Another Far East-Europe ocean carrier alliance has announced voyage cancellations on the overcapacity-plagued tradelane in an endeavour to squeeze supply and reinforce the crumbling foundations of desperately needed general rate increases.
It puts even more pressure on shippers at the turn of the new year, when they will find many previously advertised sailings to Europe adopting the ultimate in slow-steaming: full-stop.
The CKYH self-styled Green Alliance of COSCON, K Line, Yang Ming and Hanjin Shipping, is to void seven voyages on the Asia-north Europe and Mediterranean service loops from the middle of January until the end of February 2013.
The period includes the Chinese New Year holiday, beginning 10 February, and is a response to what CKYH described as “seasonal market demand” – or lack of.
Faced with more erosion of the 1 November GRIs and anecdotal reports of utilisation levels at below 75%, CKYH and the other alliance groupings probably have no other option than to void voyages to avert another ruinous bloodbath in the downturn-impacted tradelane.
According to the latest Lloyd’s List Intelligence inactivity report, there are no idled boxships above 10,000teu at present among the approximate 300 vessels in hot or cold lay-up.
Mothballing a behemoth containership is clearly seen as a sign of weakness; hence the ocean carriers preference for turning off the capacity tap by blanking sailings.
It puts even more pressure on shippers at the turn of the new year, when they will find many previously advertised sailings to Europe adopting the ultimate in slow-steaming: full-stop.
The CKYH self-styled Green Alliance of COSCON, K Line, Yang Ming and Hanjin Shipping, is to void seven voyages on the Asia-north Europe and Mediterranean service loops from the middle of January until the end of February 2013.
The period includes the Chinese New Year holiday, beginning 10 February, and is a response to what CKYH described as “seasonal market demand” – or lack of.
Faced with more erosion of the 1 November GRIs and anecdotal reports of utilisation levels at below 75%, CKYH and the other alliance groupings probably have no other option than to void voyages to avert another ruinous bloodbath in the downturn-impacted tradelane.
According to the latest Lloyd’s List Intelligence inactivity report, there are no idled boxships above 10,000teu at present among the approximate 300 vessels in hot or cold lay-up.
Mothballing a behemoth containership is clearly seen as a sign of weakness; hence the ocean carriers preference for turning off the capacity tap by blanking sailings.
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