- box capacity cheaper to buy than rent
- the overheated container shipping market capacity is in short supply and every piece of steel that floats has been deployed
Containership capacity may be in short supply but with charter rates skyrocketing and periods lengthening, it is cheaper to buy than to rent says an article published on Lloyd’s List.
Charter rates skyrocketing
With charter rates skyrocketing and periods lengthening, it is cheaper to buy containerships than to rent. And with rates at stratospheric levels, the ships will have earned their inflated costs back within a few voyages. If the boom continues through 2022, as most expect it will, they will have earned a tidy sum.
In the overheated container shipping market capacity is in short supply. Every piece of steel that floats has been deployed, drydocking is being delayed and ships due for a final voyage to the beaches of Chittagong are being pressed back into commercial service.
A solution to capacity crisis
Mediterranean Shipping Co’s solution to the capacity crisis has been to buy ships. Any ships. In the past 12 months, it has spent over $2bn on buying any tonnage it can get its hands on. It appears to matter not to MSC how old, small, inefficient, or expensive those ships are. If they are buyable, it will buy them.
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Source: Lloyd’s list