Blank sailings have reached their scheduled peak
Date: Tuesday, April 28, 2020
Source: Supply Chain Brian
- The canceled sailings by ocean carriers brought on in response to the drop in consumer demand during the coronavirus pandemic has reached its scheduled peak, according to Sea-Intelligence. But carriers could announce more blank sailings to push the peak out further based on various macroeconomic factors and if carriers don't see shipper demand increase, Sea-Intelligence CEO Alan Murphy told Supply Chain Dive in an interview.
- The Asia-North Europe route had canceled 38% of its capacity as of last week and will experience at least seven weeks where canceled capacity exceeds 20%.
- Ocean carrier schedule reliability dropped to 68% in the first quarter of the year. Sea-Intelligence's data on schedule reliability goes back to 2011 and only the first quarter of 2018 posted lower reliability. This was already trending down at the end of 2019 and began to show some improvement in March, but increased blank sailings in April could result in another drop, Murphy said.