Drewry News

05 Nov 2019

Maritime History & the Panama Canal

Grace Lines COLOMBIA transit of Panama Canal. Source: U.S.Merchant Marine Academy Maritime Museum.

The Panama Canal is a strategic crossroads for maritime traffic, and is arguably one of the most important maritime developments in the past century. Here we take a deeper dive into the history behind that famous strip of waterway.The present canal, which saw its first vessel transits in 1914, along with possible alternatives through Nicaragua and Mexico, had actually been on the minds of merchants, explorers and military/political strategists since the Age of Exploration in early 1500’s.

07 Oct 2019

Drewry Cuts Global Port Throughput Forecast

Image: Drewry Shipping Consultants Limited.

Drewry Shipping Consultants has revealed that it now expects global port throughput to rise by 2.6% in 2019, down from the previous 3.0% expectation.The mood-music surrounding the container market has deteriorated further in the last three months, resulting in Drewry downgrading its outlook for world container port throughput for the current year and the rest of the five-year horizon in the Container Market Annual Review and Forecast.The weight of risks pressing down on the container market seems to be getting heavier by the day…

02 Oct 2019

Car Carrier Shipping in Rough Weather

Graph: Drewry

As car carrier shipping is expected to continue its slow recovery, backed by better utilization and minimal vessel ordering, costs are increasing while the trade outlook seems vulnerable to emerging geopolitical risk. Slow car carrier recovery is expected to lead to more distressed vessel sales as shipping lines focus on landside investments in search of profitability, according to the  global shipping consultancy Drewry.Seaborne trade in finished vehicles, including high & heavy and used autos…

11 Sep 2019

UK: Strong Ports More Vital Than Ever

Image: UK Major Ports Group

As Brexit approaches,  the UK needs to follow some key characteristics of the Strong Ports to thrive post its exit from the EU, given that the global trade and the maritime sector face many challenges.Global trade, and the maritime sector that enables so many of its flows, faces uncertain and challenging times, according to the UK Major Ports Group.Nowhere more so than the UK, with Brexit - in whatever form it takes - dominating the agenda. But ports are long horizon businesses…

01 Aug 2019

Yilport Pact for 49-Year Concession at Taranto

Image: Yilport Holding

Turkey's Yilport Holding signed a concession agreement with Port Network Authority of the Ionian Sea (PNAIS), the managing institution of the Port of Taranto in Italy for the multipurpose terminal.The deal was signed on 30 July 2019, at Castello Aragonese in Taranto, Italy by Robert Yuksel Yildirim, Yilport Holding Chairman, and Sergio Prete, the President of Taranto Port Authority.The agreement appoints Yilport to undertake all operations at the multipurpose terminal of Taranto Port for 49 years.This is the 22nd marine port in Yilport Holding’s portfolio, and its first terminal in Italy.

31 Jul 2019

Global Container Port Demand to Rise

Source: Drewry Maritime Research, Global Container Terminal Operators Annual Review and Forecast 2019

The outlook for global container port demand is modest growth and numerous uncertainties, but in the face of this, capacity expansion plans are also muted, said the global shipping consultancy Drewry."This means that most world regions will see an increase in average terminal utilisation," said Drewry in its Global Container Terminal Operators Annual Review and Forecast 2019.Drewry’s container port demand forecast for the next five years is for global growth of 4.4% per annum on average…

23 Jul 2019

Smart Containers Transform Shipping

Graph: Drewry Shipping Consultants Limited

Smart devices have the potential to radically transform the utility and value of shipping container equipment assets.According to Drewry, Smart containers have increased in prominence in a very short space of time and the pace of adoption is expected to accelerate over the next five years.A container becomes “smart” when fitted with a telematics device that provides real-time tracking and monitoring, enabling operators to increase turn time of their container equipment and so utilization.

03 Jul 2019

Container Market Challenges Likely as Uncertainty Mounts

Simon Heaney, senior manager, container research at Drewry and editor of the Container Forecaster.

