2 2
Contents
DHL Global Forwarding | OFR Market Update | Dec 2017
TOPIC OF THE MONTH
Asia – North Europe Capacity, Q4 2017
HIGH LEVEL DEVELOPMENT
MARKET OUTLOOK
Freight Rates and Volume Development
ECONOMIC OUTLOOK & DEMAND DEVELOPMENT
CAPACITY DEVELOPMENT
CARRIERS
3 3
Topic of the Month
Asia – North Europe Capacity, Q4 2017
A S I A - N O R T H E U R O P E C A P A C I T Y G R O W T H T O H I T 1 1 % I N Q 4
• After ten blanked October sailings for the Chinese National Day ‘Golden
Week’ holidays, only seven blanked sailings are currently scheduled for
the months of November and December.
• The limited capacity cuts should remove any concerns about space
shortages, even though demand has picked up very quickly after the
October holidays in China. Capacity utilization has rebounded to 95% in
the last week of October, with only a mild fall in that month despite the
higher capacity on offer.
• Spot freight rates from the Far East to North Europe have rebounded in
the past two weeks, as carriers pushed out a fresh round of rate
increases after suffering a 33% drop since July this year.
Source: Alphaliner
DHL Global Forwarding | OFR Market Update | Dec 2017
4 4
High Level Market Development – Supply and Demand
1’200
0
200
400
600
800
1’000
Q3 Q2 Q1
16
Q4 Q3 Q2 Q1
15
Q3 Q4 Q1
17
Q2
0
2’500
2’000
1’500
1’000
500
Q3 Q1
15 Q2 Q3 Q2 Q4 Q3 Q1
16
Q2 Q4 Q1
17
0
200
400
600
800
Q2 Q3
Q1
17
Q3 Q4 Q2 Q1
16
Q4 Q3 Q2 Q1
15
BIX 380
BIX MGO
SHANGHAI
CONTAINERIZED
FREIGHT INDEX
(SCFI)3)
WORLD
CONTAINER
INDEX (WCI)2)
BUNKER
PRICE
INDEX 5)
ECONOMIC
OUTLOOK 1)
GDP GROWTH
BY REGION
SUPPLY VS
DEMAND
GROWTH 4)
Source: 1)real GDP, Global Insight, Copyright © IHS, Q2 2017 . All rights reserved; 2) Drewry Container Forecaster –
Forecast global supply-demand balance; 3) Shanghai Shipping Exchange, in USD/20ft container and USD/40ft container for
US routes, 15 routes from Shanghai, 4) Global Insight, Drewry, 5) Bunker Index, in USD/metric ton, Bunker Index MGO (BIX
MGO) is the Average Global Bunker Price for all marine gasoil (MGO) port prices published on the Bunker Index website,
Bunker Index 380 CST (BIX 380) is the Average Global Bunker Price for all 380 centistoke (cSt) port prices published on the
Bunker Index website
0.0
2.0
4.0
6.0
8.0
10.0
2011 2012 2013 2014 2015 2016 2017F 2018F
% Growth
2019F
Demand Growth
Supply Growth
DHL Global Forwarding | OFR Market Update | Dec 2017
2017F 2018F 2019F 2020F 2021F CAGR
(2017-2021)
EURO 2.1% 1.9% 1.8% 1.8% 1.8% 1.8%
MEA 3.0% 3.4% 3.7% 3.9% 4.0% 3.7%
AMER 2.0% 2.6% 2.5% 2.3% 2.4% 2.5%
ASPA 5.0% 4.8% 4.6% 4.5% 4.7% 4.7%
DGF World 3.1% 3.2% 3.1% 3.1% 3.2% 3.2%
Q4
Q4
5 5
Market Outlook December 2017 – Major Trades
No major space constraint on any trade.
