Shipping lines pull out of Asia
Published on 27 July 2011
Rates are being pushed up on the transpacific trade lane as more and more shipping lines pull their services in Asia.
Only last week, MSC, Maersk Line and CMA CGM announced they had cancelled their annual Jaguar service this year. Another shipping company that also pulled out recently is Hainan Pan Ocean Shipping and TS Lines.
Most companies report that they are making a loss on these routes and have decided to get out altogether. Last month a further three companies cut back on the services that they provided across Asia.
In April, The Containership Company decided to cease all its operations on the transpacific trade because of pressure on freight rates, weak volumes and increasing oil prices.
The service cuts have followed carriers’ decision to delay implementation of peak-season surcharges (PSS).