The weekly Cancelled Sailings Tracker provides an overview of blank sailings across major trade routes, offering a clear picture of disruptions and capacity adjustments by shipping alliances. Here’s the latest analysis and a look at the state of container shipping in early October.
Overview of Cancelled Sailings
For the period between 7 October (week 41) and 10 November (week 45), a total of 90 blank sailings have been announced out of 693 scheduled sailings across major East-West head haul trades. This represents a 13% cancellation rate.
Breakdown by Trade Route
- Transpacific Eastbound: 52% of blank sailings
- Asia-North Europe & Mediterranean: 28% of blank sailings
- Transatlantic Westbound: 20% of blank sailings
Alliance-Specific Cancellations
Over the next five weeks, the three major shipping alliances have announced the following number of blank sailings:
- THE Alliance: 22 cancellations
- OCEAN Alliance: 18 cancellations
- 2M Alliance: 13 cancellations
Additionally, non-alliance services have accounted for 438 blank sailings during this period.
Improvement in Schedule Reliability
Despite the cancellations, there is a slight improvement in schedule reliability, with 87% of ships expected to sail as scheduled over the next five weeks. This reflects a modest stabilization in the industry following recent disruptions.
Market Rate Trends
On 3 October, Drewry’s World Container Index (WCI) Composite Index showed a 5% week-on-week (WoW) decline, dropping to $3,489 per 40-foot container. Rate changes by trade route include:
- Transpacific: 3% drop
- Asia-North Europe/Med: 8% plunge
- Transatlantic: Unchanged WoW
Impact of US East Coast Dockworkers’ Strike
The recent strike by dockworkers on the US East Coast from 1 to 3 October disrupted container shipping operations. Carriers responded by rerouting cargo to Canadian and Mexican ports, and in some cases, offloading at alternate locations. During the strike, surcharges were imposed, and detention and demurrage fees were suspended.
A tentative wage agreement between the International Longshoremen’s Association (ILA) and the United States Maritime Alliance has been reached, extending the Master Contract until 15 January 2025. Negotiations on unresolved issues will continue, but the status of the surcharges post-strike remains uncertain.
Looking Forward
While the strike’s resolution has provided temporary relief, the potential for further disruptions and adjustments in surcharges could continue to impact the container shipping market. Stakeholders will be closely monitoring ongoing negotiations between the ILA and maritime employers.
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Source: Drewry
