Global Container Fleet Idle Rate Drops Below 1%, Only 58 Ships Idle!

Due to strong demand, the performance of container shipping in 2024 has been surprisingly robust. According to the latest report from Alphaliner, as the year comes to a close, the global fleet of idle container vessels remains at an exceptionally low level.

Current Idle Fleet Situation

Analysts noted that in the past two weeks, idle capacity only increased by 35,000 TEU, primarily due to vessels completing dry-dock maintenance.

Currently, only 58 vessels, with a total capacity of 200,002 TEU, are in commercial idle status. This number accounts for just 0.6% of the global fleet of 30 million TEU, which means the fleet is considered to be "fully operational" with minimal idle capacity.

Strong Demand Expected to Continue

Alphaliner pointed out, "In the short term, demand is expected to remain strong." The upcoming Chinese New Year is expected to boost demand, and this could also be driven by potential new import tariffs under the Biden administration, as well as impending dockworker strikes at U.S. Gulf and East Coast ports.

Additionally, the upcoming shipping alliance reshuffling in February is expected to have a short-term impact on capacity supply until vessels adjust to the new network arrangements.

Strong Expansion in Trade Demand

Clarkson Research highlighted that the strong expansion of container trade demand on major trade routes is boosting the outlook for the container fleet. Analyst Trevor Crowe noted that positive trends in trade from Asia to Africa, South America, the Middle East, and the Indian Subcontinent are also supporting this growth.

Performance of Major Trade Routes

The two largest trade routes from Asia to North America and Europe have particularly high volumes. From January to October, total cargo throughput on these two routes amounted to 34.8 million TEU, a 12% increase year-on-year. August saw a record throughput of 3.9 million TEU.

2024 Growth Outlook

Trevor Crowe noted that the full-year growth for 2024 is expected to be the fastest since 2010, excluding 2021, when freight volumes rebounded from the initial impact of the COVID-19 pandemic.