Spot rates strengthening while carriers maintain blank sailing policy

Container shipping has announced marginal capacity reductions in the third quarter on the transpacific and Asia-Europe lanes amid continuing strengthening of spot rates, according to analyst Sea-Intelligence.

“As we start week 25 (this week), a little more than 4m teu of capacity has been blanked, equivalent to 3.2 times the 2020 Chinese New Year blank sailings,” said Alan Murphy, ceo of Sea-Intelligence.

THE Alliance reduced capacity with 2M

Murphy noted that carriers have announced “only” 53,500 teu of blank sailings in week 24, with the total blank sailings crossing the 4m teu mark.

Ocean Alliance have so far announced capacity reductions of 1% to 4% on Asia-Europe compared to 20% to 25% for 2M and THE Alliance, while they have announced 2% to 5% on transpacific compared to 3% to 10% for 2M and 9% to 15% for THE Alliance.

All trade lanes see increased spot rates

“The freight rates are also strengthening further on the transpacific and Asia-Europe trades, with Asia-US West Coast increasing by 102% and Asia-US East Coast by 22% following the post-Chinese New Year bottoming out,” Murphy said.

“Freight rates on Asia-Europe have also increased following the post-Chinese New Year decline, in line with Asia-US East Coast, with Asia-North Europe increasing by 21% and Asia-Mediterranean by 13%,” he added.

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