The world’s largest shipping company is seeing signs of stronger
global container traffic, something already reflected in activity at
several Canadian ports where trading volumes have been on the rise.
Recently, Denmark’s A.P. Moller-Maersk AS said its second-quarter profit nearly tripled from a year earlier to $2.3-billion (U.S.), helped in part by a particularly strong 6.6-per-cent increase in shipping volumes in its container business unit Maersk Line. The company also raised its full-year profit forecast.
“Asia, Europe [region] is up by around 9 per cent, which is much above what you would expect given the economic development,” Nils Andersen, chief executive of Maersk, said on a conference call with analysts.
The company has forecast global container demand to grow by 4 to 5 per cent in 2014.
Other major shipping companies such as Hong Kong’s Orient Overseas Container Line (OOCL) and Germany-based Hapag-Lloyd AG have also posted increases in container shipping volumes in recent financial reports.
Global trade is conducted largely at sea. About 80 per cent of internationally-traded goods are sent by ship at some point in their journey, according to The Baltic Exchange, which tracks the maritime market.
And Canada is getting a piece of the action. Trade volume moving in and out of Canada by water is expected to double in 15 to 20 years, according to the Association of Canadian Port Authorities (ACPA). This will be a boon for both shipping companies and the ports that service them.
Canada’s National Ports System has 18 major port authorities involved in shipping of 310 million tonnes of goods each year. These items include imported electronics and clothing, and exported natural resources, such as lumber, and are valued at more than $162-billion (Canadian) per year.
Read more: Bump in container shipping a boon to Canada - The Globe and Mail
Recently, Denmark’s A.P. Moller-Maersk AS said its second-quarter profit nearly tripled from a year earlier to $2.3-billion (U.S.), helped in part by a particularly strong 6.6-per-cent increase in shipping volumes in its container business unit Maersk Line. The company also raised its full-year profit forecast.
“Asia, Europe [region] is up by around 9 per cent, which is much above what you would expect given the economic development,” Nils Andersen, chief executive of Maersk, said on a conference call with analysts.
The company has forecast global container demand to grow by 4 to 5 per cent in 2014.
Other major shipping companies such as Hong Kong’s Orient Overseas Container Line (OOCL) and Germany-based Hapag-Lloyd AG have also posted increases in container shipping volumes in recent financial reports.
Global trade is conducted largely at sea. About 80 per cent of internationally-traded goods are sent by ship at some point in their journey, according to The Baltic Exchange, which tracks the maritime market.
And Canada is getting a piece of the action. Trade volume moving in and out of Canada by water is expected to double in 15 to 20 years, according to the Association of Canadian Port Authorities (ACPA). This will be a boon for both shipping companies and the ports that service them.
Canada’s National Ports System has 18 major port authorities involved in shipping of 310 million tonnes of goods each year. These items include imported electronics and clothing, and exported natural resources, such as lumber, and are valued at more than $162-billion (Canadian) per year.
Read more: Bump in container shipping a boon to Canada - The Globe and Mail
