Maersk News

31 Mar 2020

Contracted Rates to Fall Long-term Due to Conoravirus -Xeneta

Patrik Berglund (Photo: Xeneta)

The container shipping segment appears to have caught coronavirus, with the industry suffering its first monthly fall in long-term contracted ocean freight rates since October 2019. According to the latest XSI Public Indices report from Xeneta, March 2020 saw a small dip of 0.5% in rates after a sustained period of growth. Although these symptoms look mild, the future is characterized by growing uncertainty, with widespread economic disruption and looming global recession likely…

24 Mar 2020

Containership Captain Medevaced in the Caribbean

© Gerold Taube / MarineTraffic.com

The U.S. Coast Guard medically evacuated the Captain of the 734-foot Singapore-flagged containership M/V Maersk Batam, approximately 100 nautical miles south of Puerto Rico, Monday night.The containership captain, a U.K. citizen, was experiencing life threatening symptoms of a possible stroke during the ship’s transit from St. Marta, Colombia to their next scheduled port call in Southhampton, England.Coast Guard Sector San Juan watchstanders received the medevac request at 9:55 a.m.

24 Mar 2020

Ransomware: The IT Danger on the Horizon

© arrow/AdobeStock

Two decades into the 21st century, we’re seeing a growing and pernicious threat to global information security: ransomware. Even non-technical folk have loosely heard of it, but the broader implications haven’t yet penetrated the public consciousness. In different industries, that general lack of awareness could be a big problem—and the maritime sector is a good example.Ransomware hits at the confluence of two critical trends in modern technology: the ever-increasing integration of IT systems into daily life, and the interconnectedness of those IT systems.

23 Mar 2020

Svitzer Gets 10-Year Contract Extension with Sakhalin Energy Investment

Svitzer operating in Sakhalin, Russia. Image Courtesy Svitzer.

Svitzer, the towage operator that is part of Maersk, announced a 10-year extension of its marine service contract with Sakhalin Energy Investment Company Ltd., a consortium set up to develop and manage the Sakhalin-II project, aimed at producing and exporting oil and liquefied gas.Svitzer has been providing towage services to the Sakhalin-II project since 2007, and the extension comes into effect in November 2022 to support the mooring of more than 1,800 gas carriers with a vessel fleet of four Robert Allen ice-breaking tugs and two mooring boats.

20 Mar 2020

Container Shipping Firms Brace for Coronavirus Hit

© Mariusz / Adobe Stock

Leading container shipping firm A.P. Moller-Maersk scrapped its 2020 earnings forecast on Friday, while rival Hapag-Lloyd warned of slowing growth until at least June, as the coronavirus pandemic takes a heavy toll on global tradeThe container shipping industry, a bellwether for international trade, has been blown off course by the new virus, which brought parts of China to a standstill before spreading around the world, leading container lines to re-route cargoes and reduce calls to Chinese ports.Despite lower volume growth…

20 Mar 2020

Hapag-Lloyd Advises that Coronavirus to Slow Growth through H1

© Stefan Loss/AdobeStock

German container shipper Hapag-Lloyd on Friday said the coronavirus outbreak would curb business growth at least until mid-year after reporting a jump in 2019 profit and proposing a higher dividend.Larger rival Maersk on Friday also warned of a first-quarter hit from the outbreak and suspended its 2020 earnings outlook.Hapag CEO Rolf Habben Jansen said that impact from the coronavirus was impossible to determine for the time being, but the company was preparing for a blow to trade."Transport…

20 Mar 2020

Maersk Records Strong Q1, but Suspends 2020 Outlook on Coronavirus Uncertainty

© Fotokon/AdobeStock

Cost-cutting and price rises will help Maersk deliver higher first-quarter earnings than a year ago, the shipping giant said on Friday, though it scrapped its full-year forecast due to uncertainty caused by the coronavirus pandemic.The Danish company said its guidance on earnings before interest, tax and amortization (EBITDA), previously $5.5 billion for the year, was suspended until further notice.Preliminary results showed it made first-quarter EBITDA of around $1.4 billion.Despite lower volume growth…

17 Mar 2020

Maersk Suspends Crew Changes

(Photo: Eric Haun)

The widespread coronavirus outbreak has led the world's largest container carrier to suspend crew changes aboard its entire fleet of operated vessels until April 14, a Maersk spokesperson confirmed to MarineLink.The full statement from A.P. Moller - Maersk is below:With the continued spread of the COVID-19 pandemic and the extraordinarily fast-paced closing of borders and cancellations of airline services, today (March 17, 2020) we have decided to suspend all crew changes for Maersk-operated container vessels effective immediately and for four weeks until April 14, 2020.

