The reopening of the US and European economies after last year’s COVID-19 lockdowns spurred a resurgence in the trans-Atlantic container trade as business activity in two of the world’s largest economies showed better than expected growth in May.

Container lines

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Carriers on the trans-Atlantic find themselves in the curious position of adding capacity to the trade while at the same time having to blank sailings to maintain the supply-demand balance.

With the extended port reach into India, carriers are looking to fill leftover capacity from Southeast Asia as primary market volumes slow and US sourcing within Asia diversifies beyond China, sources say.  

As the size of China’s workforce declines and production challenges increase, US retailers are shifting to global sourcing strategies, with each sector looking for the business model that meets its particular requirements.

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Sharp increase in capacity keeps trans-Atlantic rates under pressure

MSC extends Asia-USWC string to India as primary market demand wanes

US retailers’ global sourcing strategy will take time to develop: analysts