Container shipping lines predict record Pacific peak season
Container shipping lines operating the busy trade route between Asia and the United States are preparing for a record peak season after utilisation of vessels hit more than 90% in the first quarter of 2007.
The Transpacific Stabilization Agreement group of container carriers said on Thursday that Asia-US cargo had rebounded following the Lunar New Year holiday in Asia in February.
"After a two-week lull during the first half of March container ship utilisation has climbed to more than 90% on most sailings," it said in a statement.
"Current cargo trends, and forward bookings received to date by TSA carriers, indicate an increase in container traffic through April."
The group forecast a lull early May due to national holidays in China and Japan which would be followed by a record peak season, which would require additional vessel capacity.
"Even as overall US economic growth is moderating, increased trade volumes due to the amount of goods produced in Asia continue to drive cargo growth in 2007," Transpacific Stabilisation Agreement chairman Ron Widdows said.
It forecast 9%-10% Asia-US cargo growth for 2007 and slightly higher growth in 2008. TSA is a grouping of 12 liners in transpacific trade.
Its members are NOL's American President Lines, CMA CGM, Cosco Container, Evergreen Marine, Hanjin, Hapag Lloyd, Hyundai Merchant Marine, Kawasaki Kisen Kaisha, Mitsui OSK, Nippon Yusen Kaisha, Orient Overseas and Yangming Marine.
The TSA and its counterpart covering the Asia-Europe route, the Far Eastern Freight Conference, say they do not set container freight rates, which would constitute an illegal cartel in most countries, but look at factors such as economic growth and fuel costs and then recommend price adjustments to their members.
The Transpacific Stabilization Agreement group of container carriers said on Thursday that Asia-US cargo had rebounded following the Lunar New Year holiday in Asia in February.
"After a two-week lull during the first half of March container ship utilisation has climbed to more than 90% on most sailings," it said in a statement.
"Current cargo trends, and forward bookings received to date by TSA carriers, indicate an increase in container traffic through April."
The group forecast a lull early May due to national holidays in China and Japan which would be followed by a record peak season, which would require additional vessel capacity.
"Even as overall US economic growth is moderating, increased trade volumes due to the amount of goods produced in Asia continue to drive cargo growth in 2007," Transpacific Stabilisation Agreement chairman Ron Widdows said.
It forecast 9%-10% Asia-US cargo growth for 2007 and slightly higher growth in 2008. TSA is a grouping of 12 liners in transpacific trade.
Its members are NOL's American President Lines, CMA CGM, Cosco Container, Evergreen Marine, Hanjin, Hapag Lloyd, Hyundai Merchant Marine, Kawasaki Kisen Kaisha, Mitsui OSK, Nippon Yusen Kaisha, Orient Overseas and Yangming Marine.
The TSA and its counterpart covering the Asia-Europe route, the Far Eastern Freight Conference, say they do not set container freight rates, which would constitute an illegal cartel in most countries, but look at factors such as economic growth and fuel costs and then recommend price adjustments to their members.
