Alphaliner Weekly Newsletter is the premier liner shipping news summary, compiled and distributed every Monday. The newsletter is available upon subscription. Information is given in good faith but without guarantee. Please send your feedback, comments and questions to [email protected]
I N S I D E T H I S I S S U E
1 Chart of the Week
9% of top carrier capacity idle
3 Total Idle fleet falls to 10.4%
4 Service Updates
Taiwan Nav closes Taiwan service Delmas launches Tukano Express CSCL extends AEX 1 rotation PIL shuts RS 3 CMA CGM adds Mobile in Atlantic CKYH heads conclude meeting
6 Corporate Updates
CMA CGM profits slide CSAV ratings cut, losses to continue
8 Delivery Updates
New April deliveries
10 Terminal Updates
Suez and Panama may revise tolls Felixstowe mothballs Landguard Marseille-Fos unveils LT plans Antwerp handles first ULCS
Chart of the Week
9% of main carriers’ capacity Idle
The active fleet operated by the main carriers has dropped by 7% over the past six months. However, carriers have not been entirely successful in decreasing the vessel capacity operated, as new deliveries have added to the total operated fleet. The total fleet controlled by the top 24 carriers in the trade has increased by 2.4% from 10.86 Mteu to 11.12 Mteu between 1 Sept 2008 and 1 Apr 2009. Of these, 9% or 0.997 Mteu of the current capacity are idle, hence the active fleet of the carriers surveyed has dropped to 10.12 Mteu.
Some carriers have actively sought to dispose of surplus capacity through disposals for scrapping and returning chartered vessels. However, a large number of operators have had to keep a significant proportion of their capacity idle. Amongst them, MISC Bhd. (32%), Zim (24%), APL (23%) and K Line (22%) have over 20% of capacity currently idled (as at 1 April 2009).
ALPHALINER Weekly Newsletter 2009-Week 15axs-alphaliner.com – the worldwide reference in liner shipping
-8.0%
-19.9%
-30.2%
-21.9%
-15.1%
-14.8%
-12.0%
-11.6%
-12.7%
-7.3%
-11.4%
-11.9%
-5.2%
-27.2%
-15.9%
-2.1%
-19.6%
-2.4%
-12.5%
-0.1%0.2%
0.2%
1.1%
11.6%
-200,000 0 200,000
Maersk
APL
Zim
K Line
MOL
OOCL
CSCL
NYK
Hanjin
COSCO
CSAV
Hyundai
Hapag-Lloyd
MISC
Wan Hai
CMA CGM
IRISL
Evergreen
RCL
PIL
UASC
Hamburg Süd
Yang Ming
MSC
TEU
% Change
Change in
working fleet
Despite the efforts of most carriers to cut operating costs by reducing fleet size during the period, four carriers have increased their active capacity – MSC, YML, Hamburg Sud and UASC. Of these, MSC’s capacity increase has been most remarkable, achieving a gain of 11.6% over the six month period from Sept 2008 to Apr 2009. Along with PIL and Evergreen, MSC also has the lowest proportion of their operated fleet on idle status.
Included in the idle fleet are 3 IRIS Lines newbuildings held by Hanjin shipyard as final payments are reported to be outstanding (possibly blocked by the US).
The fleet of idle ships is set to be reduced over the next month as a number of carriers such as MISC Bhd, K Line, Hanjin, COSCO, OOCL and MOL are expected to redeploy some idle tonnage and resume previously suspended services as cargo volumes pick up in key tradelanes. Freight rates on the Asia-Europe and Asia-Middle East routes have also recovered marginally since the implementation of rate increases in early April, prompting the return of some ships. Carriers are reported to have achieved rate increases ranging from $100-150/teu on westbound rates to Europe.
