Shipping Industry Witnesses a Great Upsurge in Container Freight post COVID

2 mins read  Sealuminati TeamSeptember 3, 2021

COVID 19 severely disrupted global sea freight corridor. Moreover, the MT EVERGIVEN seasoned the problem with everlasting depression in the global supply chain by blocking the Suez Canal one of the major trade arteries. Hundreds of vessels carrying cattle to cargoes, piled up on the both side of blockades.

But, the maritime freight corridor is ready for the highest ever upsurge due to the rebound in global economy post pandemic.

As the shipping gains momentum towards recovery, the container orders and logistics & transportation services have witnessed the very expected boom. The boom in orders and escalation of freight rates aptly shows the shortage of container ships in the trading domain.

Various shipping companies have placed order of 276 new vessels which would increase the global container capacity by 10%.

The world's largest Danish container carrier AP Moller-Maersk, witnessed its net profit jump to $3.71 billion (3.14 billion euros, £2.7 billion) in the second quarter of 2021, up 30 percent on the full-year figure for 2020.

France's CMA-CGM meanwhile chartered a second-quarter net profit of about $3.5 billion, twenty-five times more than the same period last year.

Alan Murphy, a maritime intelligence officer has stated that the number of ships will continue to rise till 2023. Though the pandemic has made the industry stand still yet the container shipping will continue to skyrocket.