HAMBURG's Hapag-Lloyd expects more disappointing performance from the global container sector in coming quarters, following a decline in profits this year, reported Deutsche Presse-Agentur.
Subdued demand, more shipping capacity, and price pressure are expected, according to CEO Rolf Habben Jansen. The industry's capacity will exceed demand by 2024, which will make 'active cost management' unavoidable, he said.
Hapag-Lloyd put the average price for the first nine months of the year at US$1,604 per TEU - compared to $2,938 a year earlier. Freight rates fell more sharply than had been expected due to the supply/demand ratio.
The lower prices for sea transport compared to the Covid-related boom caused Hapag-Lloyd's revenue and profit to plummet in the first nine months of this year. The group's result fell to around EUR3.16 billion ($4.12 billion). In the record year 2022, it totalled EUR13.77 billion after nine months.
SeaNews Turkey
Subdued demand, more shipping capacity, and price pressure are expected, according to CEO Rolf Habben Jansen. The industry's capacity will exceed demand by 2024, which will make 'active cost management' unavoidable, he said.
Hapag-Lloyd put the average price for the first nine months of the year at US$1,604 per TEU - compared to $2,938 a year earlier. Freight rates fell more sharply than had been expected due to the supply/demand ratio.
The lower prices for sea transport compared to the Covid-related boom caused Hapag-Lloyd's revenue and profit to plummet in the first nine months of this year. The group's result fell to around EUR3.16 billion ($4.12 billion). In the record year 2022, it totalled EUR13.77 billion after nine months.
SeaNews Turkey