Detailed idle containership statistics, including vessel and operator particulars, are available exclusively from Alphaliner. The report is updated on a fortnightly basis and provides a unique insight into the current operating environment for both owners and operators. For subscription details, please contact [email protected]
0.0
0.5
1.0
1.5
2.0T
EU
Mill
ion
s
Idle capacity Apr-09
Active capacity Apr-09
Capacity Sep-08
Evolution of Main Carrier Capacity Sept 2008 vs Apr 2009
ALPHALINER Weekly Newsletter 2009-Week 15axs-alphaliner.com – the worldwide reference in liner shipping
0.00
0.20
0.40
0.60
0.80
1.00
1.20
1.40
1.60
TE
UM
illi
on
s Non Operating Owner TEU
Carrier TEU
1.4%
1.1%
3.3%
7.1%
As % of
total fleet
Total idle fleet falls to 10.4%
The idle containership fleet has decreased for the first time since last September when unemployed ships started to gather up. As at 13 April, the idle fleet stood at 486 ships for 1.31 Mteu against 485 ships for 1.42 Mteu two weeks ago, according to Alphaliner records.
The fall signals the start of the summer peak season and expectations of higher volumes in the coming months. A number of seasonal loops suspended a few months ago are reactivated while larger ships are introduced on other loops. This has led to a fall in the number of idle VLCS from 23 ships two weeks ago to only 10 ships today. The number of idle ships has remained stable while overall idle capacity is reduced as smaller chartered ships were redelivered while larger ships have been reactivated.
Despite the fall in idle capacity, the figure is expected to rise again once the peak season ends in September-October. Unless a vigorous economic recovery occurs, the idle fleet could ramp up again to pass the 2 Mteu mark during the next winter season. With new capacity expected to be added at a faster pace over the next three quarters, a surplus fleet oversupply of 3 Mteu may appear at the end of the winter season if the economy remains sluggish.
The idle fleet now represents 10.4% of the cellular fleet against 11.3% a fortnight ago. It will continue to decrease as more large ships (of over 4,000 teu) are planned to be reactivated in the coming weeks. This trend however has its limit, especially as chartered ships of 1,000-3,000 teu continue to gather up as most carriers continue to trim their fleet down and adjust their services with their controlled fleet, as far as they can.
The non-operating owners’ share of the idle fleet continues to increase as carriers redeliver ships in droves in order to reduce their charter bills. The idle fleet for non-operating owners’ accounts reaches 260 units, representing 410,000 teu (31.4% of the total idle fleet), against 214 ships for 296,000 teu two months ago.
The current trend to delay by a few weeks the delivery of certain newbuildings close to completion has helped to stem the flow of excess ships, although this trend does not solve the long term oversupply issue. Interestingly, an increasing number of ships of 1,000-2,500 teu are employed to carry out-of-gauge project cargo, and replacing uncelled multipurpose tonnage on container and breakbulk services. This however only absorbs a limited number of ships, estimated at around 15 units. On the negative side, the Austral hemisphere fruit season is to end in June, triggering the release of some 20 extra ships totalling 35-40,000 teu, mostly in the 1,300-3,000 teu range.
Idle Containership Count
as at 13 Apr 2009
TEU range No. of ships
7500 & over 10
5000-7499 53
3000-4999 88
2000-2999 113
1000-1999 135
500-999 87
TOTAL 486
Idle Containership Fleet
Evolution
Dec 08 to Apr 09
Note : To avoid any misinterpretation, Alphaliner uses the word ‘IDLE’ instead of ‘LAID UP’. Idle ships include: - Carrier-controlled ships left without service assignment
- Chartered ships redelivered to owners with no further employment
- Ships in long term lay-up - Ships damaged or under long time repairs following damage (or under conversion)
- Ships arrested for financial/legal reasons Following categories are NOT included as idle: - Ships awaiting their sailing slot as they change service (if waiting period is less than a week)
- Ships in routine GR - Ships waiting to a berth at the roads / anchorages due to strike, missed slot or port congestion
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Taiwan Navigation closes its Taiwan-PRC service
Taiwan Navigation Co Ltd has closed its weekly container service linking directly Taiwan to Shanghai, Dalian and Qingdao, using two conbulkers of 930 teu, the TAO YUAN and YELAN. The two ships reached an age of 30 years and have been sold for scrap. The loop was the only container service operated by Taiwan Navigation which is primarily a bulk carrier operator (handy-size and panamax). Several other carriers used to co-load on this service including Yang Ming, Evergreen, CNC and SITC.