KEY Strong
Increase ++
Moderate
Increase +
No
Change =
Moderate
Decline -
Strong
Decline - -
EXPORT REGION IMPORT REGION CAPACITY RATE
EURO AMNO = =
AMLA = +
ASPA = =
MENAT = =
SSA - =
AMNO AMLA = +
ASPA = =
EURO = =
MENAT = =
SSA = =
EXPORT REGION IMPORT REGION CAPACITY RATE
AMLA AMNO - ++
ASPA - ++
EURO - +
MENAT - +
SSA = ++
ASPA ASPA - =
AMNO - +
AMLA = +
EURO = =
MENAT = -
OCEANIA = +
DHL Global Forwarding | OFR Market Update | Dec 2017
Source: DGF
6 6
Market Outlook December 2017 – Ocean Freight Rates Major Trades
Market outlook on smaller
trades available in the back-up
O C E A N F R E I G H T R A T E S O U T L O O K
ASPA – EURO Overall space situation is manageable and carriers have announced a GRI for 1st and 15th DEC 2017. Second half of December is expected to show
stronger liftings.
EURO – ASPA & MEA Capacity is sufficient to cater all North European exports, no pre-Christmas space shortage despite current blank sailings. By that, no rate hikes or
reductions but horizontal movement only.
ASPA – AMLA
25% reduction in capacity from Asia to ECSA on Week 46. Do not foresee any permanent injection of capacity into Brazil & Argentina. We expect the
demand and supply in the ECSA to be balance. We do acknowledge that during the holiday season we will see the cargo volume reduced (which is a
normal trend coupled with blank sailing) however overall the demand and supply in the market is balance and we do not expect the QTR 4 rates to drop
too much. Carrier plans to impose GRI on 01 Dec 2017 at USD750 per TEU to WCSA/MX.
ASPA – AMNO Spot market continue to be under pressure in Nov but expect moderate increase from Dec 1st GRI. Overall space situation is manageable as most
carriers are in the low 90% utilization. Space utilization expected to improve 2nd half of Jan prior to China CNY holidays.
EURO – AMNO Rates are stable and vessels are well utilized. MSK introduce a new service 12/12 “Colombia Express” calling Newark, Charleston, Rotterdam &
Felixstowe.
ASPA – MENAT
Market into EMED/Middle East has been pretty quiet in November, and carriers have also drop rates in order to get more cargo onboard. Carriers is now
trying to impose another round of GRI into EMED w.e.f 01 Dec 2017.
Current operational situation in Durban has not improved significantly since the storm during October. Conditions have been further affected by poor
weather and strong winds, as well as equipment breakdowns alongside the quay. All indications are that the current status quo in terms of limited
productivity and berthing delays will remain as is until the end of 2017.
ASPA – ASPA Space into INCCU is expected to be tight in view of the winter draft restrictions. This has also resulted in berthing congestion. A blank sailing (AS1 –
APL service) has been planned in the first week of Dec, to Pakistan. Several carriers have announced the reshuffling or introduction of new Intra-Asia or
IPBC services.
AMNO – EURO Unchanged and stable
DHL Global Forwarding | OFR Market Update | Dec 2017
Source: DGF
7 7
Economic Outlook & Demand Development
3 . 2 % : B E S T G L O B A L G R O W T H R A T E I N S E V E N Y E A R S
EURO
Y/Y GDP growth is at 2.5% - nicely above the more usual 1.5-2.0%. More into detail, Germany, Spain show robust expansion (Q/Q GDP
growth at 0.8% both), so do Austria (0.6%), France and Italy (0.5%). Growth is led by better labor market, low inflation, and consumer
spending. With a better access to credit, firms are also increasing their investments.
AMER US: The effects of the recent hurricans are now shrruged off. 3.0% growth in Q3 – hurricanes subtracted 0.5 points. US economy is looking
strong, as the growth also reduces unemployment below 4%.
ASPA
JP: Solid, yet slower growth (+0.3% Q/Q) compared to most.Consumption tax is planned to rise (and possibly slow demand) as of October
2019.
CN: Growth is holding up thanks to government stimulus, at 6.5% est. for FY2017
High-impact/low probability risks (North Korea) could undermine this positive momentum.
