World Maritime News

March 22, 2023

Maersk shifts detention billing to shippers ahead of FMC regulation Maersk will begin billing container detention charges directly to shippers on so-called merchant haulage moves from 1 April, which portends evolving invoicing practices related to potential new requirements from the US Federal Maritime Commission (FMC). The move by Maersk comes as the FMC is in the midst of a rulemaking process around detention and demurrage billing mandated by the passage of the Ocean Shipping Reform Act of 20

World Maritime News (51)

March 08, 2023

World Maritime News

Container lines' challenges, new building deliveries, capacity removal, and negative rates The huge containership order book that began to build in late 2020 is about to start emerging into the world fleet, just as demand falls back to pre-pandemic levels and carriers face lower load factors on their key trades. At least for now, it looks as if all this extra tonnage will hit the liner trades at a time of faltering demand. Carriers are trying to blank sailings to move capacity in line with dem

World Maritime News (50)

February 22, 2023

World Maritime News

Topics regarding the end of 2M Alliance The decision by Mediterranean Shipping Co. and Maersk to end their 2M Alliance will not lead to a breakup of the two other vessel-sharing agreements or spark a round of musical chairs with carriers searching for new partners, according to Maersk CEO Vincent Clerc. Clerc said a way to look at the breakup of 2M was that instead of three major networks on the east-west trades come 2025, and there would now be four — Ocean Alliance, THE Alliance, Maersk, and

World Maritime News (49)

February 08, 2023

World Maritime News

Topics related to the end of 2M Alliance MSC and Maersk will go their separate ways, which pulled back the curtain on another industry era. That means the largest carriers can operate at scale outside of a formal alliance. The potential impact on factors such as long-term pricing can’t be underestimated. Alliances allowed the carriers via their partners to build extensive service networks, distribute and lower the costs of deploying tonnage, increase utilization, and engage in capacity manageme

World Maritime News (48)

January 25, 2023

World Maritime News

Maersk and MSC to discontinue 2M alliance in 2025 Maersk and Mediterranean Shipping Co are to close their 2M alliance vessel-sharing agreement when the arrangement expires in 2025. In recent years, there has been speculation that the alliance was coming under pressure as the world’s two largest container lines’ strategies diverged. Maersk has focused itself on becoming an “integrated provider of container logistics”, while MSC has overtaken Maersk in terms of pure ocean capacity, dramatically

World Maritime News (47)

January 11, 2023

World Maritime News

Lines struggle to push up rates amid weak market fundamentals Container shipping lines are facing an uphill battle to increase rates as market prospects remain bleak. The recent traditional cargo rush ahead of the Chinese New Year holiday improved vessel utilization and boosted carriers’ confidence for a price hike. But the reality is less upbeat than expected. Container freight markets are expected to head further south despite a stabilizing spot rate index seen ahead of the Chinese New Year,

World Maritime News (46)

December 14, 2022

World Maritime News

Topics on container freight rates Container spot freight rates are soon likely to sink below pre-pandemic levels. Declining freight rates are expected to slash container companies’ bottom line by more than half next year. According to maritime research and consultancy firm Drewry, the profits of key liners are expected to fall to $100bn next year from $275bn this year. Read more: Lloyd's List1 | Lloyd's List2 Topics on shipping lines Emerging carriers with smaller vessels deployed on Asi

World Maritime News (45)

November 30, 2022

World Maritime News

Challenges shipping lines face Trans-Pacific carriers are rapidly accelerating the number of blank sailings amid declining US demand for imports from Asia, inventory corrections by retailers, and fears of an economic recession next year. According to Sea-Intelligence, the accelerated blankings come after US imports in September and October “can at best be described as a complete collapse in demand growth.” In addition, carriers are announcing additional blanked sailings every couple of weeks to

World Maritime News (44)

November 09, 2022

World Maritime News

Maersk's transformation wins over customers Maersk's transformation from an energy and shipping conglomerate to an integrated container logistics group has proved a clear winner, with customers driving the process forward. With billions of dollars worth of mergers and acquisitions, Maersk withdrew from energy-related activities to focus on supplying services along the supply chain. The takeover of LF Logistics in the third quarter will further rebalance the business portfolio. Read more: Llo

World Maritime News (43)

October 26, 2022

World Maritime News

Outlook for shipping rates Major Chinese seaports are seeing a drop in container throughput, underlying a continued weakening of cargo demand and freight rates. Due to slack demand on transpacific and China-Europe trades, rates are expected to continue lurching lower amid easing congestion. The release of containership capacity previously tied up in congestion, combined with slowing volume demand, has sent the supply/demand balance back to the pre-pandemic levels. As a result, additional press

World Maritime News (42)

October 12, 2022

World Maritime News

Ports group seeks to close gap in investment According to the International Association of Ports and Harbors’ report, the supply chain disruption that emerged with the pandemic has shown up a series of weaknesses in the port sector that have been driven by long-term underinvestment in the sector. The report identified the principal gaps in port and port-related infrastructure in terms of efficiency, connectivity and accessibility, digitalization, decarbonization, shipping costs, and regulatory

World Maritime News (41)

September 28, 2022

World Maritime News

Topics on shipping lines and logistics Many governments are looking for ways to fund emergency measures to shield their populations from the impact of the energy crisis. So it is reasonable to expect renewed attention on the lenient tax regime shipowners have long enjoyed. When an industry is raking in billions of dollars of profit each quarter and paying less than two percentage points of tax, expect politicians and the public to take notice. That is the situation facing container shipping, wh