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Tuesday, 28/04/2020, 07:44 (GMT +7)
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Blanked container sailings have increased to 435
The number of blanked container sailings has increased to 435 as carriers have to control capacity in the face of the significantly low demand caused by the COVID-19 pandemic.
The number of blanked container sailings has increased to 435 as carriers have to control capacity in the face of the significantly low demand caused by the COVID-19 pandemic.
Sea Intelligence analyst said that 435 blanked container sailings showed a reduction in demand equivalent to 7 million TEUs by 2020.
However, by responding quickly to the drop in demand through capacity control, shipping lines were able to maintain freight rates.
"Looking at the past six weeks, the CCFI freight rate index is 11% higher than the same period last year - although both oil prices and demand are down. About the general decline since the Chinese New Year could be. This is due to the industry's usual seasonality, "said Cameron Murphy, executive director Alan SeaIntel.
Analysts noted a difference in the distance the three major alliances blanked container sailings. The 2M Alliance and THE Alliance have announced plans to blank container sailings until the end of the second quarter, while for the Ocean Alliance, announcements are limited.
"As an example on the transpacific route, the three alliances once accounted for 17-24% during weeks 15-21. However, during the weeks 22-27 the 2M Alliance and THE Alliance blanked their container sailings to 19. -21% while the Ocean Alliance blanked only 6%, "Mr. Murphy said.
The Ocean Alliance is expected to announce many blanked container sailings near the end of the second quarter.
Phaata (Source Seatrade Maritime News)
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