EMERGING
MARKETS Emerging markets are out of their two-year growth slump, performing with a GDP growth estimated around 5% this year.
DEMAND
DEVELOPMENT
World PMI is up 0.1 point, at 54.0, showing a continued economic expansion, as high as that of August, which was the highest since March ’15
European PMI increased 0.4 points to 58.5 in October.
Developed markets’ PMI is up at 55.0, its highest point since April 2015, with the four largest economies sharing similar performance.
In emerging economies, it is down at 51.5, the weakest reading in a year. BR (especially its service industry) and RU are severely hit.
Source: Global Executive Summary, IHS Markit, Sep 2017. The Purchase Manager Index is an IHS proprietary metric that polls purchasing managers to understand if they are to order more or less in the future, hence giving a representative estimation
of the global business sentiment. Assessed monthly, a PMI at 50 is considered neutral, expanding above 50, and shows business shrinking below 50.
DHL Global Forwarding | OFR Market Update | Dec 2017
8 8
Capacity Development
Source: Alphaliner, carriers
C A P A C I T Y D E V E L O P M E N T
With 7.7% growth in Q3 ’17 Global container volumes grew at their fastest pace since 2011. Alphaliner has therefore adjusted its full year growth estimate
upwards to 6.4% All regions posted improved year-on-year growth, led by strong volume growth of 10% in Latin America which in turn could lead to a major
revamp of Asia-South America services. Chinese ports also posted an impressive 9.3% growth and North American ports recorded 8.7% growth. However total
effective capacity growth has outpaced the growth in demand, reaching 8.1% at the end of September, due to combined effects of new ship deliveries and a
reduction in the idle fleet.
THE Alliance carriers plan to void only one Far East-North Europe sailing in Nov & Dec mirrors the OCEAN Alliance and 2M Alliance’s current schedules that
only show a single void sailing by each alliance, that also coincides with the scheduled arrival during the Christmas holiday period in Europe.
Latest annual growth of 3.5% of the containership fleet is at the slowest pace of growth since 2000. This is mainly due to the period between Aug16 and Feb17
when total fleet actually marginally shrunk. However, growth rate has resumed since Mar17 and is expected to continue.
MSC has started to upgrade its weekly service of North Europe to NCSA & WCSA by replacing some of the 8’800 TEU ships with larger 10’800 to 12’200 TEU
ships.
Source: Alphaliner, carriers
DHL Global Forwarding | OFR Market Update | Dec 2017
9 9
Carriers (1/2)
Source: Alphaliner, carriers
C A R R I E R S
Maersk’s Q3 earnings dropped compared to that of Q2, falling from $364 M to $254 M. They do represent a significant improvement over Q3 2016, during
whch the carrier posted a $-159 M loss. The setback is mostly due to the cyber-attack that hit the carrier at the end of June, causing lower volumes and capacity
utilization on top of the costs involved to resolve the cybercrime (an estimated $250-300 M according to the carrier, up from the $200-250 M initially announced).
The carrier forecasts lowe earnings in Q4 ’17. Maers also re-iterated that it «has currently no plans for new orders of vessels».
COSCO Shipping Holdings will issue new shares to raise up to RMB 12.9 Bn (USD1.95 Bn) that will be used to finance a newbuilding program for 20
containerships that were ordered in 2014 & 2015. COSCO Shipping will conditionally subscribe to 50% of the new shares, while the remaining 50% will be offered
to up to 9 specific target investors. COSCO Shipping is wholly owned by the Chinese state. Thus the move means a direct cash injection by the Chinese
government. COSCO Shipping’s shares in COSOC Shipping Holdings will increase to 46.22%.
COSCO Shipping Holdings reported a net profit of RMB 872m (USD131 m) in Q3 ’17. Results were supported by RMB 567 (USD85 m) of government subsidies,
adding to some RMB 388 m (USD66 m) that were already paid in H1 ’17. Total container liftings increase 23% in Q3 ’17 to 5.5 mTEU, while average rates
increased by 9%.
