[081013.EN.SEA] Maersk Triple-Es Change Owned-Chartered Ratios, Market Dynamics Too

MAERSK's owned-to-chartered ratio has been 50-50 historically, but with its new 18,000-TEUers, the owned proportion will jump to 70 per cent, estimates Lloyd's List.

Maersk Line's chief operating officer Morten Engelstoft told its recent Capital Markets Day that its plan was to cascade smaller panamax vessels and assign its smaller ship needs to short-term charters.

It made sense, he said, to own larger modern ships and to short-term charter smaller, cheaper ones. Mr Engelstoft said he expects 22 chartered vessels - 22 per cent of the company fleet - will be redelivered when contracts end, while others will be idled, scrapped or re-deployed on shortsea trades.

The P3 operational alliance with MSC and CMA CGM is unlikely to influence the proportion of panamaxes Maersk needs as these vessels are mainly used on trades P3 will not cover, according to earlier Maersk statements.

Among big carriers, the percentage of owned panamax vessels differs. China Shipping has the most owned panamaxes. CMA CGM has a high proportion of chartered in panamaxes. The PIL-owned 4,000 TEU Kota Loceng newbuilding joins its WSA2 Asia-central and South America service next month and all vessels on this loop are between 3,800 and 5,000 TEU.

Mediterranean Shipping Co is thought to be behind three 18,000-TEU ships ordered by a Hong Kong buyer, and has three 16,000-TEU ships to be delivered in 2015. China Shipping and United Arab Shipping Co have ordered 18,000-TEUers too. CMA CGM already has three 16,000-TEU ships in service.

Faced with the same problem as Maersk, other mega ships owners may well cascade their panamaxes to regional trades, contributing to overcapacity. By cascading these vessels and replacing them with chartered tonnage, Maersk, and perhaps others, hope to keep their market share.

Maersk's Wafmax vessels are an exception to this and are crucial to its West Africa services, 22 optimised vessels that Mr Engelstoft described as essential that will stay on. Given this, geared vessels have greater prospects of employment given the limitations of emerging market ports through which volumes grow steadily.

Source : HKSG.