Despite the higher costs incurred by containerships due to shipments being re-routed around the Cape of Good Hope, 2024 is likely to be the third most profitable year ever in liner shipping history of according to Alphaliner’s latest report.
In the first nine months of the year, the top carriers’ accumulated net profits are already greater than their excellent financial performance in 2020 and 2023, apart from the 2021 -2022 Covid years.
“Significantly higher expenses as a result of the hostilities in the Middle East have not prevented carriers from generating large profits,” writes the consultancy firm.
“Diversions around the Cape of Good Hope led to a near 20% in ton-miles year-on-year, pushing expenses up in many categories for lines, particularly in the araìea of fuel and container handling,”
Between January and September, the world’s second largest shipping company, Maersk, recorded a 23% year-on-year increase in bunker costs directly related to the diversion of its ships around the Cape of Good Hope. The carrier burned 8.5 million tonnes of fuel, an +16% compared to the same period pre-Houthi attacks in 2023.
The introduction of the EU Emissions Trading Scheme (ETS) on 1st January has undoubtedly contributed to increased expenses for carriers, with Maersk having paid just under $130 million towards carbon offsets to date.
Translation by Giles Foster
