keo nha cai dua ra toi nayNews Highlights week: 16 - 2022

Compared with keo nha cai dua ra toi nay final quarter of 2021, revenues were higher in three of keo nha cai dua ra toi nay company’s four trade segments, with only keo nha cai dua ra toi nay transatlantic earning less in Q1 than keo nha cai dua ra toi nay previous three months - see table below.

Revenue on keo nha cai dua ra toi nay transpacific leapt 7% versus October-December despite flat liftings. Revenue also rose by keo nha cai dua ra toi nay same amount on keo nha cai dua ra toi nay intra -Asia/Australasia trades – OOCL’s biggest segment by volume.

Overall, average rates per teu increased 7% in January-March versus keo nha cai dua ra toi nay previous quarter, promising yet more stellar financial results for keo nha cai dua ra toi nay carriers.

OOCL’s operational update shows an average USD 2,873 per teu for keo nha cai dua ra toi nay COSCO-owned line in keo nha cai dua ra toi nay January to March period. This compares to USD 2,673 per teu in keo nha cai dua ra toi nay October to December period.

keo nha cai dua ra toi nay result was achieved despite severe congestion which crimped liftings. This was most apparent on keo nha cai dua ra toi nay transatlantic where volumes dropped 10% compared to keo nha cai dua ra toi nay previous quarter.

However, liftings on keo nha cai dua ra toi nay transpacific were practically unchanged on keo nha cai dua ra toi nay previous three months, dropping less than 1%. Furthermore, perbox earnings on keo nha cai dua ra toi nay transpacific reached USD 3,963 per teu in keo nha cai dua ra toi nay period.

OOCL reported quarterly revenue of USD 4.9 Bn in Q4 2021 and USD 4.3 bn in Q3 2021

Charter market in ‘wait-and-see’ mode

keo nha cai dua ra toi nay container charter market has never been this quiet since Alphaliner started compiling this report, nearly ten years ago. Although keo nha cai dua ra toi nay Easter holidays are playing a role in keo nha cai dua ra toi nay market’s current lethargy, numerous other factors can explain this situation.

Firstly, supply of prompt tonnage continues to be at an all-time low which is naturally restricting keo nha cai dua ra toi nay volume of activity.

Secondly, vessel demand has become less pressing than a few weeks ago, with most charterers adopting a ‘wait-and- see’ approach in response to an ocean of economic and geopolitical uncertainties plaguing keo nha cai dua ra toi nay world economy.

Among keo nha cai dua ra toi nay headwinds facing shipping lines are keo nha cai dua ra toi nay Covid lockdowns in Shanghai with their resulting disruptions on cargo flows, and keo nha cai dua ra toi nay ongoing war in Ukraine with its various knock-on effects on seaborne trade.

A slower economic growth in China, and persistent inflationary pressures across keo nha cai dua ra toi nay globe undermining consumption are also threats to keo nha cai dua ra toi nay current cargo bonanza. It is meanwhile not entirely clear if keo nha cai dua ra toi nay continuously falling freight rates on most major routes are ‘only’ a seasonal trend or herald a more serious structural fall in cargo demand, that would reflect a reversal in consumer behavior back to pre-Covid times.

A sharp 35% fall in spot freight rates on keo nha cai dua ra toi nay Asia-East Coast of South America trade routes since keo nha cai dua ra toi nay beginning keo nha cai dua ra toi nay year, partly attributable to a significant drop off in cargo volumes, is certainly food for thought in this respect. Finally, there is keo nha cai dua ra toi nay issue of sky-high fuel prices, with little signs that they will ease any time soon considering keo nha cai dua ra toi nay current geopolitical tensions with Russia.

Despite these threats, keo nha cai dua ra toi nay container charter market is for now showing no sign of weakening. Charter rates remain at historical highs and although there is some softening in keo nha cai dua ra toi nay air in certain sizes, there is no significant change of direction expected in keo nha cai dua ra toi nay foreseeable future
against a backdrop of continued vessel shortage and supply chain disruption.

VNS