After the Panama Canal expansion 4000-5000TEU Panamax excess

Author:ricky
Release Date:2014-07-01

According to JOC reports, the British research firm Drewry Shipping said that by the end of 2015 after the completion of the Panama Canal expansion Panamax container ship ,4000-5000TEU medium is likely a large surplus to balance supply and demand, with half the capacity, whether old age of the ship will have to be Dismantling .

It is reported that after the next year to broaden the canal lock, canal traffic from the current maximum ship size 5000TEU large Panamax vessels to 14,500 TEU vessels. In addition, the Asia-Europe routes continue launching large capacity container vessels leading to the continued influx of smaller north-south route, Panamax surplus situation is becoming worse.

Currently, Panamax shipping overcapacity has led to rents have been sluggish, and shipping companies regardless of supply and demand conditions, digestive capacity becomes imperative. Recently, the Mediterranean Shipping Company announced the deployment in the Asia / West route 10 about 4000TEU north-south routes added to the plight of the boat again.

Also in the Asia / Australia routes, the average size of the ship rose from 4365TEU third quarter 2013 to January of this year 4900TEU, freight rates more volatile. In addition, the Asian / Brazilian outbound routes, capacity surge of 17.9% in the first half of last year, while the volume of only 4.1% year on year growth.

Given the slowdown in demand for north-south routes, the objective of the Panama Canal expansion project postponed to a north-south routes respite. Drewry data show that the north-south routes 2011, 2012 and 2013 demand growth was 10.3%, 3.1% and 4.9% this year, growth is expected to accelerate to 5.7%.

Currently, only the Asia / U.S. East Coast route alone, about 150 4000-5000TEU ship via the Panama Canal, in addition to 58 Panamax vessels deployed in the Europe / South America West Coast and East Coast of North America / South America West Coast routes, most of the capacity will be is replaced by larger container vessels.

Shipping companies for profit, abandoned Panamax vessels use large determination to chase almost cost advantage "mad." Last month, Evergreen decided to Asia to the U.S. East Coast will gradually abandoned cargo box to go via the Suez Canal and more.

Drewry data show that global does not go through the Panama Canal 4000-4999TEU active or idle container ship about 377, still accessible even to replace the Panama Canal 258 Panamax vessels will be a small part of the a huge impact on the ship market. Therefore, some of the surplus capacity will be decisive dismantling, in the first quarter alone sent 19 Panamax demolition, compared with last seven dismantling amount was significantly dismantling surge.