b'8American Journal ofTransportation ajot.com(PEAKcontinued fromTop 50 Ocean Container Carrierspage 2)Marine.Taiwan-basedEver-greeninthe7slot,has63Ocean Carrier Ships Total TEUOwned Ships Owned TEU Chartered Ships Chartered TEU On Order Ships On Order TEU ships on order with a capac- 1 MSC 662 4,337,384 323 1,707,094 339 2,630,290 77 1,194,3942 Maersk 737 4,279,760 337 2,500,382 400 1,779,378 29 319,100ity of 623,228 TEUtrailing3 CMA CGM 578 3,274,775 198 1,453,321 380 1,821,454 55 452,523only MSCs 1.1 million TEU4 COSCO 475 2,928,114 176 1,559,232 299 1,368,882 34 586,672orderbook capacity. Evergreen5 Hapag-Lloyd 246 1,741,980 113 1,061,410 133 680,570 22 415,588islikelytoovertakeJapans6 ONE 209 1,526,937 91 793,211 118 733,726 24 326,642ONE in the near term as the7 Evergreen 200 1,504,564 122 785,911 78 718,653 63 623,2286 th largestcarrier.COSCO,8 HMM 76 820,520 35 551,484 41 269,036 12 161,088Chinaspremierboxcarrier,9 Yang Ming 93 666,164 50 211,684 43 454,480 5 59,300at number 4 in the world, also10 Zim 125 451,855 6 20,026 119 431,829 47 395,41511 Wan Hai 146 410,764 94 271,375 52 139,389 44 313,192hasaheftyorderbookof3412 PIL 87 282,655 64 172,159 23 110,496 4 56,000ships of 586,672 TEU. Along13 KMTC 68 156,995 32 86,464 36 70,531with the number 3 carrier the14 IRISL 32 149,042 32 149,042FrenchCMACGMGroup,15 X-Press 95 145,615 37 62,829 58 82,786 23 102,834the carriers could well exceed16 SITC 97 144,133 78 118,718 19 25,415 33 61,3143.5 million TEU in size in a17 UniFeeder 96 143,727 96 143,727coupleofyears.Infact,the18 Zhonggu 96 111,362 29 61,753 67 49,609 18 83,052concentrationofTEUinto19 TS Lines 55 111,142 26 65,918 29 45,224 26 80,768the top 10 stands toincrease20 Sinokor 75 108,063 58 85,895 17 22,168 32 103,69621 QASC 95 91,934 45 62,804 50 29,130 2 4,888rather than decrease over the22 Sea Lead 23 87,180 23 87,180next4-5years,meaningthe23 CULines 33 85,797 2 1,967 31 83,830 10 32,944gap between the carriers at the24 RCL 40 73,133 36 60,339 4 12,794 2 15,100very top of the chart and those25 Matson 29 68,563 19 38,573 10 29,990below, is likely to widen. 26 SM Line 12 63,025 8 33,298 4 29,72727 Global Feeder 20 62,390 12 38,676 8 23,714M oney , M oney , M oney 28 Emirates 12 56,541 1 2,546 11 53,995Despite the disruptions in29 Arkas Line / EMES 32 53,049 31 50,557 1 2,492 3 9,300thesupplychain,bans,port30 Swire Shipping 26 50,028 21 44,100 5 5,92831 Sinotrans 32 45,642 16 23,970 16 21,672 4 7,000congestion,unhappyship- 32 Interasia Line 18 43,005 9 19,182 9 23,823persandevenawar,times33 Ningbo 49 42,336 34 31,848 15 10,488 9 18,840haverarelybeenbetterfor34 Grimaldi (Napoli) 37 39,638 37 39,638 12 13,800ocean carriers. In the current35 Samudera 32 38,282 11 7,467 21 30,815environment of high demand36 Meratus 54 35,390 53 34,772 1 618 2 3,600andequallyhighfreight37 Shanghai Jin Jiang 39 35,289 29 23,994 10 11,295 4 7,600rates, it is hard to remember38 Tanto In\\m 55 35,179 55 35,179that just a short time ago the39 Seaboard Marine 22 34,582 6 9,389 16 25,193 3 10,500entire industry feared drown- 40 Salam Pacic 45 31,331 45 31,33141 