Delmas launches the 'Tukano Express'
CMA CGM subsidiary Delmas is to launch the 'Tukano Express', a service connecting South America to West Africa by transhipment, complementing the direct ECSA-West Africa SAMWAF service and the Dakar-ECSA leg of the Med-ECSA 'Sirius' service. The 'Tukano Express' offers connections at Tangier between the Europe-ECSA Safran service and Delmas' Tangier-West Africa loops (Battuta Express services).
CSCL extends AEX 1 rotation
CSCL is to extend its Asia-Europe AEX 1 service to North China and Korea. Xingang, Dalian and Busan will be added to the rotation, effective from May. Nine ships of 8,500-9,500 teu will be deployed with an additional ship introduced. The new rotation features calls at Felixstowe, Hamburg, Antwerp, Nansha, Shanghai, Xingang, Dalian, Busan, Ningbo, Shanghai, Shekou, Hong Kong, Yantian, Shekou. CMA CGM, Zim and IRIS Lines co-load on this service.
PIL shuts RS 3 – maintains Intra-Asia leg
PIL has closed its third Far East-Red Sea loop (RS 3), which was lately run on a fortnightly basis with three ships. The intra East Asia string of the service is maintained and now acts as a pure East Asia loop connecting Singapore to South China and Taiwan. Three ships of around 1,500 teu provide sailings on every five days on average. This move actually re-establishes the pattern which existed prior to the launch of the RS 3 in June 2008, which was an extension of the existing Straits-South China service (SCC). The original SCC service used to be run with two ships of 1,150 teu.
The RS 3 used to cover the ports of Aden, Jeddah and Ain Sokhna, which will now be served with the remaining PIL Far East-Red Sea services (RS 1 and RS 2).
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CMA CGM adds Mobile call on Victory service
CMA CGM is to add a direct call at Mobile (Alabama) to its North Europe-US Gulf service (Victory). This call does not concern co-loaders Evergreen and CSL. Mobile will be a US export call as the ships will call there at the end of the US range prior to their return to Europe. As reported last week, Maersk Line is also to add Mobile on its North Europe-US TA-2 service. Both services will be handled at the Mobile Container Terminal (MCT), operated by a joint venture of APM Terminals Americas (APM-Maersk subsidiary), Terminal Link (CMA CGM subsidiary) and the Alabama State Port Authority.
CKYH heads conclude meeting The CKYH Alliance has concluded a summit meeting amongst the senior management of the member lines in Korea on 9 April. The meeting discussed concerns and ideas on market prospects as well as on how to overcome the current crisis in the shipping industry. Members of the group agreed that the key to survival lies in providing the customers with “distinguished services, which requires even stronger cooperation among the partner carriers”. In this regard, various strategies were discussed including:-
• rationalization of the existing East-West trades, • expansion in the North-South trades and niche markets, • utilization of assets such as ships, terminals • cost-saving by common equipment management, feeder network
and contract with 3rd party vendors. The partners also affirmed that “regular consultation between the top management of each partner carrier” will be held on a more regular basis.
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8.879
7.683
5.976
16%
29% 28%
2008 2007 2006
Lif
tin
gs
in M
te
u
% In
cre
ase
CMA CGM profits slide
CMA CGM reported an 87% fall in profits to $124M in 2008 from $966M in 2007. This was achieved despite a 28% increase in revenue from $11.8Bn to $15.1Bn, marking a drastic erosion in operating margins over the previous year and losses from fuel hedging.
