Demand and inflation suck for punch ports

According to Drewry’s analysis, global port throughput growth will come to a halt in 2022. However, most terminal operators are reporting strong financial results despite the decline in container demand. The downturn that started in the second half of 2022 accelerated in early 2023 due to high inflation, resulting in Drewry’s forecast of just 0.4% growth in global port throughput for 2023.

In the fourth quarter of 2022, port congestion eased, leading to a drop in storage revenues for terminal operators such as APM Terminals and Westports. Looking ahead, while per-unit stevedoring revenues may increase due to inflation-driven tariff increases, the contribution of storage to operators is expected to return to pre-pandemic levels, leading to a decline in the average turnover per container in 2023. Drewry has been tracking the performance of leading terminal operators, launching a new series of financial indices to monitor trends in revenue, costs, and earnings in the industry.

Tags: Container


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