Braemar says container shipping overcapacity set to double
In a recent report on the Seatrade Maritime News website, the author writes that newbuilding deliveries in 2025 will double the capacity overhang even following the absorption of capacity following the Red Sea diversions, according to a recent report from shipbroker, Braemar.
That made interesting reading for Davies Turner, with our comprehensive portfolio of international container shipping services for both LCL and FCL import and export cargoes.
In its latest market report Braemar is reported to have said that it had expected 2024 overcapacity to reach 12-13% in this year, up from around 9% in 2023, but the Red Sea diversions quickly put paid to that projection.
“In 2024 overcapacity was significantly suppressed, despite significant fleet growth. We estimate vessel overcapacity in 2024 will be in the region 3-4%,” said the Braemar report, adding: “Despite underlying overcapacity, the high level of uncertainty surrounding Cape of Good Hope transits has understandably enticed a surge in newbuilding investment in 2024.”
The full report can be read here: https://www.seatrade-maritime.com/containers/container-shipping-overcapacity-set-to-double-in-2025
For more information about Davies Turner’s ocean freight forwarding and logistics services, please contact ocean@daviesturner.co.uk or visit the relevant pages of this website.
Braemar says container shipping overcapacity set to double
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