BlueWater Reporting has released a report today on how prominent liner shipping companies have recorded strong profitability growth in Q2 from a year prior, despite the global economy being bogged down by COVID-19.

The liner shipping industry’s ability to grow profits in Q2 was fueled by lower transportation costs and higher freight rates offsetting weaker container volumes.

BlueWater Reporting’s latest report, “Liner shipping profitability soars in Q2,” provides earnings figures for several prominent liner shipping companies, as well as container supply versus demand data. Additionally, the report shows how carriers’ aggressive measures to constrict capacity beyond what was necessary to match the decline in demand from the pandemic resulted in significantly higher freight rates. 

The report also provides a full-year outlook for the liner shipping industry, which generally remains positive due to strong spot rates, even with carriers adding back in capacity, coupled with bunker fuel prices still substantially lower from the start of the year, although a high degree of uncertainty persists due to lingering threats from COVID-19.