CMA CGM Operating Highlights 2008 vs 2007
US$M 2008 2007 % Change
Revenue 15,100 11,800 28.2%
Net Profit 124 966 -87.2%
Volume (Mteu) 8.88 7.68 15.6%
Despite the deterioration in operating performance, CMA CGM continued to maintain its growth trajectory. The carrier’s liftings increased 16% to 8.879 Mteu, representing the highest increase in volumes amongst all the main carriers that have reported their operating performance for 2008. CMA CGM said that the expansion was driven by strategic partnerships and slot exchange arrangements with other large carriers, the launch of new services in growing markets and expansion into niche markets such as reefer transport and project cargo.
The company plans to reduce costs by $600M in 2009 including service rationalisations, returning chartered vessels, vendor contract renegotiations, slow steaming and ship deviations across the Cape of Good Hope to avoid Suez Canal fees. The carrier operates a total of 395 vessels of which 297 are chartered as at end 2008. Charters for about 182 vessels will expire in 2009 and the carrier will return some of the excess ships.
CMA CGM has an orderbook of $5Bn comprising 52 ships on its own account to be delivered over 2009-2012. The company said that it is not cancelling any orders but is in discussions to delay the delivery of ships scheduled for delivery in 2009. The large financial commitments by the group led to CMA CGM’s corporate bond ratings being downgraded earlier in November 2008 by S&P from BBB- to BB+ due to “deteriorating industry conditions, which are likely to weaken the group’s already relatively weak financial credit measures.” On 17 March 2009, S&P placed CMA CGM’s debt on CreditWatch with negative implications due to “the continued global economic downturn, which continues to depress container freight rates and operators' earnings.”
In addition to the new ships, CMA CGM also has substantial commitments on terminal investments. In 2007 and 2008, the company has secured stakes in terminals in China (Tianjin, Xiamen), USA (Houston, Miami, Mobile), Ukraine (Odessa), Syria (Latakia), Morocco (Casablanca, Tangier), Netherlands (Rotterdam), Vietnam (Cai Mep), Egypt (Damietta) and Korea (Busan). It also extended its concession at Malta to 65 years in 2008.
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2.191 2.1292.213
3%
-4%
7%
2008 2007 2006
Lif
tin
gs
in M
te
u
% I
ncr
ea
se
CSAV ratings cut, losses expected to continue
Chilean carrier CSAV has slumped to a $133M operating loss for 2008. CSAV blamed cost increases in 2008 for the poor results, especially higher fuel costs and the US$ depreciation during the earlier part of 2008. The results include the operations of Norasia, Libra and its port services and agency subsidiary, SAAM (Sudamericana Agencias Aereas y Maritimas SA). It also includes the non-containerised shipping activities of CSAV that cover liquid bulk, bulk carrier, reefer and PCTC operations. The company’s non-operating profits of $121M came mainly from ship owning partnerships which remained profitable and gains from fuel hedging. Overall net loss after tax for 2008 totalled $39M compared to a profit of $117M in 2007.
CSAV Operating Highlights 2008 vs 2007
US$M 2008 2007 % Change
Revenue 4,886.8 4,150.9 18%
Operating Income -133.5 54.1 NA
Net Profit -38.6 116.9 NA
Volume (Mteu) 2.191 2.129 3%
Container cargo volumes, which account for more than 80% of the company’s liftings, increased 3% to 2.2 Mteu. However the company said that it saw a significant reduction in volumes since the 4th quarter of 2008, especially on the Asia-Europe trade. In January, CSAV withdrew from the Asia-North Europe trades when it suspended its ANE service that had employed eight ships of 4,400-6,500 teu.
