28 July 2023

DHL Market Update

Air Freight State of the Industry
July 2023

Overall volume growth remains flat. Month-on-month comparison shows improvement but still low. The PMI Index fluctuates across countries, indicating higher export orders from emerging markets.

In a Nutshell

  • DEMAND – Volumes still remain low. Lower purchase power is contributing majorly to the scenario
  • CAPACITY – Global capacity is sufficient. Belly capacity continues to improve.
  • RATES – Market remains competitive. Slight increases on specific trade lanes
  • FUEL – Prices relatively high, though reduced in comparison to previous months. EIA predicts increase in crude oil prices towards late 2023, likely affecting jet fuel rates.

Click here to read Air Freight State of the Industry update (July 2023)

Ocean Freight Market Update
July 2023

Trade routes play a vital role in the shipping industry, and understanding the focus areas of top carriers can provide valuable insights into market dynamics. MSC and CMA CGM have been the most active vessel buyers, accounting for over 60% of the total second-hand transactions.

MSC acquired an impressive 306 vessels, while CMA CGM purchased 104 ships, solidifying their positions in the industry. MSC, the market leader, has strategically deployed a significant portion of its fleet in the Middle East/Indian Subcontinent and Africa-related loops. This demonstrates their strong presence and commitment to these regions.

In a Nutshell

  • DEMAND – Despite the increase in production, there has been a decrease in new orders.
  • CAPACITYSlow steaming and adding new port calls may potentially impact schedule reliability.
  • REGULATIONS / NEWS – International Longshore and Warehouse Union (ILWU) and Pacific Maritime Association (PMA) reached a tentative agreement on a new six-year contract for the 29 US West Coast ports.
  • RATES – Rates on major East-West trades are stabilizing.

Click here to read Ocean Freight Market update (July 2023)

You are welcome to contact Karl McCombe, Business Development Executive for DHL Global Forwarding (NZ) Ltd about your specific requirements by emailing karl.mccombe@dhl.com or phoning 029 940 4001.

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