OOCL reports improvements in average freight rates (+4.5% vs. Q3 ‘17) and total liftings (5.0% Q3 ‘17 vs Q2 ‘17). OOCL does not provide quarter earnings
updates. The acquisition of OOCL by COSCO Shipping was cleared on 23 Oct by the US anti-trust authorities and COSOC Shipping shareholders approved the
transaction on 16 Oct.
Japanese carriers’ Q3 ’17 results were all positive, although all three lines expect their results to trend lower in the next 2 quarters. K Line reported a lower
ordinary income due to rate reductions on Asia-Europe & TP trades. Although MOL and NYK highlighted weakening rates on these two key trades, both of them
managed to produce improved ordinary income performance compared to Q2 ’17. MOL even recorded its 1st profitable quarter following 25 consecutive negative
quarters.
Source: Alphaliner, carriers
DHL Global Forwarding | OFR Market Update | Dec 2017
10 10
Carriers (2/2)
Source: Alphaliner, carriers
C A R R I E R S
On 7 Nov China’s Ministry of Commerce has approved Maersk’s proposed acquisition of Hamburg Süd. The approval is subject to several conditions all
concerning the Far East-ECSA and Far East-WCSA routes and are expected to radically alter the existing service structures.
Hapag-Lloyd posts a significantly improved net profit of EUR54 in Q3 ’17, with an EBIT margin of 6.5%. Results were boosted by strong liftings which grew by
44% due o the inclusion of UASC in May this year. Total volumes growth on a pro-forma basis including UASC volumes from 2016 would still have increased by
6.5%. Average freight rates also increased by 3.7% (9.0% on a pro-forma basis).
Yang Ming returns to profit in Q2 ’17, with core operating profits reaching TWD 1.5bn (USD50 m) and net profit of TW1.26 bn (USD42 m) driven by 11.1% higher
liftings and 15.8% higher freight rates as imputed by Alphaliner.
CMA CGM chooses LNG propulsion for the nine 22’000 TEU ships it has ordered earlier this year making CMA CGM the first shipping company to equip such
giant containerships with this type of motorisation. The large LNG tanks required for deep-sea long-haul trading will need a large amount of space. Alphaliner
estimates that half a hold/one 40ft bay will needed for the tanks. Gas propulsion also relies on a LNG-bunkering infrastructure that does not exist yet.
HMM has continued its rehabilitation with its best quarterly result since Q1 ’15. Its container shipping operations recorded a third quarter operating loss of KRW -
6.42 bn (USD 5.7m) with operating margins of -0.6%. The lower operating loss was achieved on 41% higher liftings to reach a new quarterly record of 1.05 mTEU.
Newcomer SM Line’s container shipping operations remain in the read in Q3 ’17. Despite the negative operating results it is continuing to expand rapidly and plans
entry into the Middle East and Pakistan and eying a new service to the US East Coast in 2018.
CMA CGM has posted the best operating margin amongst the main carriers in Q3’17 with operating income reaching USD 568m on revenue of USD 5’702m for an
operating margin of 10%, making it the best quarter since the integration of APL in Jun’16. Liftings increase by 11.6% while average revenue decreased by 14.4%
per TEU.
Source: Alphaliner, carriers
DHL Global Forwarding | OFR Market Update | Dec 2017
12 12
Source: DGF
Market Outlook December 2017 – Ocean Freight Rates Additional Trades (1/2)
Ocean Freight Rates Outlook
EURO – AMLA another rate increase will materialize in December to the South American East Coast. Carriers are reporting well utilized to full vessels.
EURO – SSA
unchanged stable, well utilized vessels. Space to South Africa is tight due to upcoming Christmas / Summer Holidays in South Africa in
addition to severe problems in POD Durban due to less capacity (cranes damaged after storm) and therefore heavy delays in berthings.
