Cancelled Sailings Tracker: Weekly Analysis And Freight Market Insights

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  • This weekly tracker highlights the number of cancelled sailings announced by major alliances across East-West headhaul trades.
  • With insights into cancellation rates, alliance trends, and freight market fluctuations, the report provides valuable information for stakeholders navigating the dynamic container shipping landscape.

The weekly analysis for April 26, 2024, reveals 47 cancelled sailings across major East-West headhaul trades, including the Transpacific, Transatlantic, and Asia-North Europe & Med routes. These cancellations account for 7% of the total 643 scheduled sailings during the period from week 18 to week 22.

Distribution of Blank Sailings

Of the announced cancellations, 49% are on the Transpacific Eastbound route, 34% on the Asia-North Europe and Med route, and 17% on the Transatlantic Westbound trade.

Alliance Trends

OCEAN Alliance leads with 16 cancellations over the next five weeks, followed by THE Alliance and 2M with 12 and 5 cancellations, respectively. Additionally, non-Alliance services have implemented 14 blank sailings during the same period.

Freight Market Insights

Drewry’s Composite Freight Index experienced a marginal contraction of 0.5% WoW to $2,706. Transpacific rates dropped by 3%, while Transatlantic rates decreased by 3%. Conversely, rates on Asia-Europe and Med routes increased by 2%.

Geopolitical Implications

The Middle East faces heightened risk of conflict following Iran’s strike on Israel, raising concerns about the closure of the Strait of Hormuz. Such disruptions could lead to increased costs for carriers, global economic repercussions, and potential shifts in transshipment volumes to alternative ports.

Expert Analysis

Drewry anticipates escalating tensions to cause cost hikes, supply chain disruptions, shipping congestion, and reduced Gulf exports. The report offers comprehensive research and advisory services to help international shippers navigate the evolving challenges in the Red Sea crisis.

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Source: Drewry