THE global fleet of operational leased containers grew nearly 11 per cent in 2011-12, though a smaller 6.4 per cent growth is expected this year, according to London's Drewry Maritime Research.
Drewry's latest Container Leasing report shows that the strong fleet increase of 2011-12 was evenly balanced between the two years, even though it did experience some fluctuation.
Fleet expansion was unprecedented for the opening six months of 2011, when demand and pricing remained high, but subsequently slowed throughout the closing part of the year. This was due to a build-up of newbuild stocks, which subsequently curtailed further investment.
A similar pattern developed in 2012, when growth was again stronger in the opening half of the year than during the closing months. However, the opposite happened in 2010 when the leased fleet also grew nine per cent.
Andrew Foxcroft, editor of the report stated: "The current year [2013] may see a smaller overall increase, but uptake has so far been more uniform. As such, leased fleet growth in the first half is expected to be matched in the second half, despite an ominous pile-up of surplus equipment across China."
There were more than one million TEU globally in April, including 800,000 TEU of leased equipment. The latter figure topped the lessors' earlier over-supply of 700,000 TEU in 2011, and compared less favourably with the 400,000 TEU averaged throughout 2012.
Current stockpiles are expected to fall, as peak-season demand mounts in the third quarter, but its presence is almost certain to dent fleet expansion for the year overall and helps explain the weaker annual rate now forecast. It has also had a negative impact on new standard box prices, which had still to surpass their end-year level by the start of the third quarter.
Nevertheless, the leasing sector remains better placed than it was before the 2009 downturn. "Before this watershed year, leasing companies had been losing out to the shipping industry's own aggressive box procurement programme, which resulted in a relatively weak and erratic growth rate for the rental fleet and steady loss in terms of its ownership share," said Mr Foxcroft.
OPINION
19 August 2013 - 22:49
Container leasing to grow more than 6pc despite bearish outlook: Drewry
THE global fleet of operational leased containers grew nearly 11 per cent in 2011-12, though a smaller 6.4 per cent growth is expected this year, according to London's Drewry Maritime Research.
OPINION
19 August 2013 - 22:49
Container leasing to grow more than 6pc despite bearish outlook: Drewry
This news 6328 hits received.
These news may also interest you