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Related: Editorials & Other Articles, Issue Forums, Alliance Forums, Region Forums'The Party is Over' for Container Shipping, Says Hapag-Lloyd CEO
Last edited Fri Feb 3, 2023, 12:30 PM - Edit history (1)
Here's another big indicator that our costs for goods should start coming down more soon.
HAMBURG, Feb 1 (Reuters) Container freight rates will keep declining in the current realignment of shipping demand and supply, said the chief executive of Germanys liner Hapag Lloyd, the worlds number five by transport capacity.
The party is over. We are back to a normal shipping business, CEO Rolf Habben Jansen told reporters at a briefing late on Tuesday on the state of the market, in which his company reported sky-high profits for three years running.
Now we have to fight for every box again to get our ships full, he said.
However, he expects freight rates will not fall below costs, which were being kept high by expensive charter rates, high fuel costs and the need to adjust fleets to running on low carbon fuel.
Vessel owners once again have to fight for business as congestion at ports, which had clogged up with ships during the pandemic, began to ease and capacity was emptying, he said.
He hoped orders for goods and shipping services would pick up again as demand has fallen and customers have restocked
Whether that will happen in March or in June, I dont know, he said.
Ship docking and scrapping was increasing this year after a period when ship owners kept old vessels running to meet high demand, he said.
https://gcaptain.com/the-party-is-over-for-container-shipping-says-hapag-lloyd-ceo/
Efilroft Sul
(3,584 posts)They had a surplus of empty containers sitting in South American and African ports all along. However, they didn't bother to fetch them because they were making bank gouging North American and European markets, thus exacerbating if not being the primary cause of supply chain breakdowns.
gratuitous
(82,849 posts)How many millions got ripped off so he and his shipping pals could suck up billions and billions of dollars?