Today’s container market is confronting more than its fair share of headwinds.The recently published Container Forecaster from global shipping consultancy, Drewry, highlights concerns of a slowing global economy stoked by the ongoing US-China trade war (albeit paused for the moment), escalating geo-political tension in many regions of the world and an industry grappling with challenging new emission regulations. Beyond these, however, a series of existential fears are also beginning to present themselves that could dent demand for shipping in the future…

03 Jun 2019

Drewry: Manning Cost to Rise

Graph: Drewry

According to the latest Manning Annual Review and Forecast report published by global shipping consultancy Drewry, the manning costs have risen moderately over the past 12 months, checked by easing officer supply shortage, and are forecast to rise at a similar pace over the next five years.Manning costs rose for a second successive year in 2019 but the pace of growth remains moderate and well below the prevailing rate of price inflation. Meanwhile, the shortfall in available officer numbers relative to demand has declined close to equilibrium and is expected to reach a small surplus by 2024…

15 Apr 2019

Drewry: After the sugar rush

Container operations at the port of Hong Kong, one of the world’s busiest. (Photo: Adobe Stock / © Marco 2811)

Following the tariff-induced cargo rush of late-2018, container shipments from Asia to West Coast North America dived in Q1, denting carriers’ hopes of securing higher annual contracts.Things can change very quickly in the Transpacific container market. In our previous analysis of the Asia-West Coast North America trade at the end of last year, the market was booming with eastbound spot freight rates at a six-year peak. However, now that the sugar rush caused by the threatened tariffs on Chinese goods has passed…

12 Apr 2019

S.Korea's LPG Imports to Grow: Drewry

Image: BP Shipping

South Korea’s liquid petroleum gas (LPG) imports are expected to increase 9.5% in 2019 on account of the growth is due to stronger demand from the petrochemical sector.The recent policy change that will allow LPG-fueled vehicles in the private sector is another booster, said Drewry.South Korea’s LPG market was starting to look saturated with low demand, but as the government is reconsidering cleaner fuels, its demand is likely to shoot up.Drewry said that severe air pollution…

08 Apr 2019

Satisfaction in Container Transport Declines

Graph: Drewry Shipping Consultants Limited

The level of satisfaction regarding container carriers among exporters, importers, and freight forwarders reduces marginally, according to the third annual shipper satisfaction survey of Drewry and the European Shippers’ Council (ESC).The joint ESC and Drewry survey reveals that the 249 shippers and forwarders who took part in the survey rated the service of container shipping lines with a score of 3.1 on average (which is 0.1 lower than last year) on a scale of 1 (very dissatisfied) to 5 (very satisfied).Customer satisfaction was reported least favourable for clarity of prices and surcharges…

14 Jan 2019

Drewry Predicts Better Freight Rates and Profits

File Photo: Hyundai Merchant Marine Co

The shipping industry’s supply-demand balance will benefit from a reduced appetite for Ultra Large Container Vessels (ULCVs) among the major carriers, some of which now have their eyes fixed on a bigger prize of becoming global logistics integrators, said Drewry.Simon Heaney, senior manager, container research at Drewry and editor of the Container Forecaster said: "Aside from feeder ship replenishment, there has been no reaction from other lines to Hyundai Merchant Marine (HMM)’s…

27 Feb 2019

Port Dover Faces Brexit Heat

Pic: Port of Dover

Britain's Port of Dover has the resilience to cope with moderate disruption arising from Brexit and there is latent short sea capacity to absorb significant overflow at the port in the event of capacity constraints, according to an independent study by global shipping consultancy Drewry.Among the political arguments about Brexit and its consequences, there has been a surprising lack of objective and quantitative analysis of the implications for the future of the vital short sea trade between the UK and the EU…

11 Mar 2019

Drewry Benchmarking Club Reaches Milestone

Pic: Drewry’s Benchmarking Club

Drewry  has welcome one of the world’s leading automotive and energy companies to its exclusive, online ocean freight cost comparison service, Benchmarking Club.With this latest addition, Drewry Benchmarking Club now counts more than 10% of its members in the S&P 100 and Nasdaq 100.Launched in 2014, Drewry Benchmarking Club is a closed user group designed exclusively for shippers and is one of a number of ocean freight procurement support services from Drewry’s logistics consultancy arm…

14 Feb 2019

Drewry Sees Balanced Supply-Demand in ULCVs

Pic: Drewry

Maritime research consultancy Drewry believes that the industry’s supply-demand balance will benefit from a reduced appetite for Ultra Large Container Vessels (ULCVs) among the major carriers, some of which now have their eyes fixed on a bigger prize of becoming global logistics integrators."Aside from feeder ship replenishment, there has been no reaction from other lines to HMM’s mega-ship order and as such we have greatly reduced our projected new orders for 2020 onwards,” said Simon Heaney…

