capacity utilisation levels and a 14% month on month reduction in capacity that has been bolstered by Zim’s withdrawal of the ZNP service and THE Alliance’s planned removal of one FE-USWC string from August. Despite the improved transpacific market sentiment, the SCFI slipped by 2.3% at the end of last week, dragged down by
Register Free Trial [https://www.linerlytica.com/register/?utm_source=W202326] Supply side pressure continues with June vessel deliveries charting a new high, while limited delivery slippage and subdued scrapping numbers dent hopes that the unbridled capacity growth can be contained. Although the SCFI bucked its recent downward trend on the back of Transpacific rate increases on 1 July, the rate revival will be short lived as capacity is still growing faster than demand despite encouraging port
Register Free Trial [https://www.linerlytica.com/register/?utm_source=W202326] Market sentiment remains bearish with freight rates still slipping. The SCFI declined further in the holiday-shortened week in China, led by the rapid drop in Transpacific rates. Although carriers are pushing for another transpacific GRI on 1 July, the failure of the last 4 attempts will hurt their credibility with lines putting little effort to remove capacity while utilisation rates remain well below the level requ
Register Free Trial [https://www.linerlytica.com/register/?utm_source=W202325] Freight rates slumped for the 2nd successive week, with the SCFI losing over 9% in the last 2 weeks as carriers continued to slash rates on the transpacific routes. The resolution of the ILWU contract negotiations will further weaken the transpacific rate outlook as the risk of any peak season disruption to cargo flows to the US is materially reduced. Carriers need to reduce their capacity deployed to stop the rate
Register Free Trial [https://www.linerlytica.com/register/?utm_source=W202324] The SCFI slipped by 4.7% last week on the back of slumping transpacific rates with carriers slashing rates on both the West Coast and East Coast routes, erasing all of the recent GRI gains. The US west coast dock labour dispute remains a distraction with only a minimal impact on vessel operations and latent congestion already easing, while the Panama Canal draft restrictions failed to stop rates from falling on the e
Register Free Trial [https://www.linerlytica.com/register/?utm_source=W202323] Although the SCFI rose by 4.6% on the back of 1 June transpacific rate increases, market sentiment remains poor with the CCFI still sliding and carriers continued to offer discounts with cargo demand still insufficient to support rate hikes. Rates on the Atlantic, Asia-Europe and Australia routes remain under significant pressure, while the recent charter rate rally is starting to soften on the smaller size segments