Shippers negotiating new contracts this year face a major rates dilemma as the maritime industry contemplates a return to using the Suez Canal.
When carriers revert to transiting the canal, the reduction in voyage tonne-miles will begin to expose the overcapacity in the market, pushing a significant downward trend in freight rates, especially on Asia-Europe trades.
Shipping analyst Drewry estimates rerouting round the Cape of Good Hope reduced effective capacity by around 9%, «which has helped carriers once again post some very strong quarterly profits in the past 12 months».
The study analyzes the sea freight market by the end of April — beginning of May 2021. It reveals the problems associated with the movement of goods in various regions of the world, highlights the latest developments in the industry and gives a forecast for the next month
The authors of the study reveal the current state of the container transport market and describe its features in Space 1520, detailing growth opportunities.
