Delivery Of New Freighters Could Reduce Shipping Costs & Disruptions

I’ve recently written about how dual crises in the Suez Canal / Red Sea and the Panama Canal have created chaos, rising cargo prices, and delaying supply chains. More on these dual canal crises can be found here.

Now there is some good news for global shipping. As the pandemic eased, global shipping demand outstripped supply capacity, which led to large spikes in shipping rates and snarled supply chains, impacted numerous industries. During that crisis, leading shipping companies put in orders for significant numbers of new ocean freighters. Later this year, many of these new cargo ships are expected to be delivered, significantly increasing the supply of freighters.

Most of the new vessels are expected to be delivered by the end of 2024. These deliveries are predicted to help bring down cargo shipping costs, offsetting some of the increases from the dual canal crises. More information on the new cargo ships entering service can be found here.

Image: Pexels.com

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