Meanwhile S&P has downgraded CSAV’s credit rating further to B- with a negative outlook on 2 April and said it expects “CSAV to continue posting significant losses that would challenge its credit quality by further eroding its operational performance, its financial risk profile, and its liquidity position". CSAV was earlier put on negative Creditwatch by S&P for review on November 2008 and had its BB+ rating on its corporate debt cut to BB- on 6 February 2009.
CSAV has appointed HSH Corporate Finance to advise on a potential restructuring of the company and possible disposal of numerous non-core assets including its 13.1% stake in CCNI.
To stem the negative cash flow, which S&P expects to reach $300M in 2009, CSAV may be forced to cancel four 12,550 teu ships ordered at Samsung in 2007. The ships are part of a series of 8 vessels originally ordered by German owner Peter Dohle for delivery in 2010-12 with charter to CSAV. CSAV had acquired four ships from this series on November 2007. CSAV had also acquired three 6,300 teu ships on May 2006 from Dohle, part of a six ship order also for charter to CSAV. The company had secured financing for the seven ships in late 2007 with a $675M loan deal led by BNP Paribas that included participation by CIC (Credit Industriel et Commercial) and Korea Eximbank.
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The CMA CGM HYDRA (10,960 teu) is delivered
CMA CGM has received the 10,960 teu CMA CGM HYDRA, third of four ships initially ordered in May 2005 from the Korean shipyard DSME (Daewoo). She is assigned to the Far East-Europe FAL 1 loop. She follows the CMA CGM THALASSA, delivered in December.
HAMMERSMITH BRIDGE (9,040 teu) delivered
Kawasaki Kisen Kaisha (K Line) has received the HAMMERSMITH BRIDGE, sixth unit in a series of eight 9,040 teu VLCS (18 rows) ordered in two steps at Ishikawajima Harima Heavy Industries (IHI - Japan) in September 2003 and February 2005. She is assigned to the CKYH Asia-Europe 'AE-3' loop, which is in course of harmonization to the 8,200-9,000 teu scale.
The HAMMERSMITH BRIDGE is the second unit of the second set to be delivered. She follows the HENRY HUDSON BRIDGE, delivered in October (See related news). The two remaining ships will be delivered by August 2009 (in principle).
The APL WASHINGTON (6,966 teu) is delivered
APL has received the 6,966 teu APL WASHINGTON, first of five ships initially ordered at Hyundai H.I. in June 2006 by the Schulte Group, which sold the first two in the series to Synergy Marine Ltd, the shipowning arm of Greek owner Papathomas and backed by GE Capital. The APL WASHINGTON is to join to the New World Alliance Asia-Europe SCX service.
FESCO DIOMID (3,108 teu) delivered - Joins MSC
Stocznia Szczecinska Nowa has handed over to the Far Eastern Shipping Co (FESCO) the 3,108 teu FESCO DIOMID, first of four ships of the B-178 design contracted between July 2005 and February 2006. She will perform her maiden trip for MSC account with a single Med-Far East voyage, after which she is available for charter. When ordered, FESCO still operated a number of deep sea lines which could have employed these ships. These lines were sold to Hamburg Süd in March 2006, so that the new ships will now end on the charter market.
The FESCO DIOMID brings to 22 the number of B-178 built since the delivery of the first one in 2001. This figure excludes two ships delivered in a shorter version of 2,785 teu. FESCO DIOMID follows Peter Doehle’s HEBE, delivered in January 2008, although it should be noted that in the meantime a B-178 'short version' has been delivered as CALA PIGAFETTA.
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MAERSK WINDHOEK (1,708 teu) is delivered
Maersk Line is to take in charge the 1,708 teu MAERSK WINDHOEK, 23rd unit in the 'Imabari 1700' class and the sixth one for Maersk-Safmarine. The MAERSK WINDHOEK is owned by Japanese interests. She is to proceed to the Middle East, where she is expected to join Maersk Line's Kenya relay service. She follows the PENANG BRIDGE in the 'Imabari 1700' class, delivered in March.
