Re: Perfect Storm?
Shame to hear that about Maersk, from what I had hear they were a good company to work for.
I've been curious about shipping as an economic indicator, partly due to having watched some of the huge ships like Maersk's E and EEE-class sailing across the desert. The Suez canal can provide a strange perspective on shipping.. But-
Non-Chinese ports have not reported falling throughput volumes, however, the impact is expected to become visible in the next few weeks, when ships from Asia fail to arrive with containers from China, Drewry said.
As explained, a 30% fall in container volumes in China, which accounts for 30% of global throughout, means a 30% x 30% = 9% reduction in global container volume, unless the shortfall is caught up later.
And there seems to be a few factors coming into a wicked conjunction. So competition between shipping companies increasing supply & reducing freight rates, declining manufacturing, trade wars and now any impact from Covid. Freight EU-Asia already seems rather asymmetric, ie China-EU coming with full containers, EU-Asia going back empty.. Especially since China & other Asian countries stopped importing EU's rubbish. Not good news for shipping companies, or ports, or ship yards like S.Korea who've been building lots of larger cargo ships.
Then there's the IT angle, so any disruption from problems with virtual containers leading to challenges figuring out where 18,000+ physical containers per ship are. Or should be. I'm kind of curious how much of that data is local, ie digital manifests onboard ship vs in the cloud, and thus vulnerable to IT disruption.