Situation shall improve end of December. Alternatively carriers are using POD Cape Town and Port Elizabeth / Coega for oncarriages into
South African hinterland.
AMNO – MENAT No major changes this month. Space to M.East is still tight from USEC & USGC Ports.
Current rates will stay the same until end of 2017.
AMNO – SSA No Space issues or service changes on USA to South & West Africa services
Rates are stable with no increase/decrease expected until new year or in the first quarter of 2018
AMNO – AMLA Capacity remains stable but full forcing upward pressure on rates.
US-WCSA under most stress w/full capacity. Vessels booked 2-3 weeks out.
AMLA Exports
Rates from SAEC continue to rise as fruit season begins and capacity is cut to EURO by 15%
Space issues continue in Brazil, WCSA and Mexico
Equipment deficits affecting conditions in Colombia
Numerous surcharges and fees being imposed
Source: DGF team
Source: DGF team
Source: DGF team
DHL Global Forwarding | OFR Market Update | Dec 2017
13 13
Market Outlook December 2017 – Ocean Freight Rates Additional Trades (2/2)
Freight Rates Outlook
EURO MED - AMNO Unchanged/Stable
EUR MED – AMLA Unchanged/Stable
EURO MED – ASPA Stable/some slight reductions can occur depending on the provider
EURO MED – MENAT Stable/some slight reductions can occur depending on the provider
EURO MED – SSA Unchanged/Stable
ASPA-SPAC Market is still very full but seems to be slowing down very slight in early December. Demand for space in January will be high again.
DHL Global Forwarding | OFR Market Update | Dec 2017
Source: DGF
14 14
Carriers – Drewry’s Altman Z-Score as at August ’17
Company Period Period End Unit Net Sales EBIT Asset Total Asset
Current
Book Value of
Equity
Liabilities
Total
Liabilities
Current
Retainted
Earnings Z-Score
AP Moller-Maersk 6 months 30-Jun-17 mn US$ 18’567 1’002 61’3100 11’294 32’349 28’961 8’583 27’749 2.07
OOIL (parent of OOCL) 6 months 30-Jun-17 mn US$ 2’898 110 9’693 2’783 4’592 5’101 1’437 4’529 2.03
CMA CGM 3 months 31-Mar-17 mn US$ 4’620 260 18,812 5,940 5,029 13’783 6’006 4’637 1.72
Wan Hai 6 months 30-Jun-17 mn NT$ 29’156 1’020 75’266 30’716 32’935 42’331 20’833 9’866 1.67
K Line Group 3 months 30-Jun-17 bn Yen 287 4 1’056 388 253 802 229 65 1.59
NYK Group 3 months 30-Jun-17 bn Yen 522 4 2’072 606 587 1’486 481 330 1.56
Hapag-Lloyd Holding 3 months 31-Mar-17 mn EUR 2’132 4 11’206 1’573 4’940 6’266 2’386 3’090 1.54
Pacific International Lines Annual 30-Dec-15 mn US$ 3’732 146 5’830 1’215 1’979 3’851 1’493 1’184 1.26
Evergreen Marine Corp 6 months 30-Jun-17 mn NT$ 71’543 2’871 189’505 58’751 55’095 134’410 43’342 8’071 1.26
MOL Group 3 months 30-Jun-17 bn Yen 403 1 2,199 478 679 1,519 445 361 1.26
China Cosco1) 3 months 31-Mar-17 mn RMB 20’101 566 120’574 46’136 38’531 82’044 35’473 8’576 1.22
Yang Ming 6 months 30-Jun-17 million NT$ 63’483 -1’047 132’694 25’215 16’260 116’435 42’504 -3’016 0.80
Hyundai Merchant Marine 6 months 30-Jun-17 bn Won 2’544 -259 3’419 1’295 702 2’718 744 -2’400 0.35
Zim 3 months 31-Mar-17 mn US$ 655 25 1’723 512 -110 1’833 562 -1’901 0.09
• Slight improvement in all carrier results, as most of them are now stretched over a shorter period of time. HMM now scores a positive 0.35, whilst OOIL went back to the grey zone
(scoring above 2.00). Hapag-Lloyd is marginally down vs. their annual results published in March. Again, none of the carriers manage to reach the > 2.99 “safe“ zone.
