Container Port Sector Remains Dynamic and Profitable

MarineLink.com
Wednesday, August 21, 2013

Drewry’s latest annual report on global and international container terminal operators shows that the sector remains dynamic and profitable, but that numerous changes are also taking place. All terminal operators face the challenge of growth on two fronts – growth in container demand and growth in ship sizes.

Whilst it is generally agreed that future container demand growth will not be as strong as the boom periods of the 1990s and 2000s, global container port demand is still forecast to exceed 800 million teu p.a. by 2017, growing by just over 5% p.a. To put this growth into context, the 186 million teu which this growth represents is the equivalent of the entire throughput of all Chinese ports in 2012. Or to put it another way, it is more than the entire 2012 throughput of North America, Europe and the Middle East combined. This illustrates what a colossal industry the container port business has become – something that is often overlooked because it is geographically fragmented across nearly 1,300 terminals across the world and so the collective industry is somewhat under the radar. Even modest demand growth now generates huge absolute increases in volumes therefore.

At the same time, container ship sizes are increasing dramatically. The largest container ship in the world fleet has quadrupled in size since 1992, and in the Asia-Europe trade lane it has doubled in the last 10 years. This in turn has triggered the formation of ever larger operational alliances, most notably the P3 alliance between Maersk, MSC and CMA CGM. The resultant rampant and rapid cascading of larger ships into secondary trade lanes is likely to create more port problems and challenges than the 18,000 teu monsters destined for the Asia-Europe trade lane.

Drewry’s Neil Davidson, Senior Analyst – Ports and Terminals noted, “Container terminal operators remain successful and highly active but there are many changes coming: changes in ownership as cash strapped shipping lines are forced to sell more stakes in their terminals, and aggressive terminal buyers chase expansion opportunities; changes in operations and infrastructure as ever larger container ships have to be accommodated not just in Europe and Asia, but around the world and changes in demand as modest growth still generates large absolute volume increases. For example, even if they only perform at the world average, Shanghai or Singapore will add almost 10 million teu to their total throughput by 2017. A figure of 10 million teu is more than the entire container port throughput of the U.K., India or Brazil.

Drewry said it will release its global/international container terminal operators league table next week, showing the top ten globally by both total and equity teu throughput.

drewry.co.uk

 

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

Finance

Shippers Must Monitor Greek Government Changes

Moore Stephens says shipping must monitor developments in wake of Greek government change   International accountant and shipping adviser Moore Stephens says

Chevron Scraps 2015 Share Repurchase Program

Chevron Corp halted its 2015 share repurchase program on Friday, a move to conserve cash amid tumbling oil prices.   The company's shares extended loses on the news,

Marquette Transportation Reportedly for Sale

Marquette Transportation Company LLC, a U.S. towboat operator, is exploring a sale that could value it at more than $1 billion and has attracted the interest of

News

Imabari to Build 20,000TEU Containerships

Imabari Shipbuilding Co., Ltd. announced it has secured newbuild orders with the cooperation of Marubeni Corporation for 11 units of 20,000TEU Ultra-Large Container Carriers,

Kongsberg Expands Louisiana Office, Training Facility

Kongsberg Maritime has purchased approximately 5.2 acres for new construction on an 82,980 sq ft office and training facility. Construction on the James Business

HII Acquires Engineering Solutions Division

Huntington Ingalls Industries (HII) has acquired the Engineering Solutions Division of The Columbia Group, a designer and builder of unmanned underwater vehicles

Vessels

Imabari to Build 20,000TEU Containerships

Imabari Shipbuilding Co., Ltd. announced it has secured newbuild orders with the cooperation of Marubeni Corporation for 11 units of 20,000TEU Ultra-Large Container Carriers,

NASSCO to Christen Third MLP, Lewis B. Puller

Shipbuilder General Dynamics National Steel & Shipbuilding Co. – NASSCO – will christen the USNS Lewis B. Puller (MLP 3 AFSB) Saturday, February 7, 2015 in San Diego.

New Survey Vessel Ordered for the Port of London

The Port of London Authority (PLA) has ordered a new purpose-built survey catamaran, a CTruk MPC19, due to enter service on the river Thames later this year.   The

 
 
Maritime Careers / Shipboard Positions Maritime Standards Navigation Offshore Oil Pod Propulsion Port Authority Ship Electronics Ship Repair Shipbuilding / Vessel Construction Winch
rss | archive | history | articles | privacy | terms and conditions | 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: 0.1574 sec (6 req/sec)