The EMPIRE (1,440 teu) is delivered
Dutch owner JR Shipping BV has received the EMPIRE, its second 1,440 teu newbuild from the Peenewerft. The ship belongs to Peenewerft’s improved '1400 Baltic' type, which shares some similarities with the eleven units of the Hegemann Group’s well-known 1400 type, but has been adapted for the special requirements of the Baltic Sea feeder trade : the new series comes equipped with a high ice class (1A/E3) and a fully enclosed bridge.
The EMPIRE is without employment and has joined her sister ship EMOTION in a layup spot at Mukran, Germany. These two units were originally contracted by Reederei Jüngerhans in March 2006, but later sold to JR Shipping.
MARE (974 teu) is delivered
Drochtersen-based owner Jürgen Ohle has received the MARE, second of a pair of 974 teu units (RW 850 design) ordered by this owner at the Hegemann Shipbuilding Group. Both ships have been chartered by Finland carrier Containerships OY (a subsidiary of Icelandic carrier Eimskip) for assignment to the re-launched Contaz Europe-Med service. It is recalled that Contaz Line has recently been purchased by Containerships OY, a Finnish carrier controlled by Eimskip.
O.M. UNDARUM (704 teu) is delivered
German owner Reederei O. Marten GmbH & Co KG is to receive the 704 teu O.M. UNDARUM from the Zhoushan Shipyard. The vessel belongs to an improved version of the Zhoushan 670 teu design. She is believed without employment. The O.M. UNDARUM follows the O.M. IMBRIUM, delivered in September.
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Suez and Panama may revise tolls
Weak cargo volumes, rock bottom freight rates, high canal fees, availability of surplus tonnage and falling bunker prices have all led to an increasing number of service deviations via the Cape of Good Hope and quirky round-the-world sailing patterns. This may soon be abandoned, as canal operators in the Suez and Panama are rumoured to be considering a revision of tolls.
Several shipping lines had started to avoid canal passages since the beginning of this year by routing their ships via the Cape of Good Hope on the eastbound leg from Europe to Asia. In addition to this, other carriers have started routing vessels by the Cape, but on a non-permanent trial basis.
A number of Asia-Europe mainline slings were diverted via the Cape of Good Hope, among them for example the prominent Maersk AE-7 E-class loop, which now uses the Suez Canal on westbound sailings but returns to Asia via the Cape route. CMA CGM even re-routed its Far East-Caribbean PEX 2 to sail back to Asia via the Cape instead of the Panama Canal, turning the former pendulum service into a peculiar eastbound round-the-world sling.
Despite earlier announcements that canal toll rates will not be reduced, both the Suez and Panama Canal authorities are now believed to consider price adjustments in order to regain the lost business. Several media reports claim that the operators of the Suez Canal would be willing to make some concessions before May and the Panama Canal Authority is likely to follow.
It is presently unclear how exactly these concessions will be structured and to how of the carriers’ savings will be passed on to shippers. The Suez Canal Authority was reported to be considering ‘more flexible’ tariffs and ‘incentive programmes’. The latter might be aimed exclusively at liner companies which send ships through the Canal on a regular basis, as compared to tramp owners which only make occasional transits.
Presently, a Suez passage for a large boxship costs well in excess of $500,000 per voyage – an amount that could hardly be recovered through the current freight rates. Some carriers are applying canal surcharges - MSC for example announced an increase of its Suez surcharge from $9 to $50 per teu, effective from 15 April.
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Felixstowe Landguard terminal mothballed
Another North European terminal has been mothballed as a reaction to the dwindling cargo volumes, adding to the ‘Terminal de l’Ocean’ at Le Havre, as Hutchison Ports has closed its Landguard Terminal at Felixstowe.