• The Z-score is a statistical analysis to predict a company’s probability of failure in the next 2 years, using data from the company’s financial statement.
• A Z-score ≥ 2.99 company is “safe”.
• A Z-score between 1.8 and 2.99 exercise caution (“grey zone”).
• A Z-score ≤ 1.8 higher risk of the company going bankrupt (“distress zone”). All indications based on these financial figures only.
Source: Drewry Sea & Air Shipper Insight, June 2017; 1) parent of Cosco Container Lines; Z-score is calculated as follows: T1 = (Current Assets - Current Liabilities) / Total Assets, T2 = Retained Earnings / Total
Assets, T3 = Annualized EBIT / Total Assets, T4 = Book Value of Equity / Total Liabilities, T5 = Annualized Sales / Total Assets, Z-score bankruptcy rating = 1.2*T1 + 1.4*T2 + 3.3*T3 + 0.6*T4 + 1.0*T5
DHL Global Forwarding | OFR Market Update | Dec 2017
15 15
Market Outlook – Volume Outlook in Main Trade Lanes, 2017 Estimate & Growth
Forecast 2017/20 in %
N O R T H
A M E R I C A I n c l .
M E X I C O
3.5 mTEU +1.2%
1.7 mTEU +0.9%
1.7 mTEU +1.3%
0.2 mTEU +3.0%
N O R T H
A M E R I C A I n c l .
M E X I C O
L A T I N
A M E R I C A
E U R O P E
I n c l . M E D
11.9 mTEU +1.6%
7.0 mTEU +0.9%
7.6 mTEU +0.7%
15.8 mTEU +0.9%
7.0 mTEU +0.9%
4.5 mTEU +2.8%
2017e, in mTEU 2017e-2021e CAGR, in %
F A R E A S T
I N T R A A S I A
excl. Oceania
35.1 mTEU +3.1%
3.5 mTEU
+1.3%
2.0 mTEU
+0.7%
L A T I N
A M E R I C A
G L O B A L C O N T A I N E R T R A D E 2 0 1 7 e 1 3 8 . 5 m T E U + 2 . 3 % C A G R 2 0 1 7 e - 2 0 2 0 e
Mid-term growth is mainly driven by Asian tradelanes.
Source: Drewry
DHL Global Forwarding | OFR Market Update | Dec 2017
16 16
Global Capacity Development all Trades
20 19 23 23 23 24
28 28 27
Highest scrapping level ever Idling remains high
[TTEU]
602
(May 2017)
1,324
Q4
2016
Q4
2015
1,359
Q4
2014
228
Q4
2013
779
Q4
2012
809
Q4
2011
595
Q4
2010
356
Q4
2009
1,480
Returning
capacity
well
absorbed
by
demand
3.0%
[TTEU]
381
2013
444
2012
332
2011
75
2010
131
2009
351
+239%
Apr 17
YTD
205
2016
654
2015
193
2014
Average age Net capacity growth remains low
Net capacity growth 2017E
Scrapping Net capacity
growth
2.7%
-3.3%
-1.8%
Scheduled
capacity growth
Post-ponements
7.7%
Orders placed by year [TEU m] Vessel deliveries by year [TEU m]
0.2
2015
0.0
2016
2.2
2014
1.1
2013
2.0
2012
0.4
2011
1.8
2010
0.6
2009
0.1
2008
1.2
2007
3.2
Apr17
YTD
+33%
1.2
2017E 2016
0.9
2015
1.7
2014
1.5
2013
1.3
2012
1.3
2011
1.2
2010
1.4
2009
1.2
2008
1.4
2007
1.4 15,300 TEU
Very few deliveries expected post 2017
Source: Alphaliner (May 2017), carrier views
DHL Global Forwarding | OFR Market Update | Dec 2017
17 17
Carrier Mergers, Acquisitions and Alliances
