By Lisa Baertlin
Los Angeles (Reuters) -Major Container Company Companies stop at least six planned weekly routes between China and the United States as President Donald Trump’s penalty rates on the world’s best export countries, maritime consultants said.
The ships on these routes have the combined capacity for the delivery of 25 682 containers with 40 feet, stuffed with toys, tennis shoes, car parts and things that US manufacturers use to produce goods every week or more than 1.3 million containers with 40 feet a year, based on client advisers.
The cuts of services, combined with the cancellation of individual voyages, come when container ship operators move to mitigate the fall from Trump’s chaotic commercial policies.
Business, economists and business owners are becoming increasingly hungry for information about the ocean trade responsible for 80% of global trade, as it is a gauge of global economic health.
“This is not the predecessor. This is evidence of a decline in economic activity,” said Simon Sundboel, CEO of the Danish Data Provider EESEA, of reducing the capacity of the container court, which is now being held.
The route suspensions include planned weekly services managed by MSC, ZIM and Ocean Alliance, which include COSCO, Evergreen, CMA-CGM and Orient Overseas Container Line, Sundboell said.
Four of services cuts affect the ports of the west coast, one affects the east coast and one hits the Gulf coast, he said.
Companies for the delivery of containers that kill these services either refused to comment or did not respond immediately.
Maersk and Hapag-Lloyd’s Gemini Alliance have not discontinued the services-although both partners have experienced a significant China related to tariffs to reserve reservation cuts in April and have replaced some ships for smaller vessels.
Representatives from the US and China meet this weekend in Switzerland after more than two months of impasse over trade.
Empty
Global delivery companies use the suspension of services and cancellation of individual trips known as empty sailing to house profits, ensuring that they have no more water ships than are needed by customers. This reduces unnecessary overhead costs and maintains demand and demand in balance, supporting competitive spot-negotiated tariffs.
Empty sailing has increased significantly since the Covid pandemic amazed global trade in 2020 – and are part of the reason why global container ship operators enjoy record profits.
Main retailers in the United States such as Amazon.com and Walmart, which represent almost half of the global container trade, responded to 145% Trump’s rates for China last month, pausing or canceling factory orders after these import duties have doubled the cost of goods made in China.