14.5 C
Hamburg
Wednesday, June 4, 2025
Home Most Popular Sea-Intelligence reports sustained halt to demand collapse

Sea-Intelligence reports sustained halt to demand collapse

Sea-Intelligence reported that according to June 2023 demand data by Container Trade Statistics (CTS), this is the fourth month in which the global collapse in demand growth can be said to have halted.

However, Alan Murphy, CEO of Sea-Intelligence explains that “from a supply chain perspective, we also need to account for the travelled distances, hence why we prefer to measure demand in TEU*Miles. Even though the demand collapse in TEU*Miles halted in February 2023, it cannot be said to have rebounded, as the growth rate is essentially hovering around zero.”

He added, “It could be questioned whether there was a genuine collapse in demand or whether it was simply an artifact of a skewed year-on-year calculation. However, even when we make an annualised comparison with 2019 (the last pre-pandemic year), we effectively see the same results. Of course, seen from the carriers’ financial perspective, it is the demand growth in the head-haul trades which is the most important element to global demand growth.”

“Source: Sea-Intelligence.com, Sunday Spotlight, issue 626”

The figure shows the growth in global head-haul demand. “Here, again, we see how the collapse in demand has been clearly halted, and even though it is at a low level, the year-on-year demand growth has been positive for three consecutive months now,” noted Murphy.

He went on to point out, “But, as we have also seen in previous months’ issues of the Sunday Spotlight, the global development is certainly not uniform across different deep-sea trades.”

Europe imports continue to rebound while exports continue to decline, which means a worsening trade balance and hence lower utilisation on exports and a downward pressure on freight rates, according to the Sea-Intelligence report.

For North America imports, the demand collapse is showing weak signs of abating, while exports are also in negative territory. This points towards an improving trade balance for the region.





Latest Posts

ORBCOMM unveils new container visibility tool

ORBCOMM has announced the launch of CrewView, an onboard visibility solution designed to give vessel crews real-time access to data from smart refrigerated and...

SAAM-Enap partnership: Latin America’s first electric tug en route to Chile

Latin America’s first fully electric tugboat has officially set sail from Tuzla, Turkey, on a 45-day journey to Puerto Montt, Chile. From there, it will...

Singapore and France sign enhanced maritime partnership agreement

French Minister for Transport Philippe Tabarot and Singapore’s Acting Minister for Transport and Senior Minister of State for Finance Jeffrey Siow signed an Enhanced...

CMA CGM, DP World Ramp Up Investment Amid Global Trade Turbulence

As global trade fragments under the weight of geopolitical tensions, French shipping group CMA CGM and UAE-based logistics company DP World are positioning themselves...

AD Ports establishes Tbilisi Intermodal Hub in Georgia

AD Ports Group has announced the inauguration of the first phase of Tbilisi Intermodal Hub, Georgia's first modern, bonded container and intermodal terminal, and...
error: Content is protected !!