Rising demand for future proof sustainable feeder vessels
The outbreak of the coronavirus (COVID-19) pandemic at the beginning of 2020 was subject to much uncertainty, among other things on world trade and the global economy. The lock down in China caused the worldwide production and distribution chain to flounder. However, we also saw the goods flows rapidly pick up again once China appeared to have the outbreak under control within its own territory. In the second half of 2020 demand for container capacity increased again, and from October 2020 on, charter rates for container feeder vessels started to rise again. By the end of 2020 newly fixed charter contracts rates were already 20% above average in 2019. This signified a trend.
Substantial rate increases
The trend of rate increases in all container shipping segments continued. At the end of 2020 it was possible to establish structural and substantial recovery, and by the beginning of 2021, on concluding various new contracts, this trend strengthened.
Development of charter rates for 750 TEU container feeder vessels in € per day
Source: Confeeder Shipping & Chartering, September 2021