Idle Box Ship Capacity Falls Back From Record Highs: Alphaliner

by Ship & Bunker News Team
Thursday November 24, 2016

As of November 14, the number of idle container ships of above 500 TEU has fallen to 363 units for 1.49 million TEU, down from a record high of 1.59 million TEU two weeks ago, according to Alphaliner data.

The news came in Alphaliner's latest weekly review, in which it credited the return from record high levels of idle container vessels to a high scrapping rate that has "finally" begun to have a positive impact on the situation.

"Fresh chartering activity has also helped to reduce the number of idle ships, especially for vessels of between 2,000 and 3,000 TEU, which have seen idle numbers decline from 54 to 31 units within the space of one month," explained Alphaliner.

The report further suggests that such momentum may be hard to maintain, noting that  there are currently 90 classic panamaxes of 4,000 currently idle, including 85 NOO units.

"Compared to the record high of 92 units one month ago, the numbers have declined only marginally and a dozen more classic panamaxes are expected to be redelivered before the New Year," said Alphaliner.

In September, Ship & Bunker reported that seasonal increase in demand, the removal of tonnage resulting from the recent collapse of Hanjin Shipping Co. Ltd (Hanjin) and a demolition spree, persistent supply overhang, and low freight rates would likely see operators continue slow steaming practices.

Ship & Bunker News Team
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