The case of Landguard is slightly different from its Le Havre peer. It is the oldest terminal in the UK’s main container port and is about to be replaced by a more modern facility in the same location. Under the Felixstowe-South reconfiguration programme, a new terminal with four large berths is to be built by 2014, with the fist berth coming on stream as soon as late 2010 (It is however possible that the construction is delayed given the poor market conditions). The new Felixstowe South Terminal will offer 1,300m of quay and ULCS-ready equipment throughout.
Originally, it was planned to gradually convert the old Landguard terminal while keeping it operational. Given the recent decline in demand for container handling capacity, Hutchison decided to shut Landguard down entirely and handle all ships at Felixstowe’s remaining docks. Several other British ports might put capacity building plans on hold or delay them.
Marseille-Fos unveils long term plans
The Port of Marseille-Fos announced its strategy and financing plan to the year 2013. In compliance with the French port reform law passed in July 2008, all container and dry bulk cargo handling is to be passed on to private operators.
The port aims to grow annual cargo volumes from last year’s 96M tonnes to 120M tonnes by 2013. It will face a key challenge in growing container traffic at Fos, which presently lags behind larger Mediterranean ports. According to the local port authority, the most crucial point in Fos’ container strategy is building hinterland traffic. The port has set itself a target of 5 Mteu in 2020, compared to only 0.85 Mteu handled in 2008.
Highlights of the development plan are the construction of the new 2XL terminal which is slated to come on stream in 2010, the extension of Fos’ logistics zone and completion of a canal link between the container terminals and the inland waterways network. By 2013 the port wants waterways traffic to rise from 4.7% to 10% of throughput, rail to take 30% instead of 13.7% and road volumes to fall from 81.6% to 60%.
Further development programmes include the launch of construction work on two additional box terminals, dubbed Fos 3XL and 4XL. A total of €500M of private sector investment will be needed to develop these two large-scale facilities. The Port authority plans to start the construction of these expansion projects before 2013, although it remains to be seen whether
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such a vast amount of private sector funds will be available, given the current difficult container market.
Antwerp MSC hub handles its first ULCS
North European ports have handled a ship of the new generation of MSC's ULCS for the first time. The brand new MSC BEATRICE, MSC's second ULCS has performed maiden calls at Rotterdam, Felixstowe and Antwerp. The 13,798 teu vessel represents the second largest container ship type ever to visit a northern range port after the 15,200 teu Maersk E-class units.
More importantly, the call marked a milestone for MSC’s north European hub of Antwerp, since MSC BEATRICE was the largest-ever caller at the Belgian port. Using the incoming tide and under the condition of a daylight passage, the 366m vessel successfully negotiated the winding river Scheldt and transited the Berendrecht lock before finally docking at the MSC Home terminal. Since this facility is equipped with 20-row cranes as opposed to the more common 22 and 23-row models, MSC BEATRICE and her sisters and the near sisters of the MSC DANIT type represent the maximum vessel size that can be handled at MSC Home. The first signs that MSC planned to introduce such ships at Antwerp emerged in October 2003, while the 20-row ships themselves were ordered in May-June 2006 at Samsung and Daewoo with an assumed capacity of 9,500 teu. Their real size emerged much later.
On the present European rotation of the MSC Silk loop, Alphaliner estimates that Antwerp will account for at least half, if not two thirds of the volume for Europe, with the remaining box volumes to be shared between Rotterdam and Felixstowe. Antwerp is thus a strategic call, although the limited draft clearance of the River Scheldt, which leads to Antwerp, is an issue. The loaded salt water summer draft of the new ULCS can reach 15.50m in sea water and 15.80m in fresh water, while the river Scheldt can only accept for the moment ships of up to 14m draft during the high tide window. Dredging work is expected to bring the draft to 14.60m with a comfortable tidal window. For this reason, the rotation of MSC BEATRICE was altered: The ship called at Rotterdam and Felixstowe before going to Antwerp. It then reverted back to Felixstowe to load Asia-bound cargo (Felixstowe is usually served once on most Asia services). It will thus be interesting to see how MSC handles the Silk European port rotation in the longer term.
