The temporary truce in the trade war between the US and China and the subsequent boom in demand are prompting shipping companies to rapidly add new capacity. The Asia – US west coast trade lane will see + 30% year-on-year in five of the next 11 weeks.
Compared to the period immediately prior to the tariff truce, additional capacity planned along this route is to increase by 12.8% in June and 16.5% in July. Compared to the previous week, liners planned to inject as much as 397,000 more TEUs into the trade between June and July.
In June/July, shipping companies expect to offer about 18% more capacity on an annual basis. “It is of course an open question whether the tariff-induced volume surge will match this capacity injection,” explains Sea Intelligence. “If it does, it can create a significant issue in the ports of Los Angeles/Long Beach.”.
Translation by Giles Foster
