Each day TFO Canada publishes a sample of trade news on the Canadian import market along with any new, updated or changed regulations and legislations regarding international trade; countries in which TFO Canada offers services and on the export sectors which it promotes.
Transatlantic Box Volumes on the RiseThursday, July 17, 2014 > 10:58:13
(Lloyd’s Loading List – Damian Brett)
Carriers operating on the transatlantic trade lane enjoyed double-digit percentage volume growth in May, according to the latest figures from Container Trades Statistics.
CTS data shows that during the month, volumes in the westbound direction leapt by 12.6% year on year to 334,200 teu. This is the highest monthly year-on-year increase recorded so far in 2014. Volumes for the first five months of the year are up 8.3% on the same period a year ago at 1.6m teu.
Container liftings from northern Europe to North America are up 6.7% for the first five months, reaching 1.1m teu. In the eastbound direction, carriers also enjoyed a strong month in May, with an increase of 5.1% on last year to 243,000 teu. However, the growth figure for the first five months is lower than this level, with an increase of 1.1% compared with the same period in 2013 to 1.7m teu.
While volumes on the trade lane are increasing this year, freight rates have been declining.
The CTS price index, which uses the 2008 average as an index level of 100, from Europe to North America has been below last year’s level every month of the year in both directions. In May, the index reached a level of 92 compared with 95 a year earlier. In the opposite direction, the index is at 90 points for the month, compared with 96 last year.
It should be noted that fuel process has declined this year, which has had an impact on freight rates. However, the latest load factors analysis from Containerisation International shows that vessel utilisation levels on services from the Mediterranean to North America are below 80%.
From northern Europe the situation is better for carriers, with load factors set to remain above 83% until at least the first quarter of next year.