Maersk Report Predicts Supply-Demand Balance and Industry Challenges

Maersk’s Asia Pacific Market Update for September anticipates a more balanced supply and demand environment in the global shipping industry as it enters the fourth quarter of 2024. Despite this positive outlook, the market remains fragile, with potential disruptions looming on the horizon. The report indicates that the industry is adjusting to this balance but warns of possible disruptions stemming from a potential U.S. port strike and the ongoing situation in the Red Sea.

Global container volumes saw a significant increase of 6.6% year-on-year in the second quarter of 2024, primarily driven by strong imports to North America and Latin America, as well as continued exports from the Far East Asia region. However, challenges persist, with trade and port-specific bottlenecks expected to continue, particularly in high-traffic regions. Ports on the US East Coast and major transshipment hubs may struggle to adapt to the changing landscape.

Maersk also addressed significant terminal congestion at ports in the Mediterranean and Asia, leading to delays in vessel schedules and longer waiting times. This congestion is affecting the company’s ability to maintain regular schedules and provide efficient services to customers. Economically, global growth remained robust in the first half of 2024, with an average growth expectation of around 2.7% for the full year. The US economy is forecasted to grow by 2.5% in 2024, while Europe is slowly emerging from stagnation with a projected GDP growth of 0.8%.

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