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Seaspan warns of tough 2016 for container shipping

Boxship owner and charterer Seaspan Corp sees a difficult year ahead in 2016 for container shipping lines.

Marcus Hand, Editor

November 4, 2015

1 Min Read
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Gerry Wang, ceo, co-chairman and co-founder of Seaspan, said in a third quarter results call that 2015 as whole lines will do quite well as they enjoyed a very strong first half of the year, even if the second half was not as good as expected.

“Next year would be full of question marks, even though the fuel cost has come down substantially and the low cost will continue to stay, but the fleet rate situation for especially two main trade routes, one is South America-Asia trade lane and Asia-Europe trade lane remain depressed,” Wang said, in transcript of the call on SeekingAlpha.com.

“If the current trend continues, we will see some undesirable results for certain areas.”

The imbalance between supply and demand is set to worsen with cargo growth remaining depressed.

“So with supply at a high level is a big issue for the industry and so you’ll see a lot of adjustments in slow-steaming to become even super-slow-steaming, in most cases adjusting the operating profile to enable the tonnage of the vessels to operate more efficiently,” Wang said.

About the Author

Marcus Hand

Editor

Marcus Hand is the editor of Seatrade Maritime News and a dedicated maritime journalist with over two decades of experience covering the shipping industry in Asia.

Marcus is also an experienced industry commentator and has chaired many conferences and round tables. Before joining Seatrade at the beginning of 2010, Marcus worked for the shipping industry journal Lloyd's List for a decade and before that the Singapore Business Times covering shipping and aviation.

In November 2022, Marcus was announced as a member of the Board of Advisors to the Singapore Journal of Maritime Talent and Technology (SJMTT) to help bring together thought leadership around the key areas of talent and technology.

Marcus is the founder of the Seatrade Maritime Podcast that delivers commentary, opinions and conversations on shipping's most important topics.

Conferences & Webinars

Marcus Hand regularly moderates at international maritime events. Below you’ll find a list of selected past conferences and webinars.

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