Tanking demand and collapsing spot rates are seeing a return to the pre-Covid days of intense competition between container lines as carriers vie for decreasing cargo volumes, with Gemini refusing to blank sailings, the new reality may force a change of strategy.
Gemini Cooperation carriers Maersk and Hapag-Lloyd refuse to blank sailings having made punctuality and reliability a key differentiator for their services, with vessels operating whether there is a demand or not.
Gemini can and does adjust which ships, and their sizes, are on particular services, but these capacity adjustments necessarily come after the demand decline.
James Hookham, director at the Global Shippers’ Forum said the Gemini strategy is, “Testing the theory of whether there is a gap in the market for reliability, is the customer interested, or is there a limit to punctuality and people’s preparedness to pay for it?”
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