- OCEAN Alliance leads with 23 cancellations.
- 92% of ships are expected to sail as scheduled.
- This creates pressure on freight rates.
In the realm of global shipping, the monitoring of canceled sailings is crucial for understanding capacity fluctuations and their impact on the market. Here’s a breakdown of recent developments and their implications on shipping alliances, capacity rates, and freight index movements, reports Dewry.
Cancelled Sailings Snapshot
Between weeks 48 to 52, 53 sailings out of 650 were cancelled across major East-West trades, constituting an 8% cancellation rate. The Transpacific Eastbound trade witnessed 51% of these cancellations, while 25% each occurred in Asia-North Europe/Med and Transatlantic Westbound trades.
Alliance Cancellation
Over the next five weeks, OCEAN Alliance leads with 23 cancellations, followed by THE Alliance with 10 and 2M with 4. Non-Alliance services accounted for 16 blank sailings during the same period.
Scheduled Sailings
On average, 92% of ships are expected to sail as scheduled, except for the 2M Alliance, which aims for a 97% schedule adherence over the next five weeks.
Freight Rates
Drewry’s Composite World Container Index decreased by 6% to $1,384 this week. Additional capacity re-entering the market after November’s rate increases caused carriers to reduce rates mid-month, potentially creating pressure on freight rates. The question remains about whether shipping lines will manage capacity responsibly amid their pursuit of market share, especially concerning adherence to scheduled rate increases in the upcoming month.
Did you subscribe to our daily newsletter?
It’s Free! Click here to Subscribe!
Source: Drewry