M E R G E R S A N D A Q U I S I T I O N S
China
Shipping Cosco
OOCL TBC
Evergreen APL CMA
CGM Hapag
Lloyd
United
Arab
Shipping
Hyundai
Merchant
Marine
Hamburg
Süd Maersk
Line MSC K Line MOL NYK
Yang
Ming Hanjin
Shipping
CHINA COSCO SHIPPING EVER
GREEN CMA CGM HAPAG-LLOYD/UASC
HYUNDAI
MERCHANT
MARINE MAERSK LINE MSC
OCEAN NETWORK
EXPRESS (ONE) YANG
MING Bankrupt
A L L I A N C E S
F O R M E R A L L I A N C E S P R E S E N T A L L I A N C E S
2M MAERSK LINE
MSC OCEAN 3
CMA CGM
CHINA SHIPPING
UNITED ARAB
SHIPPING COMPANY
2M
MAERSK LINE
MSC
HMM (strategic
cooperation)
OCEAN
ALLIANCE
OOCL
CMA CGM
CHINA COSCO SHIPPING
EVERGREEN
G6
HAPAG-LLOYD
MOL
NYK
APL
HYUNDAI
MERCHANT
MARINE
OOCL
CKYHE
COSCO
EVERGREEN
HANJIN
SHPPING
K-LINE
YANG MING THE ALLIANCE
HAPAG-LLOYD/UASC
ONE
YANG MING
Source: Carriers
DHL Global Forwarding | OFR Market Update | Dec 2017
18
Acronyms and Explanations
2M - Carrier Alliance: Maersk / MSC OCRS - Operational Cost Recovery surcharge
AMLA - Latin America OWS - Overweight Surcharge
AMNO - North America PH - Philippines
AR - Argentina PNW - Pacific North West
ASPA - AsiaPacific Ppt. - Percentage points
BR - Brazil PSW - Pacific South West
CAGR - Compound Annual Growth Rate RR(I) - Rate Restoration
CENAC - Central Amercia and Caribbean SAEC - South America East Coast
CKYHE - Carrier Alliance: Cosco, K-Line, YangMing, Hanjin and Evergreen SAWC - South America West Coast
CNC - CNC Line (Cheng Lie Navigation Co. Ltd.) SOLAS - Safety of Life at Sea
DG - Dangerous Goods SPRC - South People’s Republic of China – South China
DWT - Dead Weight Tonnage SSA - Sub-Saharan Africa
EB - Eastbound SSL - Steam Ship Line
ECSA - East Coast South America T - Thousands
EURO - Europe TEU - Twenty foot equivalent unit (20‘ container)
FMC - US Federal Marine Commission TP - Trans Pacific
G6 - Carrier Alliance: APL, Hapag Lloyd, Hyundai, MOL, NYK and OOCL TSA - Trans Pacific Stabilization Agreement
GRI - General Rate Increase ULCS - Ultra Large Container Ship
HJS - Hanjin Shipping USGC - US Gulf Coast
HMM - Hyundai US FMC - US Federal Maritime Commission
HSUD - Hamburg Süd USEC - US East Coast
HWS - Heavy Weight Surcharge USWC - US West Coast
IA - Intra Asia VGM - Verified Gross Mass
IPBC - India Pakistan Bangladesh Colombo VLCS - Very Large Container Ship
IPI - Inland Point Intermodal VSA - Vessel Sharing Agreement
ISC - Indian Sub Continent WB - Westbound
MENAT - Middle East and North Africa WCSA - West Coast South America
mn - Millions YML - Yang Ming Line
MoM - Month-on-Month YoY - Year-on-Year
NOO - Non-operating (vessel) owners YTD - Year-to-Date
Ocean 3 - Carrier Alliance: CMA, UASC, China Shipping
DHL Global Forwarding | OFR Market Update | Dec 2017