Will there be a container shortage yet this year?

As reported on this blog back in March, many in the trade predicted a shortage of containers and a resultant freight rate increase for 2011.

Now, however, Alphaliner, a market analyst for the liner shipping industry, foresees no container shortage during peak season.  As reported in the Journal of Commerce, the primary reasons are that “[l]easing companies and ocean carriers have ordered sufficient numbers of new containers during the last 12 months, while demand growth has failed to match earlier projections.”

In addition, Alphaliner indicates that falling demand has caused “prices for new TEU dry containers drop from $2,900 at the beginning of the year to less than $2,500 per TEU.”

See the full article here.

One thought on “Will there be a container shortage yet this year?”

  1. Interestingly, as also reported in the Journal of Commerce, the National Retail Federation issued a Global Port Tracker report which predicts a more robust peak season this year compared to last. Wonder how this increased cargo volume will affect “falling demand” forecast by Alphaliner?

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