Ocean Carriers Get Marginal Impact From Capacity Cuts

Friday, February 08, 2002
Total container capacity supply by ocean carriers on the three main east/west shipping trades rose by an average of five percent in 2001 despite the recent attempts of several carriers to remove excess capacity, according to a report released this week by ComPair Data Inc., a global ocean shipping research and information technology firm based in Jacksonville, Fla. Several ocean carriers in the transpacific and Asia/Europe routes made capacity cut-backs in the last three months of 2001, according to the January 2002 World Liner Supply report from ComPair Data, leading to an average 1-percent reduction in east/west capacity. But those reductions did not outweigh the addition of substantial new vessel capacity early last year or the ongoing expansion of other carriers, which led to the overall annual capacity increase. Results of the January 2002 World Liner Supply report show that transpacific shipping lines have expanded capacity by three percent between January 2001 and January 2002. Transpacific capacity currently amounts to over 196,000 TEUs a week (equivalent to a yearly one-way capacity of 10.2 million TEUs), down six percent from the corresponding figures in October 2001, but up from capacity offered in January 2001. "Capacity growth has slowed down, but there are still concerns about a further rise in over-capacity in the major trades," said Hayes H. Howard, president of ComPair Data. "Intermediaries, shippers and carriers are now carefully watching the competitive pressures and vessel delivery and layup trends that are driving over-capacity, as this will have a major impact on the bottom lines of their providers and, ultimately, their own companies," he added. In the Asia/northern Europe/Mediterranean trade, ocean carriers continued to add capacity in 2001, reaching a total one-way capacity of about 143,000 TEUs a week (equivalent to 7.4 million TEUs a year) at the beginning of January. The report does not incorporate changes in capacity due to be implemented by carriers during January and February. The alliances that have added the most capacity during the last 12 months are: the COSCO/"K" Line/Yang Ming alliance in the Asia/Europe trade (+35 percent) and transpacific trade (+18 percent); the Evergreen/Lloyd Triestino group in the transpacific (+20 percent); the New World Alliance (APL, Hyundai and MOL) in the Asia/Europe trade (+21 percent); and Mediterranean Shipping Co. in the transatlantic (+7 percent). These are just some of the highlights from the latest World Liner Supply report, which tracks capacity, service and partnership changes for all liner carriers and their ships operating on 12 major trades worldwide. For a more in-depth analysis of global capacity trends, please contact: Philip Damas, Director, ComPair Data: +44 20 8970 2623, London, U.K., reports@compairdata.com.

Maritime Today

The Maritime Industry's original and most viewed E-News Service

Maritime Reporter November 2015 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds


BWM Convention Doesn't Resolve U.S. Issues - ICS

ICS notes that the IMO Secretary General has announced that the Ballast Water Management Convention will enter into force worldwide from 24 November 2016, following

Ballast Water Management in the Field Put to the Test

Turner Designs, along with scientists from around the world participated in a research cruise aboard the RV Meteor, a vessel owned by the Federal Republic of Germany

Out of the Eye ... & Staying There

I have never been in a hurricane. That’s a fact. Actually, my wife likes to say that whenever there is any kind of natural disaster, I’m typically nowhere to be found.

Container Ships

Terex Cranes for ICTSI

Terex Port Solutions (TPS) has received an order from a subsidiary of International Container Terminal Services, Inc. (ICTSI) in Iraq for two Terex shiptoshore

UASC Sees Big Drop on Asian-Europe Route

Kuwait-headquartered United Arab Shipping Company (UASC) said that marked drop in Asian imports to Europe, made worse by a strong dollar, has heaped pain on container

Port of Bronka Prepares for Opening

Technical plant and equipment installation for the first stage of Bronka’s port facilities is now complete with the Liebherr LHM 800 mobile port crane installed at the end of September,

Maritime Contracts Naval Architecture Offshore Oil Pipelines Pod Propulsion Port Authority Ship Electronics Ship Repair Ship Simulators Sonar
rss | archive | history | articles | privacy | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.1029 sec (10 req/sec)