Source: Market average rates for 40‘ containers according to www.xeneta.com
Trade Analysis: Far East Westbound
Situation
A combination of “schedule slidings”, additional blank sailings and the upcoming holidays in China at the beginning of May triggered somewhat of a cargo rush in the second half of April. As a result, carriers have issued general rate increases (GRIs) for sailings in May. The usual peak season in the Western Mediterranean (WMED) came earlier this year, resulting in the current tight space situation. We expect this trend to continue for May and June sailings – space will remain tight and we do not expect rates to drop significantly.
Obstacles
Blank sailings and port call omissions are causing schedule reliability issues and delays. We are seeing congestion-related disruptions in WMED ports, mainly Valencia and Barcelona. Around 30% of capacity will be blanked in calendar week 19 (mid-May), which will have ripple effects for bookings before and after this particular week.
Outlook/Solutions
The space situation will remain challenging in May and June, with an expected cargo rush to North Europe and on the Mediterranean trade lane. Schedule delays on eastbound routings will result in a shortage of some equipment types in China. One of the most affected ports is Ningbo.
A talk with Rolf Habben Jansen, CEO of Hapag Lloyd
We had the opportunity to talk to CEO of the fifth largest container carrier worldwide about the recent developments in seafreight and acquisition plans.
What does a bird have to do with cranes?
- Facts
It’s impossible to think of a world without cranes. Whether used for loading cargo, or in the construction industry – cranes are among the most important man-made mechanical devices.
