shippingposition
  • Home
  • News
  • Editorial
    • Vox Pop
  • Maritime safety
  • Oil and Gas
  • Personality
  • Health
No Result
View All Result
shippingposition

Home » Meltdown: More Container Ships to be Idle

Meltdown: More Container Ships to be Idle

by Joshua
March 8, 2009
in Uncategorized

Container ship charter  owners are preparing to lay up more ships in coming weeks as hire rates reached new lows and operators make demands for bigger discounts, reports the Journal of Commerce Online.
The publication quotes AXS Alpha liner as reporting there were about 400 ships totaling 1.1 million TEU total capacity, which is equal to 8.8% of the world’s fleet that were idle at mid February, with additional ships being added daily. The shipbroker Clarkson says this number is probably on the conservative side.
The layups have become necessary because charter rates no longer cover vessel financing costs.
The article gives examples of charter rates that have been re-negotiated – Eurosease agreeing to decreasing the rate on one ship from $ 18,500 a day to $ 12,000 for a 1,742-gt ship, and from $ 16,500 a day to ,000 for a 1,932-TEU vessel.
It adds that while many owners have adopted ‘hot’ layups in anticipation of ships resuming trading shortly, they are now adopting ‘cold’ layups that involves considerable expenditure in maintaining the idle ship for a longer period.
In other examples JOC quotes average daily charter rates for a 1,700-TEU ship as having reached $ 5,418, down two-thirds from the $ 25,074 the same ship achieved 9 months ago. A 3,500-TEU gearless container ship had dropped 44% in three months to $ 10,500 from $ 15,500.
Adding to the woes the article says that ocean freight rates have fallen even more, thus widening the gap with charter rates. Rates between China and Europe have plunged nearly 70%, said the report quoting London-based Drewry Shipping Consultants.
Source: JOC Online


Related Posts

ECOWAS Electricity Agency Assures Of Stable, Affordable Power Across W/Africa From 2023

FG Urges Entrepreneurs To Embrace ECOWAS Trade Scheme

May 19, 2023
Nigeria Targets Over $500 Million From Cashew Export

Weekly Global Marine Incidents May 8, 2023

May 8, 2023
Stock Exchange Closes Week With 24 Gainers 27 Losers

Stock Exchange Closes Week With 24 Gainers 27 Losers

May 1, 2023
Investors Buyout Norwegian Car Carriers from Klaveness

Investors Buyout Norwegian Car Carriers from Klaveness

May 1, 2023

Discussion about this post

Latest News

Vessels Expected At Lagos Ports As At 6th June, 2023

Vessels Expected At Lagos Ports As At 6th June, 2023

June 6, 2023

MWUN Call Off Strike Action As Shipping Coys Agree On Acceptable Condition Of Services 

NIMASA Debunks Nepotism Allegations Says Structure Based On Merit Professionalism 

Reps Summon NEPC MD Over Status Of $1.67bn Crude Oil Revenue

Court Sentence Three To Two Years Imprisonment Over Assault On Customs Officers

Customs Seizes Pangolin Scales Worth N432m In Bauchi

Customs PTML Welcomes Comptroller Saidu Yusuf, As Mahmoud Ibrahim Bows Out

Do you think Navy handled the prosecution of MV Heroin Idun very well?

Lesson From MT Heroic Idun    

Nigeria Stock Exchange Closes Market With Market Capitalization Of N30.4trn

We Won’t Fix Petrol Prices Again – NMDPRA

Subsidy: CPPE Urges FG On Interventions To Mitigate Impacts

kindly like our Facebook page

Health

  Taking Aphrodisiacs To Improve Sexual Potency, Dangerous — Experts
Health

  Taking Aphrodisiacs To Improve Sexual Potency, Dangerous — Experts

June 5, 2023

Health experts have described the trending addiction to aphrodisiacs by youths and some male adults for sexual potency as harmful...

COVID-19: Fifth Wave Looms As Nigeria Records Three Deaths In One Week

Most Diseases Are Preventable

May 29, 2023
Garcinia Kola: The Magic Of Chewing Just One Bitter Kola

Benefits Of Bitter Kola

May 29, 2023
FG To Place 80% Hypertensive Nigerians On Standard Treatment

FG To Place 80% Hypertensive Nigerians On Standard Treatment

May 22, 2023
High Blood Pressure Explained

High Blood Pressure Explained

May 22, 2023
Some Impressive Health Benefits Of Onions That May Interest You

Some Impressive Health Benefits Of Onions That May Interest You

May 22, 2023
Failed IVF Cycles Not End Of Parenthood Journey

Failed IVF Cycles Not End Of Parenthood Journey

May 15, 2023
COVID-19: Fifth Wave Looms As Nigeria Records Three Deaths In One Week

COVID-19: Nigeria Embarks On Integrated Health Emergency

May 15, 2023
Some Health Benefits Of Eating Groundnuts (Peanuts)

Some Health Benefits Of Eating Groundnuts (Peanuts)

May 15, 2023
BEWARE: Too Much Sex Is Bad For You!

DANGER: Why Sudden Death Happens During Sex – Expert

May 8, 2023

© 2021 Shippingposition

Navigate Site

  • Home
  • About Us
  • Contact us
  • Privacy Policy
  • Sitemap
  • Terms

Follow Us

No Result
View All Result
  • News
  • Coast To Coast
  • Oil and Gas
  • Maritime Education
  • The Terminals
  • Maritime safety

© 2021 Shippingposition