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The global shipping demand has declined seriously, and several routes have been cancelled or replaced

Time:2022-10-13 Publisher:Kevin Num:2720

Now the shipping price is getting lower and lower day by day, and the profit margin of shipping companies is also gradually shrinking. Just last month, after the suspension of two trans Pacific routes, Maersk, a shipping giant, announced that it would reduce the capacity of some Asian Nordic routes.

It is obvious that this approach is to reduce costs as much as possible to maintain profits. In its announcement, it said that it would suspend a ship with a capacity of 16652 TEU. 

The ship set sail from Ningbo and passed through Ningbo, China, Yantian, Tanjung Parapas, Malaysia, Rotterdam, Europe and other ports.

Maersk said that it would provide customers with predictability and ensure the minimum disruption to its supply chain by providing alternative route services to affected ships.

According to the data of eeSea, there are currently 11 ships on this route, with an average capacity of 15414 TEU, which takes 77 days in the whole round-trip process. However, Maersk said that the ship was only temporarily suspended and was expected to recover in a week.

On the other hand, according to the latest data released by Drury, 77 (nearly 10%) of the 735 trans Pacific, trans Atlantic and Asia Europe routes were cancelled in the next five weeks. Among them, 60% appeared on trans Pacific routes and 15% appeared on trans Atlantic routes.

At present, the shipping industry is in a period of declining freight demand. If you want to stabilize the freight, you must manage the transportation capacity well. Obviously, canceling the voyage will expose the shipper to the risk of cargo delay or interruption.

In order to reduce the inconvenience caused by the blank voyage to your cargo, please communicate with the GLA members in time. They will provide the specific information of each major route in time.

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