12 Mar 2020

‘Hull Skate’ Your Way to Cleaner Hulls, Better Fuel Efficiency

Morten Fon, President & CEO, Jotun (left) and Geir Haaoy President & CEO, Kongsberg (right). Image: Jotun

When it come to ship efficiency and emission reduction, the next frontier is devising better means to keep hulls clean from biofouling in the five years between dry dockings. Finding best solutions on hull coating and cleaning is major point of focus among shipping majors globally.Last month in a feature interview in Maritime Reporter & Engineering News with Royal Caribbean Cruises (RCCL) Anshul Tuteja, Associate VP Global Fleet Optimization, it was made clear that coatings used on the RCCL fleet is a point of intense focus…

12 Mar 2020

Offshore Oil Rig Infection Exposes Coronavirus Dangers

Martin Linge platform: Image by Jan Arne Wold / Woldcam - Copyright: Equinor

Equinor reported the oil industry's first coronavirus infection on an offshore installation on Wednesday, highlighting the challenge in preventing contamination for thousands of workers living in the close quarters on rigs and platforms.A worker was in isolation on the Norwegian energy firm's Martin Linge oil and gas platform off Norway where production is due to start at the end of this year, the company said. It said it would cut activity at the field, but personnel would remain at installations…

09 Mar 2020

US Retailers Face $700 Mln Hit as Virus Disrupts Shipping

© Brad Nixon / Adobe Stock

U.S. retailers face an estimated $700 million sales hit from the coronavirus and some shipping lines are sending vessels to retrieve empty cargo containers from Los Angeles to prevent further supply disruptions.The extended shutdown of factories in China caused by the virus, travel restrictions on workers and canceled sailings by shipping lines have thrown off the movement of containers, resulting in a surplus at the Port of Los Angeles and a shortage in Germany.U.S. retailers'…

06 Mar 2020

CMA CGM: Virus Impact Limited as China Activity Resumes

Photo: CMA CGM

French shipping group CMA CGM said its operations in China were returning to normal after the coronavirus outbreak crippled traffic last month, forecasting the health emergency would have a limited impact on its results this year.CMA CGM, the world's fourth-largest container shipping firm, expects to return to normal fleet capacity in China from mid-March after seeing signs of industrial production picking up as of late February, it said in a results statement on Friday.The new coronavirus…

05 Mar 2020

CMA CGM Reorganizes its SIRIUS Service

Image: CMA CGM

French container transportation and shipping company CMA CGM announced the reorganization of its SIRIUS service connecting the Mediterranean with the East Coast of South America, effective March 2020.The new rotation will concentrate on our hub ports of Algeciras and Tangiers from where connections to and from Mediterranean ports will be made with our extensive inhouse mother & feedering network.The weekly service will be maintained with 6 vessels (of which 2 operated by CMA CGM)…

04 Mar 2020

P&O Maritime Logistics Names Helweg CEO

Martin Helweg (Photo: P&O Maritime Logistics)

Marine solutions and logistics company P&O Maritime Logistics (POML) said it has appointed Martin Helweg as its new Chief Executive Officer. He will report to Mike Bhaskaran, DP World’s Chief Operating Officer for Logistics and Technology.For the past three years, Helweg has been responsible for P&O Maritime Logistics’ global operations. Earlier, Martin spent over 15 years in marine service solutions working for Svitzer, an A.P. Moller-Maersk Company in regional CFO and CEO roles across the Americas…

03 Mar 2020

Maersk Moves Indian Grapes to Europe

Image: Maersk

The global container company A.P. Moller – Maersk has started end-to-end cold chain logistics solution for its customers exporting grapes from Nashik and Sangli in India to North Europe.With this new offering, Maersk is enabling the exporters from the region to supply high quality Indian grapes to global market and helping fetch higher returns for the farmer community in and around the Nashik district. Leveraging its variety of services throughout the supply chain, Maersk is improving…

26 Feb 2020

Tanker Rates Plunge Over 80% as Virus Torpedoes Shipping

© Vladimir / Adobe Stock

Tanker charter rates have plunged more than 80% as the coronavirus outbreak slams the brakes on major economies, costing the sector hundreds of millions of dollars in lost business, a senior shipping industry official said.While some of the revenue is gone for good, a trade rebound could put the sector back into calmer waters later this year, International Chamber of Shipping (ICS) Secretary General Guy Platten told Reuters in an interview on Wednesday.The ICS is the main trade association for merchant shipowners and operators…