04 Jan 2019

Small LNG Projects Crucial for Market: Drewry

Graph: Drewry Maritime Research

Low prices, abundant supply and an aggressive shift towards cleaner gas for energy generation are creating strong demand for LNG, not just from large buyers, but also from small importers, said Drewry.In its market opinion report, Shefali Shokeen, Senior Research Analyst, Drewry Maritime Research said that small-scale LNG projects (production and regasification capacity of less than 500,000 tonnes per annum) have reduced capex and are suitable for countries with low LNG consumption.For example Gibraltar has set up a small LNG import terminal with a total storage capacity of 5…

03 Feb 2019

Venezuela Sanctions to Boost VLCCs

Pic: Drewry Shipping Consultants Limited

US sanctions on Venezuela are likely to change the pattern of crude tanker trade, with long-haul trade replacing the short-haul trade, said Drewry. While the prospective change in trade pattern will favour VLCCs, it will work against Aframaxes.The US government has imposed sanctions against Venezuela’s state-owned energy company Petroleos de Venezuela (PDVSA) in order to choke Venezuelan oil revenues and oust Nicolas Maduro, the Venezuelan president.According to Drewry, the sanctions…

17 Dec 2018

Drewry: Ocean Freight Shipping Rates Fall in Q4

Graph: Drewry Shipping Consultants Limited

Ocean freight rates for cargoes moving under contracts on major East-West routes decreased by 7% in the fourth quarter, according to the results of Drewry’s Benchmarking Club Contract Index.The cost reduction, based on contract freight rate data provided confidentially by Asian, American and European retailers and manufacturers to the Benchmarking Club, shows that shippers who negotiate well with carriers can continue to reduce their multi-million freight spend on most East-West routes, despite the increases in bunker prices during the past year.

17 Feb 2019

Epic Gas Bullish on LPG Carriers Market

Pic: Epic Gas

Global seaborne liquefied petroleum gas (LPG) volume is expected to grow by over 6% in 2019 and surpass 100 million tonnes for the first time.Singapore based provider of pressurised LPG vessels, Epic Gas said that it is well positioned to benefit from the improving fundamentals of the LPG shipping market.For the fourth quarter of 2018, freight levels for most sizes in the pressurised sector were similar to the stronger levels seen in the third quarter. Rates for the 3,500cbm, 5…

03 Apr 2019

Port of Dover Prepared for Brexit: Drewry

Pic: Drewry Shipping Consultants Limited

Alternative capacity could be provided by short-sea container services between the UK and EU to alleviate possible congestion at the Port of Dover post-Brexit.The Port of Dover is the cross-channel port situated in Dover, Kent, south-east England. It is the nearest English port to France, at just 34 kilometres (21 miles) away.According to a new study by global shipping consultancy Drewry the Port of Dover had the capacity to cope with moderate Brexit disruption.The earlier study, validated by the Port of Dover, concluded that of the 2.5 million trailers going via Dover, around 20% (i.e.

04 Apr 2019

Drewry Cautiously Optimistic on Container Shipping

Pic: Drewry Shipping Consultants Limited.

The container Shipping industry is facing an exceptionally high level of uncertainty, ranging from the extra cost associated with IMO 2020 and how much carriers will recover from shippers, to the possibility of a trade recession and unknown future engagement by shipowners in large vessel building programmes.According to the recently published Container Forecaster from global Shipping consultancy Drewry, every region is expected to see container port handling growth in each and every year of the five-year forecast…

28 Mar 2019

Will Shipping IPOs Comeback in 2019?

Pic: Star Bulk Carriers Corp.

The market for Initial public offerings (IPOs) across the global shipping industry has remained understandably muted in recent years but secondary offerings continue to be an important funding mechanism, according to a recent report from Drewry Maritime Financial Research.Despite low interest in shipping IPOs in the US over the last few years, listed shipping companies continue to raise money through secondary/additional offerings and bond offerings in the US market with Oslo…

Maritime Reporter Magazine Cover Nov 2019 - Workboat Edition

Maritime Reporter and Engineering News’ first edition was published in New York City in 1883 and became our flagship publication in 1939. It is the world’s largest audited circulation magazine serving the global maritime industry, delivering more insightful editorial and news to more industry decision makers than any other source.

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