THE world's major carriers are reducing EU-US transatlantic capacity to contend with a 0
THE world's major carriers are reducing EU-US transatlantic capacity to contend with a 0.6 per cent year-on-year decline in EU container export volume to 683,881 TEU in the first five months of the year, reports IHS media. Hong Kong's Orient Overseas Container Line (OOCL) announced it would cancel two sailings on its Atlantic Mediterranean Express Service in mid-August and early September.
Cosco, CMA CGM, Evergreen and OOCL cancelled its TAT4/TAX loop while Hyundai Merchant Marine (HMM) had already announced plans to end two transatlantic services.
The slowdown appears unrelated to international trade tensions, given the timing. US tariffs on EU aluminum and steel did not apply until June. Timing of retaliatory EU tariffs meant they too had little impact.
Growth in total US-EU containerised automobile and auto parts trade accelerated 5.7 per cent to 179,132 TEU, through May, as export growth more than doubled to 16.7 per cent, or 64,044 TEU, and import growth went up 3.2 per cent to 99,950 TEU, according to PIERS.
The fastest-growing top 10 US import commodity from the European Union through May was unsweetened waters, which rose 23.9 per cent to 25,566 TEU, followed by sweetened waters, up 19.2 per cent to 14,530 TEU and furniture and parts, up 11 per cent to 62,040 TEU.
The fastest-growing top 10 US export commodity was machines with individual functions not elsewhere specified or indicated, up 48.7 per cent to 11,814 TEU, followed by cars and vehicles for transporting people, and articles of plastic, which rose 23.7 per cent to 12,875 TEU.