24 Feb 2020

Maersk to Raise HSFO Bunker Fuel Consumption to 25%

© Darryl Brooks / Adobe Stock

Danish shipping group A.P. Moller-Maersk plans to raise the proportion of high sulphur fuel oil it consumes from 10% to 25% by the year-end, CEO Soren Skou says.The world's largest container shipping firm consumed a total of around 11.80 million tonnes of shipping fuel last year.Maersk's current shipping fuel use comprises of around 10% ultra low sulphur (0.1%) fuel oil, 10% high sulphur fuel oil and the remaining 80% is low sulphur fuel oil. (Reporting Stine Jacobsen and Shadia Nasralla. Writing by Ahmad Ghaddar; editing by David Evans)

20 Feb 2020

Coronavirus to Hit Earnings: Maersk

Image: A.P. Moller - Maersk

Global integrated container logistics company A.P. Moller - Maersk posted improved earnings and free cash flow for 2019, despite weaker market conditions and global container growth of only 1.4 percent.However, the Danish business conglomerate said that the coronavirus (COVID-19)  would hit its earnings this year as the world's largest container shipping company warned of a "very weak" start to the year.The company expects an EBITDA of around USD 5.5bn, before restructuring and integration costs.

20 Feb 2020

Global Container Demand to Grow by 1-3% in 2020

Image: A.P. Moller - Maersk

For 2020, global container demand is projected to grow by 1-3%, as per forecast by A.P. Moller - Maersk.The continued weak global sentiment above all in the manufacturing sector reduces the likelihood of a material growth pick-up in 2020, although sentiment brightened a bit at the end of 2019, and some improvement can be expected on the back of stabilizing inventory dynamics, said the shipping giant.Aside from the cyclical slowing of the global economy, substantial risk to global container demand comes from the effectiveness of fiscal and monetary policy in major economies…

20 Feb 2020

Hamburg Süd Invests in the Mediterranean

(Photo: Hamburg Süd)

Hamburg Süd is now exclusively represented by its own offices in Italy and Spain after business was previously partially handled by agents and joint-venture organizations. Furthermore, in Egypt the company has taken full management of Hamburg Süd Egypt.“We are thereby investing in the Mediterranean markets that have traditionally been of strategic importance to Hamburg Süd,” says Poul Hestbaek, General Manager of Hamburg Süd’s Region Europe. “By having owned organizations, we…

19 Feb 2020

Maersk to Buy U.S. Warehousing and Distribution Firm

Danish shipping group A.P. Moller-Maersk said on Wednesday it had agreed to buy U.S. warehousing and distribution firm Performance Team as part of plans to deliver more customized logistics solutions.Maersk said the the value of the deal is $545 million, including lease liabilities of around $225 million.The world's largest container shipping firm aims to boost its earnings from its inland logistics operations, or non-ocean business. In 2018, the ocean transport business accounted for almost 80% of core earnings."This will strengthen our ability to deliver products and solutions that meet our customers' end-to-end supply chain needs…

16 Feb 2020

Vado Gateway Welcomes First Ship

Image: APM Terminals

APM Terminals said that its new deep-sea container terminal, Vado Gateway terminal, located in Vado Ligure, Italy, received its first commercial service on 11 February 2020.The ship, M/V Maersk Kota, was the first of seven ships from Maersk’s weekly ME2 service, connecting the Mediterranean with the Middle East and India.According to a company release, the call by M/V Maersk Kota marked the start of operations for the new deep-sea Vado Gateway container terminal in northern Italy.With a total investment of 450 million euros…

18 Feb 2020

Hapag-Lloyd: Asia Business 'Overall Stable' Amid Virus Outbreak

(Photo: Hapag-Lloyd)

German container shipping line Hapag-Lloyd said on Tuesday its business in Asia was "overall stable," although the coronavirus outbreak had extended the traditionally slack period around China's Lunar New Year holiday.China's efforts to control the virus had extended the normal factory shutdowns for the New Year festivities to anywhere between Feb. 8 and Feb. 14, depending on the region, a spokesman for the world's fifth largest container carrier told Reuters.However, Hapag-Lloyd's fleet was operating largely as normal…

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