Pasha Hawaii 12 29,049 6 11,570 6 17,479 2 6,400ingunderatideofredink.42 Namsung 25 28,166 20 24,130 5 4,036 6 10,600Back in 2016 the ocean carri- 43 BAL 7 22,290 2 2,324 5 19,966ers, according to Lloyds List,44 Great White Fleet 12 22,274 4 9,238 8 13,036industry wide lost $3.5 billion.45 FESCO 16 21,945 13 17,035 3 4,910Partoftheproblemwasthe46 Linea Messina 8 20,940 7 20,440 1 500lowratesonfreightservice47 Temas Line 32 17,431 32 17,431contractssignedduringthe48 Crowley 15 17,047 10 11,787 5 5,260May1,2016-April1,2017,49 TOTE 20 16,835 18 15,435 2 1,400contractperiod.Partofthis50 Turkon 8 15,715 6 10,521 2 5,194was the structure of the indus- Data Source: Alphaliner Top 10004/02/2022try itselfa lot of ocean carri-ers chasing the same freight in168% over the same time inwiththesupplychain.LarsHowever,onceweseealost production whilst under a race to the bottom.2021. And freight rates to theJensen,CEOofVespuccire-opening,theexpectationlockdown.Thiswillleadto Butchangecamefast.Asia-U.S.EastCoastwereMaritime(formerlySea- shouldbeasurgeofcargoa sharp upwards pressure on In the aftermath of the 2017$17,148perFEU,up192%Intelligence)recentlywrotecoming out of Shanghai. Thisfreight rates.bankruptcyofHanjin,thefor a similar time last year.inanApril7thcolumnforwill be a mix of cargo whichThis is the Yin and Yang of industryengagedinawildObviously,thestutter- theBalticExchangeonthehasnotloadedduringthethe COVID impact on ocean period of consolidation. TheingCOVIDpandemiclock- impact of the current COVID- lockdownaswellasfacto- (PEAKcontinued on result is what we see today,downshaveraisedhavoc19lockdownsinShanghai,ries playing catch-up withpage 10)atopheavybutfarmore disciplinedindustrythatis making money. AndwiththedemandPHILADELPHIA, PA rebound from the COVID- (856-423-0700)19 pandemic lockdowns, the industryreportedlymadeCHARLESTON, SC $150 billion in 2021. To put(843-790-7878)that number into context, inMIAMI, FL most years the industry made(305-493-3041)between$700millionto$1 billion.Unsurprisingly,theNEW YORK / NEW JERSEYmajority of this bonanza was (908-258-0690)made by the Top 10 carriers, accounting for $115 billion -NORFOLK, VA $120 billion of the total. In an(757-673-8696)industrybuiltonridingtheDRAYAGE & TRUCKING SERVICESeconomicwaves,the2021ATLANTA, GA resultwasaroguewaveof(706-333-8747)historical magnitudea once Local, Regional & Over the RoadHazardous Materialsin a century event.Full Containers Heavy Overweight Containers JACKSONVILLE, FLReefer ContainersTransload Services (904-475-2858)coVid i MPact onf ReightR ateSUnited States Customs andBorder Protection Bonded Carrier TAMPA, FLLastyearfreightrates Owned Fleet of 40 & 20 Chassis & Specialized Tri-Axels for Overweight Containers (813-241-0035)soared and are still very high. Forexample,Freightosin their April 5 thupdate reported that freight rates on the Asia- NORTHSTAR TRANSPORT SERVICES U.S.WestCoasttradelanesAL IANNELLI | ext. 202 PHILADELPHIA, PA 19148 856-423-0700 JOE LOCASTRO | ext. 206were $15,817 per FEU (Forty856-423-0700 WWW.NSTRANSPORT.COM 856-423-0700FootEquivalentUnit),up'